LPG cylinder price: Offering some relief to the common man, the prices of non-subsidised Liquefied petroleum gas (LPG) cylinder will go down from April. Starting from 1 April, the cost of domestic cooking gas will be reduced by Rs 10, Indian Oil Corporation Limited said on Wednesday.
After raising cooking gas prices by Rs 125 per cylinder last month, state-owned oil firms announced a cut of Rs 10 per cylinder in LPG rates on Wednesday with softening international oil prices.
The Liquefied Petroleum Gas (LPG) cylinder, weighing 14.2 kg, will now cost around Rs 809 in Delhi and Mumbai. Earlier the price was Rs 819. In Kolkata and Chennai, the cylinder will be available for Rs 835.50 and Rs 825, respectively.
This is the first time in four months that the prices have been reduced. They have been on a constant hike since December last year. On 4 February, the prices were increased by Rs 25 per cylinder. They were again raised on 15 February by Rs 50, then on 25 February by Rs 25. On 2nd March, the prices were hiked by Rs 25. In total, there was an increase of Rs 175 per cylinder.
India is largely import-dependent on crude oil and the prices are market-linked, the increase in international prices resulted in increase in domestic price of petroleum products.
However, due to growing worries about rising Covid-19 cases in Europe and Asia and concerns over the side effects of vaccine, prices of crude oil and petroleum product in the international market softened in the second fortnight of March 2021.
Accordingly, Oil Companies have reduced the Retail Selling Price (RSP) of Diesel and Petrol by 60 paise per litre and 61 paise per litre respectively at Delhi market over the past few days. There was a corresponding reduction in prices at other markets during this period. This reduction has come as a relief to motorists and transporters across India, said IOCL.
Further, with a view to give relief to domestic LPG consumers, the price of Domestic LPG cylinder has been reduced by Rs 10/cylinder, it added.
Remember that fuel retailers revise prices of LPG cylinders every month. The price of LPG cylinders in India is dependent primarily on two factors — the international benchmark rate of LPG and the exchange rate of US dollar and rupee. LPG price had touched a record high of Rs 939 per cylinder in November 2018.
After a record increase in rates, the prices of LPG cylinder dropped as international oil prices had softened. International oil prices fell on the prospect of speedy recovery in consumption getting clouded by the second wave of COVID-19 cases, which has forced renewed lockdowns in parts of Europe.
