The Ministry of Petroleum and Natural Gas reported that the under-recovery on domestic liquefied petroleum gas (LPG) decreased to ₹188 per 14.2-kg cylinder in August. Suresh Gopi, Minister of State for Petroleum, shared this update while highlighting ongoing fiscal challenges in managing the subsidy burden. The under-recovery was over ₹700 per cylinder in June and ₹500 in July, showing significant improvement by August. Despite rising input costs, the retail selling price of a domestic LPG cylinder has remained unchanged at ₹942 in Delhi since June.
Gopi noted that despite previous government compensation, the accumulated under-recovery on LPG reached ₹59,000 crore by July 31, 2026. This reflects the continued financial pressure on public-sector oil companies from maintaining affordable LPG prices for households. The government has kept subsidised LPG prices to support consumers, leading to substantial subsidy outflows. Efforts are ongoing to balance consumer affordability with fiscal prudence amid fluctuating international energy prices.