Indian government pushed up domestic LPG cylinder prices Sunday,hiking cost by ₹29 to ₹942 in Delhi . Global LPG prices have jumped about 46% since February,driven by West Asia tensions .
Under Pradhan Mantri Ujjwala Yojana (PMUY), beneficiaries will still pay ₹642 per cylinder, with a ₹300 subsidy on first four refills yearly. That's down from nine subsidized refills before . Total domestic LPG price hike now adds up to ₹89 per cylinder since March 7, when a ₹60 increase hit.
Supplying a domestic LPG cylinder now costs over ₹1,600,mainly due to spikes in international prices tied to the Saudi Contract Price (CP). This benchmark, a global LPG reference,surged after Strait of Hormuz disruptions, a crucial oil and gas route .
Even with price rises,officials stress India's LPG rates remain among world's lowest. Government pointed out prices are still lower than in countries like Pakistan,Nepal,Bangladesh,Sri Lanka, and far cheaper than US and Canada.
State oil companies have been bleeding cash,losing about ₹703 per cylinder before recent price bump. By end of last financial year,domestic LPG sales under-recoveries hit nearly ₹60,000 crore,up from ₹41,338 crore prior. To ease this,the Union Cabinet okayed ₹30,000 crore in compensation for these firms.
Government underscored efforts to keep LPG flowing during crisis. Domestic production jumped over 60%, from around 32,000 tonnes daily to about 52,000 tonnes. They've also widened import sources, tapping into US,Canada, Algeria suppliers to keep LPG coming to ports.
Commercial LPG prices, adjusted monthly on international benchmarks, have seen 19 kg cylinders in Delhi hit ₹3,113.50. Crisis-driven jump. Meanwhile,domestic price stays at roughly ₹66 per kg post-revision.
To better balance supply-demand,government urged consumers to switch to piped natural gas if available and cracked down on subsidized LPG cylinder diversion for commercial use. Aiming to secure household supplies amid geopolitical strains, supply chain hiccups.
Officials reiterated government shoulders bulk of difference between global and retail prices, shielding households from full brunt of rising energy costs. These moves reflect effort to keep cooking fuel affordable, available across nation…
