Non Subsidised LPG Price Hike: The State-controlled oil marketing companies (OMCs) on Wednesday raised the price of non-subsidised liquefied petroleum gas (LPG) cylinders. It is the sixth hike in past few months. It is pertinent to mention that non-subsidised LPG is the gas that is purchased by the consumers after finishing their quota of 12 cylinders of 14.2-kg at about Rs 556 each.
As per Indian Oil website, a 14.2 kg non-subsidised LPG cylinder will now be sold at Rs 858.50 in Delhi, a major hike of Rs 144.50 from its previous price on January 1 this year. In Kolkata, LPG cylinder price was hiked by Rs 149 to Rs 896. LPG cylinder became costlier by Rs 145 to Rs 829.50 in Mumbai while in Chennai by Rs 147 to Rs 881. The new rates have been effective from Wednesday.
The prices for LPG are revised every month based on the average international rate for benchmark fuel and the foreign exchange rate of US dollar and rupee in earlier month. The OMCs have been increasing LPG prices since August every month. Meanwhile, the subsidised cooking gas prices have been increased by Rs 62 a cylinder or 13 per cent in six months.
Besides, from February, the rates of 19-kg cylinders were raised to Rs 1,466.00 per unit in Delhi and Rs 1,540.50 in Mumbai. Earlier, the price was Rs 1,241.00 and Rs 1,190.00, in Delhi and Mumbai, respectively.
In Union Budget 2020-21, Finance Minister Nirmala Sitharaman has raised the allocation for providing subsidised fuel, especially LPG and kerosene, by 6 per cent to Rs 40,915.21 crore for the next fiscal. Meanwhile, the allocation for LPG subsidy has been raised to Rs 37,256.21 crore for the next fiscal from the revised estimate of Rs 34,085.86 crore for current year.