LPG cylinder price hiked again Rs 25, check rates here 

Subsidised LPG now costs Rs 859 per 14.2-kg cylinder in Delhi, according to a price notification of oil companies. This is the second straight month of a price increase.

Published: 18th August 2021 03:06 PM  |   Last Updated: 19th August 2021 10:02 AM   |  A+A-

LPG Cylinder

For representational purposes (Photo | EPS)

By Express News Service

CHENNAI:   Domestic cooking gas prices have been hiked yet again by oil marketing companies, this time by Rs 25 per 14.2 kg cylinder. Beginning December 2020, cooking gas prices have been increased eight times till now with only one price cut. This has taken prices significantly higher than pre-pandemic levels, though crude oil is currently trading at around the same price range. 

After the latest price hike, domestic cooking gas costs Rs 859.5 per 14.2 kg cylinder in Delhi, while it will cost Rs 875.5 in Chennai, Rs 859.5 in Mumbai and Rs 886 in Kolkata. Domestic LPG prices were hiked last on July 1 by Rs 25.5 per cylinder. 

For unsubsidised customers, LPG cylinders cost around Rs 53 more per cylinder than before the pandemic broke out last March. However, this surge in prices is far higher for subsidised customers, since the Union government currently offers only marginal freight subsidies for those in remote locations.

Beginning May 2020, standard direct benefit transfer subsidies for domestic cooking gas were eliminated, with the government taking advantage of the crash in global crude oil prices last summer to equalise the price of subsidised and unsubsidised cylinders. 

However, while crude oil prices have now recovered to their pre-pandemic levels, these standard DBT subsidies have not been restored. Hence, the surge in prices for subsidised customers in metro cities stands at a massive Rs 256 per cylinder compared to the prices during the pre-pandemic period.


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