The prices of unsubsidized Liquefied Petroleum Gas (LPG) cylinders have risen sharply across the major cities in India. The price of a 14.2 kg non-subsidized LPG cylinder that is used for domestic purposes has risen by 50 rupees in the metro cities including Delhi, Mumbai, Kolkata and Chennai. In Delhi and Mumbai, the 14.2 kg cylinder now costs 644 rupees, while in Kolkata it is priced at 670 rupees.
Commercial cylinder rates have also increased. The 5 kg commercial LPG cylinder now costs Rs 18 more costly through the cities. The price of 19 kg LPG also rose by 36.50 rupees to reach 1296 rupees in Delhi. In Mumbai, it is priced at 1244 rupees and in Kolkata 1351 rupees. Among the subways, it is most expensive in Chennai, at 1410.50 rupees, according to data from Indian Oil Corporation.
The rate of domestic and commercial LPG is determined by the state oil companies. IOCL, the country’s largest fuel retailer, delivers LPG under the Indane brand name.
Earlier this month, when LPG’s monthly rates were revised, prices remained unchanged from the November 1 level. It was the fifth consecutive month that prices remained constant. However, the mid-month revision of prices indicates a change in usual practice.
Previously the price of 14.2 kg LPG with subsidy was 594 rupees in Delhi. In Kolkata, it was 620.50 rupees, in Mumbai 594 rupees and 610 rupees in Chennai.
Indian households can benefit from the purchase of LPG cylinders with subsidized rates for a maximum of up to 12 cylinders per year. At the time of purchase, customers have to pay the full price. The grant is then credited to the customers ’bank accounts by the government.
Some concerns about non-payment of subsidies have been voiced by several customers since the month of May. It was mainly attributed to the collapse of the international oil price and the increase in the domestic refill rate narrowed the gap between market and subsidized tariffs.