LPG cylinder prices become cheaper: Amid the nationwide coronavirus lockdown, the price of non-subsidized LPG cylinders was cut today(01/03/2020).

This is the second consecutive fall in-cylinder prices in the last two months. In Delhi, a 14.2 kg non-subsidized LPG will now cost 744. This is a reduction of 61 per cylinder from the previous revision done on March 1. In Mumbai, a non-subsidized LPG cylinder will now be available at 714.50 as compared to 776.50 earlier.

From today(1 April 2020), as per the price revision, the LPG cylinder will cost 774.5 in Kolkata and 761.5 in Chennai as compared to 839.50 and 776.50 earlier.

Prices of the LPG Cylinder are revised every month by the Fuel retailers. As per the data- Last month, the government cut natural gas prices by a steep 26%

The primary two factors which attract the price of LPG cylinders in India are- the international benchmark rate of LPG and the exchange rate of the US dollar and rupee.

Every household is entitled to 12 cylinders of 14.2 kg each at subsidized rates in a year. Any requirement beyond that is to be purchased at market price.

Under PAHAL (Direct Benefit Transfer of LPG) scheme, consumers get LPG cylinders at a subsidized rate.

Last month, the government cut natural gas prices by a steep 26% to its lowest rate since the pricing was made formula-driven in 2014, a move that is likely to translate into lower CNG and piped cooking gas prices.

Prices of natural gas, which is used to produce fertilizer and generate electricity and is also converted into CNG for use in automobiles as fuel and cooking gas for households, are set every six months – on April 1 and October 1 each year.

The bulk of India’s existing gas production will be priced at $2.39 per million British thermal units for the six-month period beginning April 1, down from $3.23 as of now. This will be the second reduction in six months to the lowest since 2014.

The price of gas produced from difficult fields such as deep-sea too has been cut to $5.61 from $8.43 per mmBtu now. (With Agency Inputs)