News Analysis India

Tag: LPG prices

  • Commercial LPG price slashed by Rs 91.5/cylinder; ATF rates cut marginally 

    By PTI

    NEW DELHI: The price of commercial LPG used in hotels and restaurants on Thursday was slashed by Rs 91.5 per cylinder on softening international prices, but oil companies have made no changes in rates of domestic cooking gas and rather began imposing limits on refills a user can order in a fortnight.

    The price of a 19-kg commercial LPG cylinder was cut to Rs 1,885 per cylinder in the national capital from Rs 1,976.50, according to a price notification from state-owned fuel retailers. This is in line with softening international prices.

    However, rates of LPG used in household kitchens for cooking purposes remained unchanged at Rs 1,053 per 14.2-kg cylinder.

    This because the rates of domestic cooking gas were way lower than cost and now with a drop in international prices they are at breakeven, industry sources said.

    Commercial LPG rates on the other hand have largely been aligned with cost and so they have moved in tandem with rise and fall in international rates.

    And this difference between a market-priced commercial LPG and below-cost household cooking gas had led to diversion of cylinders meant for kitchens into commercial establishments. To check this, the state-owned oil firms have now started imposing limits on a 14.2-kg refill a household can order, they said.

    Bharat Petroleum Corporation Ltd (BPCL) has limited one refill in 15 days from August 26, and other retailers Indian Oil Corporation (IOC) and Hindustan Petroleum Corporation Ltd (HPCL) are likely to follow suit.

    Simultaneously, the rates of aviation turbine fuel (ATF) were cut marginally by 0.7 per cent. Jet fuel price was cut by Rs 874.13 per kilolitre, or 0.7 per cent, to Rs 121,041.44 per kl in the national capital.

    Rates differ from state to state depending on the incidence of local taxes.

    NEW DELHI: The price of commercial LPG used in hotels and restaurants on Thursday was slashed by Rs 91.5 per cylinder on softening international prices, but oil companies have made no changes in rates of domestic cooking gas and rather began imposing limits on refills a user can order in a fortnight.

    The price of a 19-kg commercial LPG cylinder was cut to Rs 1,885 per cylinder in the national capital from Rs 1,976.50, according to a price notification from state-owned fuel retailers. This is in line with softening international prices.

    However, rates of LPG used in household kitchens for cooking purposes remained unchanged at Rs 1,053 per 14.2-kg cylinder.

    This because the rates of domestic cooking gas were way lower than cost and now with a drop in international prices they are at breakeven, industry sources said.

    Commercial LPG rates on the other hand have largely been aligned with cost and so they have moved in tandem with rise and fall in international rates.

    And this difference between a market-priced commercial LPG and below-cost household cooking gas had led to diversion of cylinders meant for kitchens into commercial establishments. To check this, the state-owned oil firms have now started imposing limits on a 14.2-kg refill a household can order, they said.

    Bharat Petroleum Corporation Ltd (BPCL) has limited one refill in 15 days from August 26, and other retailers Indian Oil Corporation (IOC) and Hindustan Petroleum Corporation Ltd (HPCL) are likely to follow suit.

    Simultaneously, the rates of aviation turbine fuel (ATF) were cut marginally by 0.7 per cent. Jet fuel price was cut by Rs 874.13 per kilolitre, or 0.7 per cent, to Rs 121,041.44 per kl in the national capital.

    Rates differ from state to state depending on the incidence of local taxes.

  • Maneka Gandhi urges government to bring down LPG cylinder prices too

    By PTI

    SULTANPUR: Former Union minister and Sultanpur MP Maneka Gandhi on Saturday welcomed the cut in petrol and diesel prices and also called for lowering the LPG cylinders rates.

    Maneka Gandhi made the request to the Union government while touring her parliamentary constituency on a four-day visit.

    “The petrol and diesel prices have come down. The Union government should consider lowering the prices of other things, like gas (LPG cylinder), too to provide relief to the people,” she said during a programme in her constituency.

    The BJP MP made the request days after the union government slashed the excise duty on petrol and diesel by Rs 5 and Rs 10 respectively followed by various BJP-ruled states, too, lowering the VAT on the two fuels in significant relief to the common man.

    While participating in her party’s membership drive program in the Dehli Bazar township of Isauli assembly segment, Gandhi said, “Our efforts will be to win Isauli. Wherever I will go, I will keep making members. There will be 100 programs in 100 days but it does not matter much until we don’t make up our minds.”