Restaurants, hotels and airlines have entered September with another fuel-cost increase. From September 1, 2026, state-owned oil marketing companies raised the price of 19-kg commercial LPG cylinders across major cities, while aviation turbine fuel, or ATF, became 5.46% more expensive for domestic airlines.
In Delhi, a commercial LPG cylinder now costs ₹2,747.50, up ₹9.50 from ₹2,738. Jet fuel has climbed from ₹115 to ₹121.28 per litre, an increase of ₹6.28. Household consumers have been spared this round, as the 14.2-kg domestic LPG cylinder price remains unchanged.
How Much Have Commercial LPG Prices Increased From September 1?
The September revision is relatively small compared with the steep swings seen earlier this year, but restaurants and caterers still pay more on every refill. IndianOil’s published commercial LPG price history shows that Delhi’s 19-kg cylinder stood at ₹2,738 on August 1 after two consecutive monthly cuts.
The new prices vary by city because local taxes and other charges differ. The latest rates include:
- Delhi: ₹2,747.50, up ₹9.50
- Mumbai: ₹2,701, up ₹9.50
- Kolkata: ₹2,884, up ₹11.50
- Chennai: ₹2,916.50, up ₹10.50
- Bengaluru: ₹2,831, up ₹10
- Hyderabad: ₹2,996, up ₹11
The 5-kg FTL non-domestic LPG refill has also gone up by ₹2, from ₹762 to ₹764. Domestic LPG remains unchanged at ₹942 for a 14.2-kg cylinder in Delhi, while petrol and diesel prices were also left untouched in the latest revision.
What Will Restaurants Actually Pay Extra For LPG?
For a small restaurant, the increase on one cylinder may look minor. The total becomes more noticeable when dozens of refills are used every month.
At Delhi’s ₹9.50 increase, a business using 10 commercial cylinders a month would spend ₹95 more. Fifty cylinders would add ₹475 to the monthly fuel bill, while 100 cylinders would add ₹950, assuming the September price remains unchanged through the month.
A Kolkata outlet using 100 cylinders would face about ₹1,150 in additional monthly LPG cost because the local hike is ₹11.50 per cylinder. These figures cover only the price revision, not delivery charges or other business expenses.
There is some relief in the recent trend. Commercial LPG had been cut by ₹183.50 per cylinder on July 1 and another ₹192 on August 1 in Delhi after prices surged during the West Asia supply disruption. September therefore reverses only a small part of those two reductions.
How Much More Will Airlines Pay After The ATF Price Hike?
The bigger jump is in aviation fuel. ATF for domestic airlines has increased by ₹6.28 per litre to ₹121.28, or roughly ₹121,280 per kilolitre. That is a 5.46% rise on September 1 following another ₹5-per-litre increase on August 1.
For an airline buying 10,000 litres, the latest hike alone adds about ₹62,800 to the fuel purchase. A 20,000-litre uplift would cost roughly ₹1.26 lakh more than at the August rate. These are simple fuel-volume illustrations; actual flight fuel use varies by aircraft, route, load, weather and operational conditions.
ATF can account for up to 40% of an airline’s operating expenses, so back-to-back increases put pressure on costs quickly. They do not automatically translate into an identical rise in ticket prices. Airlines can adjust fares depending on demand, competition, route economics and how long elevated fuel prices persist.
ANI reported the September ATF and 5-kg commercial LPG revisions on its official X account, citing IOCL sources.
Why Are Fuel Prices Rising Again, And What Comes Next?
ATF and commercial LPG rates are generally revised at the start of each month using international benchmark prices and foreign-exchange movements. September’s increase follows a volatile period for energy markets after the West Asia conflict disrupted supply routes and pushed imported fuel costs sharply higher.
IndianOil said it had raised LPG production and operated refineries above normal utilisation levels during the supply strain. India’s dependence on imported crude also leaves domestic fuel economics exposed when global prices, freight costs or the rupee move sharply.
For restaurants, September’s LPG increase is unlikely to force an immediate menu-price change by itself, particularly after the large July and August cuts. Smaller food businesses with high cylinder consumption, however, will still track October’s revision closely.
Airlines face a tougher equation because ATF has now risen for two consecutive months. If the increase holds or extends into October, carriers may have less room to absorb the extra fuel bill during the festival and year-end travel season.
FAQs
Will Domestic LPG Prices Increase From September 1?
No, the 14.2-kg domestic LPG cylinder price remains unchanged in the latest monthly revision nationwide.
How Much Is A Commercial LPG Cylinder In Delhi Now?
Delhi’s 19-kg commercial LPG cylinder costs ₹2,747.50 from September 1, 2026, after the latest revision.
What Is The New ATF Price For Domestic Airlines?
ATF now costs ₹121.28 per litre for domestic airlines, following a 5.46% monthly price increase.
Will Airfares Rise Immediately After The ATF Hike?
Not necessarily; airlines set fares using demand, competition, route costs, capacity and fuel-price trends together.
How Often Are LPG And ATF Prices Revised?
Oil marketing companies revise commercial LPG and aviation turbine fuel prices at every month’s start.
