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LPG Prices Hiked Again: Households across India will have to pay more for cooking gas from June 7 with the price of a domestic liquefied petroleum gas (LPG)
increased by Rs 29 per cylinder, marking the second hike in three months amid elevated global energy prices. A PTI report, citing industry sources, said that the price of a domestic LPG cylinder has now gone up to Rs 942 from Rs 913 in Delhi.
Second LPG hike since March
The latest increase comes after state-owned oil marketing companies raised LPG prices by Rs 60 per cylinder on March 7. That was the second increase in rate in less than a year as oil companies passed on a part of the spike in global energy rates that followed the West Asia crisis.
Non-subsidised LPG - the one that common households use in kitchens - were increased to Rs 913 per 14.2-kg cylinder in Delhi as against Rs 853 previously, according to the Indian Oil Corporation (IOC) website.
Ujjwala Yojana beneficiaries - the over 10 crore poor who have got free LPG connection since 2016 - also bore the same amount of price increase. They were paying Rs 613 per 14.2 kg cylinder after accounting for a subsidy of Rs 300 per bottle they get for up to 12 refills in a year.
Oil firms continue to face losses
According to industry estimates, as cited by PTI, oil marketing companies were losing around Rs 703 on every domestic LPG cylinder sold before the latest price increase.
The losses have widened as international energy prices remain elevated, increasing the cost of importing LPG and other fuels.
Officials said the latest revision is aimed at reducing, though not eliminating, the financial burden borne by fuel retailers.
Broader fuel price hikes
The LPG price hike is part of a wider increase in fuel prices in recent weeks.
Petrol and diesel prices have risen by a cumulative Rs 7.50 per litre since mid-May, while compressed natural gas (CNG) rates have gone up by about Rs 6 per kg.
The increases reflect sustained pressure from global crude oil and fuel markets, which have remained volatile amid geopolitical tensions and supply concerns.
Petrol and diesel still sold below actual cost
Despite the recent revisions, industry sources said, as per PTI, oil companies continue to sell petrol and diesel below their actual cost.
Retailers are estimated to be losing about Rs 11 per litre on petrol and Rs 33.6 per litre on diesel, according to the news agency sources.
The continued losses have intensified pressure on state-owned fuel retailers, which have been seeking gradual price adjustments to better align domestic fuel rates with international market trends.
(With PTI inputs)
