Non-subsidised LPG rates raised by Rs 86 per cylinder

Oil companies also raised price of subsidised cooking gas by a marginal 13 paisa to Rs 434.93 per 14.2 kg cylinder in Delhi.

Published: 02nd March 2017 12:50 AM  |   Last Updated: 02nd March 2017 06:46 AM   |  A+A-

LPG cylinder prices hiked. (File photo)

By Express News Service

NEW DELHI: The government on Wednesday hiked rates of liquid petroleum gas (LPG) cylinders for customers not availing a subsidy by Rs 86. The price increase, which went into effect from March 1, will not affect those availing LPG subsidies.

According to a statement from the Ministry of Petroleum and Natural Gas, the hike will be for those who have either given up their subsidies or exhausted the quota of twelve 14.2-kg cylinders a year. Such customers will now have to pay a market price of Rs 737.50 for a cylinder. The rate until February 28 was Rs 651.50.

“This is in line with the rise in global LPG product prices. However, there will be no impact on the LPG consumers receiving subsidized refills. To illustrate with an example, the consumer will pay Rs 737 for a new refill in Delhi w.e.f. March 1, 2017 and will receive subsidy amount of Rs 303 in his/ her account and the net price for the consumer will be Rs 434, which remains unchanged,” said the ministry statement.

“Thus, there will be no net impact of the increase in the price of non-subsidised cylinder on the LPG consumers receiving subsidised refills,” it added.

Non-subsidised LPG prices have been on a steady rise from October, before which a cylinder of non-subsidised LPG was Rs 466.50 in Delhi.

The rise follows a consistent increase in the global prices of crude oil in the latter half of 2016 and the first two months of 2017.

The rise in the cost of India’s crude basket over the last few months also saw aviation turbine fuel (ATF) prices increase by Rs 214 per kilolitre to Rs 54,293.38 per kilolitre.


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