The price of subsidised LPG (cooking gas) has been hiked by Rs.2.89 per cylinder as per the six-monthly official revision of rates. The price of non-subsidised LPG has been hiked by Rs.59 as a part of this revision. Following the revision, subsidised LPG will cost Rs.502.4 per cylinder and non-subsidised LPG will cost Rs.879 per cylinder in Delhi from October 1 onwards.
India’s largest energy company Indian Oil Corporation announced the price hike in its statement. The company attributed the price hike to increases witnessed in international oil price and fluctuations in foreign exchange values. A similar price hike has also been witnessed in compress natural gas (CNG) and piped natural gas (PNG).
Though the price of LPG has increased significantly, consumers are protected from the impact mainly because of the increase in subsidy amount. The subsidy amount transferred to the banks of customers has been increased from Rs.320.49 per cylinder to Rs.376.60 per cylinder in October 2018. As a result of this, the overall hike of subsidised LPG is only Rs.2.89 per cylinder. This marginal hike is a result of GST as per the statement released by Indian Oil.
There is a considerable difference between the prices of subsidised LPG and non-subsidised LPG in various metro cities in the country. This price hike is also likely to be witnessed in other cities across the country.
The price of CNG has been hiked by Rs.1.70 per kg in Delhi by Indraprastha Gas, a government-owned gas distribution company that supplies to various parts of the city. In Noida, Greater Noida, and Ghaziabad, the price of CNG has been hiked by Rs.1.95 per kg. Following this revision, CNG would now cost Rs.44.30 per kg in Delhi and Rs.51.25 per kg in Noida.
Similarly, the price of domestic piped gas has also been increased by Rs.1.30 per standard cubic metres (scm) in Delhi. The price hike witnessed in Noida, Greater Noida, and Ghaziabad was Rs.1.50 per scm.
Source: Economic Times