Commercial LPG Gas Price Rises Across India Ahead of Festive Season

Understanding the Recent Commercial LPG Gas Price Adjustment

State oil-marketing companies have increased the commercial lpg gas price across the country. This adjustment brings a minor upward revision to commercial cylinders just before the festive period begins.

While the commercial sector experienced an increase, prices for the domestic variant of bottled hydrocarbon gas remain untouched. Additionally, aviation turbine fuel for domestic carriers saw a surge.

Impact on Gas Cylinder Refills in Metros

The latest revisions vary across different metropolitan areas:

• Delhi: The 19-kg commercial gas cylinder increased by ₹10, bringing the new price to ₹2,820. The 5-kg free-trade refill is now priced at ₹782.
• Mumbai: Prices for the 19-kg cylinder went up by ₹10.5, reaching ₹2,775.
• Kolkata: This city recorded the steepest revision, with the cylinder becoming ₹17 more expensive at ₹2,971.
• Chennai: Rates increased by ₹11.5, placing the new cylinder price at ₹2,994.5.

Broader Market Trends and Under-Recoveries

Although this standalone adjustment is marginal, it follows a sequence of recent market changes. Earlier reductions in July and August had cumulatively lowered 19-kg cylinder costs by ₹380. Across subsequent tranches, commercial variant prices have cumulatively risen by about ₹85 per refill.

Industry analysts note that this hike coincides with projected under-recoveries for LPG ranging between ₹309 and ₹328 per cylinder, which are anticipated to climb further in December. Meanwhile, overall domestic LPG consumption accounts for about 87% of bottled hydrocarbon gas sold nationwide, with commercial segments making up roughly 9.3%.

Sources: The Hindu, Telegraph India, Scroll.in.