Students and working professionals staying in hostels and paying guest (PG) accommodations across the state may have to pay higher rents, as operators have increased tariffs by around 10%. The hike has been attributed to a sharp rise in commercial LPG cylinder prices and overall cooking expenses.

According to a circular issued by hostel and PG operators, the revised rental rates will come into effect from May 5. Monthly charges for non-AC accommodation have been revised to Rs 6,500–Rs 7,500 for four-sharing rooms, Rs 7,000–Rs 8,000 for three-sharing rooms, and Rs 8,000–Rs 9,000 for two-sharing arrangements. Operators noted that these are baseline rates and may vary depending on location and available facilities.

Operators cited the surge in fuel costs following unrest in West Asia earlier this year, stating that the price of a 19-kg commercial LPG cylinder has risen sharply between February and May. They also pointed out that supplies are often scarce, forcing purchases at significantly higher prices through unofficial channels. While many hostels temporarily switched to alternative fuels and absorbed additional costs for several months, this option has become unviable due to rising prices of those fuels as well.

Industry estimates suggest that over 20,000 hostels operate across the state, accommodating nearly 20 lakh residents. Of these, around 15,000 hostels are located in Chennai alone, housing approximately 12 lakh people.