LPG Cooking Gas Cylinders Cheaper By Rs 100.50 From Today

தமிழில் படிக்க বাংলায় পড়ুনAll India Edited by Jimmy Jacob

LPG Gas Cylinder Price Reduced: With this, the unsubsidised price of each domestic LPG cylinder has come down from Rs 737.50 to Rs 637.

Updated : July 01, 2019 11:23 IST

Story Highlights

Decision taken in view of softening LPG prices in international market
The cut comes barely a month after LPG saw a price hike of 3.65%
Hike in LPG prices had provoked objections from opposition back then

New Delhi:

Cooking gas cylinders will be cheaper by Rs 100.50 from today, the Indian Oil Corporation has declared, providing major relief to households across the country. With this, the unsubsidised price of each domestic LPG cylinder will be Rs 637 instead of Rs 737.50.

According to a press release issued by Indian Oil, the decision to cut rates was taken in view of softening LPG (liquefied petroleum gas) prices in the international market and a favourable dollar-rupee exchange rate.

As domestic LPG prices are subsidised by the government, the effective price has come down to Rs 494.35 per cylinder with this rate revision. The balance amount of Rs 142.65 per cylinder "would be borne as subsidy" by the central government and transferred to the consumer's bank account after the purchase of a refill, the release said.

The cut comes exactly a month after LPG saw a price hike of 3.65 per cent with effect from June 1. According to Indian Oil, that amounted to an increase of Rs 25 per cylinder as compared to the previous month.

The hike in LPG prices had provoked objections from the opposition back then, with West Bengal Chief Minister Mamata Banerjee even threatening to launch a statewide agitation. "Why were LPG prices hiked after the elections? We condemn the gas price hike," she said.

At present, the government subsidises 12 cylinders of 14.2 kg each per household in a year. For any additional purchases, the consumer has to bear the market price. The extent of subsidy varies from month to month, depending on changes in the average international benchmark LPG prices and foreign exchange rates.

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