Hostel, PG rents to rise from May 5 in Tamil Nadu amid surge in commercial LPG cylinder costs. The revised rental rates will come into effect from May 5.
Updated: May 3, 2026 12:16 PM IST
Following a sharp increase in commercial LPG cylinder prices and overall cooking costs, Students and working professionals staying in hostels and paying guest (PG) accommodations across Tamil Nadu will face higher living expenses. The operators have increased rents by around 10 per cent.
As per an official communication issued by a state-level association of IT hostels and PG owners, the revised rental rates are said to come into effect from Tuesday, May 5, 2026, as per a news agency IANS report. The increase reflects mounting operational expenses, particularly in food preparation, which has become significantly costlier over the past few months.
The latest development comes amid the backdrop that the price of commercial LPG was hiked by the steepest ever Rs 993 per 19-kg cylinder on Friday, marking the third straight monthly increase due to rising global energy prices linked to the West Asia conflict. A 19-kg commercial LPG – used by establishments such as hotels and restaurants – now costs a record Rs 3,071.5 in Delhi as against Rs 2,078.50 previously.
What is the cost range of four-sharing rooms and three-sharing rooms?
According to the revised structure, monthly tariffs for non-air-conditioned accommodations have been standardised within a new baseline range. Four-sharing rooms will cost between Rs 6,500 and Rs 7,500. Meanwhile, the three-sharing rooms range from Rs 7,000 to Rs 8,000. As per the news agency IANS report, two-sharing accommodations are likely to cost between Rs 8,000 and Rs 9,000.
It is to be noted that operators have indicated that actual rents may vary depending on several parameters, including the location, amenities, and demand. The price escalation has been largely attributed to the steep increase in the cost of 19-kg commercial LPG cylinders.
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In recent months, the prices have doubled, impacting hostel kitchens that depend heavily on gas for large-scale food preparation. In addition to official price hikes, supply constraints have reportedly pushed many operators to procure cylinders at much higher rates through informal channels. In an attempt to manage costs, several hostel operators had temporarily shifted to alternative cooking methods such as firewood. However, rising prices of these substitutes have made them unsustainable, forcing operators to pass on the burden to residents through rent hikes and service reductions.
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