LPG price hiked by ₹29 per 14.2-kg cylinder
Domestic cooking gas LPG price has been raised by ₹29 per cylinder, marking the second increase in three months as state-owned fuel retailers continue to
Domestic cooking gas LPG price has been raised by ₹29 per cylinder, marking the second increase in three months as state-owned fuel retailers continue to grapple with elevated global energy costs. The price of a 14.2-kg LPG cylinder in Delhi will rise to ₹942 from ₹913 with effect from June 7, according to industry sources. The increase follows a ₹60-per-cylinder hike on March 7 after the conflict in West Asia disrupted global energy supplies and drove up international fuel prices.
Industry sources said that the increase had only partly offset losses incurred on domestic LPG sales. State-run oil marketing companies were estimated to be losing about ₹703 on every LPG cylinder sold before the latest revision, the sources said. The LPG price hike comes amid a broader round of fuel price increases. Petrol and diesel prices have been raised by a cumulative ₹7.50 per litre since mid-May, while compressed natural gas (CNG) rates have increased by about ₹6 per kg.
Despite the recent increases, oil companies continue to sell petrol and diesel below cost, incurring losses of around ₹11 per litre on petrol and ₹33.6 per litre on diesel, according to industry sources.
The government has so far avoided a full pass-through of higher international energy prices to consumers, absorbing part of the increase through state-owned fuel retailers as global crude oil and fuel markets remain volatile.
The BriefWire