LPG prices today — 25 June: How costly are domestic and commercial cylinders in Delhi, Mumbai, Bengaluru, other cities
LPG prices today, 25 June: The cost of domestic and commercial Liquefied Petroleum Gas (LPG) cylinders stood steady on 25 June, even as Brent crude
LPG prices today, 25 June: The cost of domestic and commercial Liquefied Petroleum Gas (LPG) cylinders stood steady on 25 June, even as Brent crude dropped to its pre-conflict closing price and settled at $72.48 a barrel. Global oil prices eased further on Thursday, supported by optimism over US-Iran peace talks and increase in oil supply. Oil marketing companies (OMCs) upheld retail LPG prices which underwent last revision earlier this month. On 7 June, the price of 14.2 Kg domestic LPG cylinder was by ₹29 due to severe under recoveries.
After the first revision of ₹60 that was made on 7 March, this was the second increase in three months. Since retail refiners revise commercial 19-Kg cylinder costs monthly, it surged by nearly ₹42 after the latest revision due to energy supply disruptions across the Strait of Hormuz transit route. Notably, commercial LPG cylinder prices are directly linked to international import parity, tracking the Saudi Contract Price (CP) set monthly by Saudi Aramco. Hence, cost of commercial cylinder surged by nearly 79% in the last four months, driven by geopolitical tensions in West Asia as the government passed the price shock on to commercial consumers.
City-wise domestic and commercial cylinder rates Rupee appreciates as Brent crude eases to pre-war levels Rupee appreciated 22 paise to 94.33 against the US dollar in early trade, as stranded tankers exited the Strait of Hormuz following the initial peace deal on lasting agreement. Worl's third largest importer and consumer of oil is set to witness record high LPG imports from US this month which are set to touch 1 million metric tons, Reuters reported citing industry sources. With easing of traffic through the Hormuz chokepoint, the supplies from the United Arab Emirates have started to recover to around 300,000 to 400,000 tons this month and about 45,000 tons of LPG from Kuwait.
This comes after, energy supply from West Asia tightened and imports of LPG declined to as low as 696,000 tons in April from 2 million tons per month.
The BriefWire