As of June 7, the cost of a 14.2-kg LPG cylinder in Delhi will go up to ₹942 from ₹913, according to industry insiders.
This rise follows a ₹60-per-cylinder increase on March 7, triggered by disruptions in global energy supplies due to conflicts in West Asia, which subsequently escalated international fuel prices. Sources indicate that this adjustment has only partially mitigated the losses from domestic LPG sales.
Prior to this update, state-run oil marketing firms were estimated to be losing approximately ₹703 on each LPG cylinder sold, according to the sources.
The hike in LPG prices comes in the context of a wider set of fuel price increases.
Since mid-May, petrol and diesel prices have risen a total of ₹7.50 per litre, while compressed natural gas (CNG) rates have gone up by around ₹6 per kg.
Despite these increases, oil companies continue to sell petrol and diesel at a loss, currently facing a shortfall of about ₹11 per litre on petrol and ₹33.6 per litre on diesel, as reported by industry sources.
The government has yet to completely transfer the burden of higher international energy prices to consumers, absorbing a portion of the increase through state-owned fuel retailers amid volatile global crude oil and fuel markets.
(Edited by : Srabastee Biswas)
