New Delhi: State-run fuel retailers on Monday slashed the price of non-subsidised liquefied petroleum gas (LPG) sold in 19-kg cylinders for commercial use by ₹30.50 per refill. The move came close on the heels of the government reducing cooking LPG prices by ₹100 per 14.2-kg cylinder, benefiting 320 million households days before the Lok Sabha poll dates were announced.
Now, a non-subsidised 19-kg commercial gas cylinder used in hotels, restaurants and for industrial applications will cost ₹1,764.50 in Delhi, ₹1,879 in Kolkata, ₹1,717.50 in Mumbai and ₹1,930 in Chennai, according to Indian Oil Corporation’s (IOC) latest pricing data. Prices of the fuel vary from place to place because of differences in local levies.
While prices of subsidised 14.2-kg LPG cylinders (used by households for cooking) remained unchanged, the international fall in the price of the fuel will proportionately reduce government’s subsidy burden. After the March 8 price-cut announcement, subsidised 14.2-kg LPG cylinders are sold at ₹803 each in New Delhi for general customers and the same is available for ₹503 per cylinder to 102.7 million poor households covered under the Pradhan Mantri Ujjwala Yojana (PMUY).
Last month on March 8, Prime Minister Narendra Modi announced slashing cooking gas price for all customers by ₹100 per 14.2 kg cylinder as an outreach on International Women’s Day. “Today, on Women’s Day, our Government has decided to reduce LPG cylinder prices by ₹100. This will significantly ease the financial burden on millions of households across the country, especially benefiting our Nari Shakti,” he said in a tweet on that day.
PM’s announcement came a day after the Union Cabinet sanctioned ₹12,000 crore to PMUY beneficiaries by extending ₹300 subsidy on every cooking gas refill for one more year, up to March 31, 2025. Unless given an extension, the subsidy scheme for poor households would have lapsed on Sunday, March 31.
Besides subsidised cylinders, PMUY beneficiaries also get free gas connections. The scheme was launched by the Modi government in May 2016 to make LPG, a clean cooking fuel, available to rural and deprived poor households. It provides deposit-free cooking gas connections to adult women from poor households.
India imports over 60% of its domestic LPG consumption. Prices of commercial LPG in the country is linked to its rate in the international market.
