The price of commercial LPG cylinders has increased because the companies that distribute these cylinders raised their prices. The oil marketing companies increased their prices by an average amount of Rs 993 for each 19 kg cylinder. The new pricing system will start on this day.
No Change for Domestic Users
The Central Government has declared that the price of household LPG cylinders will stay at its current level. The domestic customers will continue to pay the same rates.
Global Factors Behind the Increase
The US-Israel-Iran conflict remains uncertain about its future developments. This situation has affected fuel supply routes. The Strait of Hormuz which serves as a vital transportation route for oil and gas has experienced disruptions which resulted in higher prices.
Multiple Hikes in Recent Months
The commercial LPG price increases which began in February have now reached their third increase. The price increased by Rs 144 in March and by Rs 195 on April 1. The latest increase of Rs 993 is the largest so far.
Prices Cross Rs 3,000 Mark
One commercial LPG cylinder now costs more than Rs 3,000. The price in Hyderabad has reached Rs 3,315. The current price in Delhi is Rs 3,071.
Impact on Businesses
The price increase will result in higher operational costs for restaurants and hotels. Restaurants and hotels will pass their increased operational costs to customers through higher prices.
Other Fuel Prices Remain Stable
Petrol and diesel prices have remained constant throughout this period. The unchanged price of Aviation Turbine Fuel (ATF) provides domestic airlines with some financial relief.
Small Cylinder Prices Also Rise
The price of a 5 kg LPG cylinder has increased as well. The current price stands at Rs 914.50.
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