With effect from May 1, 2026, the Ministry of Petroleum and Natural Gas has implemented a number of new regulations for consumers of liquefied petroleum gas (LPG), one of the most extensive changes to the nation's cooking gas system in recent years.
Amid the Energy Crisis, the Government Targets Dual LPG-PNG Households
After outlawing dual ownership, the government started identifying families with both LPG and PNG connections in an effort to reduce abuse and more effectively focus subsidies. Households with piped natural gas are required to give up their home LPG connections and are no longer qualified for LPG refills or new connections under a March 14 change to the LPG Regulation Order. Additionally, wholesalers and oil firms have been instructed not to provide LPG to these customers.

The action intends to support the growth of piped gas networks and give LPG priority for homes without access to PNG. Although authorities anticipate greater compliance, more than 43,000 people with dual connections have turned in LPG thus far. The decision was made at a time when imports have been impacted by disruptions in the energy supply caused by tensions in West Asia.
Tighter Guidelines for Reservations and OTP Delivery
New regulations pertaining to booking intervals, OTP-based delivery, and required KYC updates are now applicable to consumers nationwide under Indane, Bharat Gas, and HP Gas. The booking period has been extended by the Ministry of Petroleum and Natural Gas from 21 to 25 days in urban areas and up to 45 days in rural areas.

Prices for Commercial Cylinders Were Sharply Adjusted
The price of a 19 kilogram commercial cylinder has increased three times since March 2026 due to oil marketing businesses. The initial rise was between Rs 28 and Rs 31 on March 1. On March 7, there was another increase of Rs 114.5 per cylinder. In April, there was an additional increase of Rs 196 to Rs 218 in key metro areas. According to sources, there has been an additional adjustment since May 1st, with a total increase of Rs 993 since the start of the crisis.Petrol and domestic prices remained stable.
The cost of LPG is still the same domestically. In Delhi, the price of a 14.2 kilogram home cylinder, which was last increased by Rs 60 on March 7, is still Rs 913. In Delhi, the rates of petrol and diesel have remained unchanged, at Rs 94.77 and Rs 87.67 per litre, respectively.
With cumulative losses expected to reach Rs 40,484 crore by the end of May, oil marketing businesses are suffering an under-recovery of Rs 380 per cylinder at present rates.
Conflict in West Asia Is Causing the Crisis
The increase coincides with growing geopolitical unrest in West Asia, which has blocked vital energy corridors and raised the price of petrol and crude oil worldwide.