Non-subsidised LPG rates raised by Rs 86 per cylinder, steepest hike in India’s history

Notedly, more than one crore households have voluntarily given up the cooking gas subsidy

By: News Desk |
March 2, 2017 10:33 am

Customers of non-subsidised domestic cooking gas (LPG) will have to Rs 86 more effective from March 1 as the state-run fuel retailers raised the prices in tune with international trend.

It was earlier priced at Rs 651.50 per 14.2-kg cylinder till February 28, from yesterday the price was raised to Rs 737.50, With effect from March 1, 2017, non-subsidised price of LPG cylinder has increased by Rs 86. This is in line with the rise in global LPG product prices,” a Petroleum Ministry statement here said.

Notedly, more than one crore households have voluntarily given up the cooking gas subsidy, while households with annual incomes of Rs 10 lakh and above do not fall under the category. The hike, steepest in the history, comes on back of Rs 66.5 per cylinder increase effected from February 1. Oil Firms also raised the price of subsidised cooking gas by 13 paise, to Rs 434.93 per 14.2-kg cylinder. This follows a 9 paise increase effected from February 1.

An official statement said the increase in non-subsidised LPG rates were in “line with the rise in global LPG product prices.” “However, there will be no impact on the LPG consumers receiving subsidised refills,” it said.

Giving an illustration, it said the consumer will pay Rs 737 for a new refill in Delhi and will receive subsidy amount of Rs 303 in his/her account and the net price for the consumer will be Rs 434, which remains unchanged.