Oil retailers hike price of non-subsidy gas
04 October 2012
Following the government's decision to cap the number of subsidised liquefied petroleum gas (cooking gas) cylinders per household at six a year, the three state-owned oil marketing companies have raised the price of non-subsidised LPG by Rs127 per cylinder as a result of hike in international oil prices.
This implies that gas cylinders beyond the limit of six will cost Rs883.5 each in Delhi, Rs894 in Mumbai, and Rs913 in Kolkata. The hike will be effective from 1 October.
While announcing the hike in prices, Indian Oil Corp (IOC), the largest oil retailer, reportedly said that any decline in the international price of LPG will be reflected in lowering of prices of non-subsidised LPG cylinders.
While subsidised cylinders will continue to be available at Rs 399 per cylinder (Delhi), the market price for non-subsidised LPG cylinders will be notified on a monthly basis by fuel retailers.
IOC further pointed out that the government has extended exemption from customs and excise duty on non-subsidised LPG cylinders for domestic consumption so as to ease the burden on the consumers.
The market rate of a commercial 14.2-kg LPG cylinder and a 19-kg cylinder in Delhi will be Rs1,062 and Rs1,536.5 respectively.