LPG Cylinder Becomes Cheaper From Today, Details Here
LPG or liquid petroleum gas prices were lowered this month. While subsidised LPG rates were lowered by Rs 5.91-6.03 per cylinder in Delhi, Kolkata, Mumbai and Chennai with effect from January 1, 2019, non-subsidised cooking gas prices were reduced by Rs 120.5-123 per cylinder, according to data from Indian Oil Corporation's website - iocl.com. Monday's revision in LPG rates marks the second consecutive reduction in LPG rates. Prices that consumers have to pay for purchase of LPG refills were lowered in December 2017 last.
Announcing the new rates applicable in Delhi from the next day, Indian Oil Corporation on Monday said: "The price of Non-Subsidised LPG at Delhi will decrease by Rs.120.50 per cylinder w.e.f. 1st January 2019, due to fall in price of LPG in international market and strengthening of US$-rupee exchange rate."
Here's a comparison of subsidised and non-subsidised LPG cylinder prices in the four metros as given by Indian Oil Corporation on its website:
| Price in rupees per cylinder (14.2-kilograms) | ||||
|---|---|---|---|---|
| Subsidised LPG | Non-subsidised LPG | |||
| Jan-19 | Dec-18 | Jan-19 | Dec-18 | |
| Delhi | 494.99 | 500.9 | 689 | 809.5 |
| Kolkata | 498.09 | 504.12 | 714 | 837 |
| Mumbai | 492.66 | 498.57 | 660 | 780.5 |
| Chennai | 482.88 | 488.85 | 704.5 | 826.5 |
| (Source: iocl.com) | ||||
"Domestic LPG consumer (in Delhi) will now be required to make upfront cash payment of Rs.689.00/- cylinder in place of Rs.809.50/- cylinder," said state-run Indian Oil Corporation, the country's largest fuel retailer.
In December, subsidised LPG prices were lowered by Rs 6.51-6.58 per cylinder in the four metros compared to the previous month, while non-subsidised prices were decreased by Rs 133-134.5 per cylinder, according to Indian Oil Corporation, the supplier of LPG under brand Indane.
That reduction in LPG prices followed six consecutive months of increases in rates since June.
Currently, LPG consumers in the country have to buy the cooking gas at market price. The government, however, subsidises 12 cylinders of 14.2 kg each per households in a year by providing the subsidy amount directly in bank accounts of users.
The amount of subsidy - provided by the government to LPG consumers - varies from month to month, depending on changes in average international benchmark LPG and foreign exchange rates.
For subsidised cooking gas, consumers in the national capital will receive an amount of Rs 194.01 per cylinder in their bank accounts for the month of January. The subsidy transfer in the customer's bank account has been reduced from Rs. 433.66 in November and Rs. 308.60 in December.
"The balance amount is borne as subsidy (Rs 194.01/cylinder) by the Central Government and is being transferred to the Bank account of LPG consumers after purchase and delivery of a refill," Indian Oil Corporation noted.
(With agency inputs)
