Domestic cooking gas prices have been increased by Rs 29 per 14.2-kg cylinder with effect from June 7, marking the second hike in three months as state-owned fuel retailers continue to face pressure from elevated global energy costs, news agency PTI reported, citing industry sources.
With the revision, the price of a domestic LPG cylinder in Delhi will rise to Rs 942 from Rs 913.
The latest increase follows a Rs 60-per-cylinder hike on March 7 after disruptions in West Asia affected global energy supplies and pushed up international fuel prices, industry sources were quoted as saying by PTI. They added that the recent revision only partly offsets accumulated losses on domestic LPG sales.
State-run oil marketing companies were estimated to be incurring losses of about Rs 703 per LPG cylinder prior to the latest price change, industry sources told PTI.
The LPG revision comes amid a broader increase in fuel prices. Petrol and diesel rates have risen by a cumulative Rs 7.50 per litre since mid-May, while compressed natural gas (CNG) prices have gone up by around Rs 6 per kg, PTI reported.
Despite these revisions, oil companies continue to sell petrol and diesel below cost, with estimated losses of around Rs 11 per litre on petrol and Rs 33.6 per litre on diesel, industry sources were quoted as saying.
Officials said the government has so far avoided a full pass-through of higher international energy prices to consumers, with part of the burden being absorbed by state-owned fuel retailers as global crude and fuel markets remain volatile.
(With inputs from PTI)
