Domestic LPG increases by Rs. 50/cylinder; third hike since May
What's the story
In a blow to the common man, the price of domestic liquid petroleum gas (LPG) cylinders weighing 14.2 kilogram has been hiked by Rs. 50 from Wednesday. The cylinder will now cost Rs. 1,053 in the national capital. On the other hand, the price for the 19-kilogram commercial cylinder has been reduced by Rs. 8.50 per unit with immediate effect.
Context
Why does this story matter?
The price of an LPG cylinder differs from state to state depending on the Value Added Tax (VAT) and transportation costs of the region. It is also calculated on the basis of crude oil prices, and its rising costs have prompted oil manufacturing countries to increase the price of LPG. Previously, the prices for domestic cylinders were revised twice in May.
5-kg cylinder
Eighth straight hike since July 2021
This is the eighth consecutive increase in the LPG prices by Indian Oil Corporation since July 2021. The price of the domestic LPG cylinder in Bengaluru will now be Rs. 1055.5, while people in Jammu and Kashmir's Srinagar will have to pay Rs. 1,169 and in Shimla, Rs. 1,100. The price of a 5-kg domestic cylinder will go up by Rs. 18 per cylinder.
IOC
Price of commercial LPG cylinder reduced by Rs. 8.50
The price of a domestic LPG cylinder in Mumbai will now cost Rs. 1,052.50. In Kolkata and Chennai, the domestic cylinders are priced at Rs. 1,079 and Rs. 1,068.50, respectively. Meanwhile, in metros such as Delhi, Kolkata, Mumbai, and Chennai, a commercial cylinder will now cost Rs. 2,012.50, Rs. 2,132.00, Rs. 1,972.50, and Rs. 2,177.50, respectively, the Indian Oil Corporation Limited said.
Increase
Price hiked by Rs. 218.50 in past 1 year
In the past one year, the price of domestic LPG cylinders in Delhi has increased from Rs. 834.50 to Rs. 1,053. On May 7, the price per cylinder was increased by Rs. 50. On March 22, the prices were hiked by Rs. 50. Between October 2021 and February 2022, domestic LPG cylinders were priced at Rs. 899.50 in Delhi.