Cooking gas LPG price hiked by Rs 25 per cylinder

New Delhi: Domestic cooking gas LPG price on Wednesday was increased by Rs 25 per cylinder - the second straight month of increase in rates. Rates were hiked by Rs 25.50 per cylinder on July 1.

Subsidised LPG now costs Rs 859 per 14.2-kg cylinder in Delhi, according to a price notification of oil companies.

Coming down heavily on the government over the hike in prices, Congress accused it of being insensitive and distorting the budget of every household. Congress spokesperson Supriya Shrinate urged the government to bring down prices of LPG cylinders to provide relief to the common people in the country.

"We do hope that an insensitive government intoxicated on power will pay some attention and bring some respite to people. This is absolutely immoral and there is no word to describe this," she said.

Shrinate said as per Saudi Aramco, which decides on prices of gas, the price actually comes to Rs 600 but why are we paying Rs 260 more.

In the last eight or nine months alone, prices of LPG cylinders have gone up by Rs 265, which is almost 44 percent, she said.

She also alleged that the government is not paying any subsidy on LPG cylinders and there is no difference between the market and controlled prices.

Non-subsidised LPG rates were increased on August 1 by the same proportion, and now the subsidised cooking gas prices have been raised. There is hardly any difference in the rate of subsidised and non-subsidised cooking gas.

Industry sources said the subsidised LPG price was not raised on August 1 because Parliament was in session and the government could have been attacked by the opposition.

The latest increase in subsidised LPG price now has taken the cumulative rate hike since January 1 to Rs 165 per cylinder.

The government eliminated subsidies on LPG by raising rates every month. These monthly increases led to the elimination of subsidies by May 2020. The price of domestic cooking gas has more than doubled in the last seven years. The retail selling price of domestic gas was Rs 410.5 per 14.2-kg cylinder on March 1, 2014.

In Mumbai, a 14.2 kg LPG cylinder now costs Rs 859.5, while in Kolkata, it is priced at Rs 886. For people of Chennai, an LPG cylinder will now cost Rs 875.50, up from Rs 850.50.

Meanwhile, diesel prices were cut by 19 to 21 paise across the country, while petrol prices remained unchanged, according to the price notification.

This is the first change in price in over a month. Petrol continues to remain unchanged at Rs 101.84 a litre in Delhi.