Commercial, mini LPG prices hiked by Rs 993 and Rs 261

Steepest price hike so far; move comes after polling in four states, Puducherry

New Delhi: The price of a 19-kg commercial LPG cylinder was hiked by Rs 993, and the 5-kg mini cylinders, widely used by the labourers and street vendors, by Rs 261, with effect from Friday, just a couple of days after the completion of assembly elections in four states and Puducherry.

The commercial LPG cylinder now costs Rs 3,071.50 in Delhi, Rs 3,046.50 in Mumbai and Rs 3,174.50 in Bengaluru, as per data released by Indian Oil Corporation. The price varies due to state taxes.

This is the steepest single increase in LPG cylinder prices so far.

The price of THE commercial LPG cylinders has been raised three times since the beginning of the West Asia war on February 28.

It was raised by Rs 114.50 per cylinder on March 1 and by Rs 195.50 per cylinder on April 1. The cumulative increase in a 19-kg commercial LPG cylinder in the past two months stands at Rs 1,300.

The price rise will directly impact the restaurants, hotels, bakeries and other businesses that rely heavily on commercial LPG.

It may lead to a jump in prices of food and other items as businesses are likely to fully or partially pass the costs on to the consumers.

The price of the 5-kg Free Trade LPG (FTL) cylinder, commonly referred to as the ‘Chotu’ or mini cylinder, has been increased by Rs 261 per cylinder.

However, the price of domestic LPG, used by households, has been left unchanged. The price of petrol, diesel and Aviation Turbine Fuel (ATF) for domestic use also remains unchanged.

The latest revision comes amid volatility in crude oil and gas prices in the global markets amid tensions in West Asia.

Brent crude price surged to a high of $126 per barrel on Friday.

Opposition leaders slammed the government for the price hike, saying it will hit the common man. Leader of the Opposition in the Lok Sabha, Rahul Gandhi, said the government would soon increase the price of petrol and diesel also.

“I had said it - the heat of inflation would come after the elections. Today, a commercial gas cylinder is Rs 993 more expensive. The biggest increase in a single day. This is the election bill. From February till now: Rs 1,380 increase - a whopping 81% jump in just 3 months,” Gandhi said in a post on X.

The country’s largest oil marketing company, Indian Oil Corporation, claimed that bulk and commercial LPG cylinders account for less than 1% of total consumption. No change in prices of domestic LPG (14.2 kg) for 33 crore consumers. No change in ATF prices for domestic airlines (scheduled operations), it said. “Overall, approximately 80% of petroleum products have witnessed no change in prices, ensuring stability for the majority of consumers. Prices of Bulk and commercial LPG cylinders (less than 1% of total consumption) have been revised,” Indian Oil Corporation said in a statement.

No change in domestic ATF

Aviation fuel prices for domestic airlines were left unchanged providing stability for local carriers and sparing flyers any immediate cost increase. However the state-owned oil firms hiked the aviation turbine fuel rates for international airlines by $76.55 per kl or 5.33% to $1511.86 per kl.