Commercial LPG price up 47.8% to Rs.3,071/19kg
New Delhi, May 2 -- High international energy prices amid the West Asia crisis on Friday led to a steep 47.8% increase in the price of the commercial liquefied petroleum gas (LPG) used by industries and migrant labourers from Rs.2,078.50 per 19 kg cylinder to Rs.3,071.50, industry executives said.
State-run oil marketing companies (OMCs) have also raised prices of aviation turbine fuel for foreign airlines (priced in the US dollar) from Friday, they said, requesting anonymity. ATF prices for international carriers were raised by about $76.55 per kilolitre (KL) to $1,511.86 from $1,435.31 a KL, the executives said. One KL is equal to 1,000 litres.
The price of a 19-kg commercial LPG cylinder has been increased by Rs.993; hence, the price of 5kg free trade LPG (FTL) would also go up in that proportion, they said. The 5kg FTL cylinders are mainly consumed by migrant labourers and students living on rent near educational institutions.
State-run OMCs often revise prices of petroleum products on the first of every month. They have kept prices of energy (regular petrol and diesel, and domestic LPG meant for cooking) consumed by common people unchanged despite a surge in international oil prices, they said.
International oil prices spiked above $100 per barrel from around $70 amid the war in West Asia and particularly because of supply disruptions due to the closure of the Strait of Hormuz, the choke point used for the transportation of about one-fifth of energy globally. Benchmark Brent crude, which closed at $110.40 a barrel on Thursday, was trading about 0.72% up at $111.2 a barrel on Friday morning. India is the world's third-largest crude oil consumer after the US and China, importing over 88% of the crude it processes.
The Congress on Friday attacked the BJP over the hike in price of commercial LPG cylinder, saying the ruling party's regard for the common Indians' suffering is limited to election gimmicks, after which they are left to their own devices.
The opposition party also said that in the three months since the Iran war began, the government should have prepared a solid plan to shield ordinary Indians from the price shocks, instead of passing on the financial burden.
Leader of Opposition in the Lok Sabha Rahul Gandhi said he had warned that the heat of inflation would strike after the elections.
"Today, commercial gas cylinders have become Rs 993 more expensive. This marks the single largest hike in a single day. This is an election bill," Gandhi said in his post in Hindi on X.
"Since February: A hike of Rs 1,380, an 81% increase in just three months. Tea stalls, 'dhabas', hotels, bakeries, sweet shops - the burden on every kitchen has increased. And this will inevitably impact your plate as well," Gandhi said.
Congress president Mallikarjun Kharge said Prime Minister Narendra Modi used to say that prices would not be increased and spoke about controlling inflation. "Today, I am seeing the reality. It seems he is unable to do what he said," he told reporters in Kalaburagi.
He also slammed people for still backing Modi.
"I do not understand public opinion. Why do people still justify such policies or ideology that have brought the country into such a difficult situation? That is very surprising to me," Kharge said.
In a post on X, Congress general secretary K C Venugopal said, "Just as the election cycle concluded, the Modi government wasted no time to increase prices of LPG cylinders."
"A whopping increase of nearly Rs 1000 on commercial cylinders will affect crores of Indians who rely on food from small eateries for sustenance. Similarly, crores of small food businesses will have to bear the burden of this hike," he said.
The BJP's regard for the common Indians' suffering is limited to election gimmicks, after which they are left to their own devices, Venugopal said. "In the three months since the Iran war began, the government should have prepared a solid plan to shield ordinary Indians from the price shocks, instead of passing on the financial burden," he said.
The price of commercial LPG was hiked by the steepest ever Rs.993 per 19-kg cylinder on Friday, marking the third straight monthly increase due to rising global energy prices linked to the West Asia conflict.
Rates were last increased by 195.50 per cylinder on April 1. Prior to that, prices had gone up by Rs.Rs.114.5 per 19-kg cylinder on March 1.
In three increases, commercial LPG rates have gone up by Rs.1,303.
Prices of domestic cooking gas LPG - the one used in household kitchens - remained unchanged. Domestic LPG rates were last hiked by Rs.60 per 14.2-kg cylinder on March 7. It costs Rs.913 per 14.2-kg cylinder in Delhi.
State-owned Indian Oil Corporation, Bharat Petroleum, and Hindustan Petroleum revise ATF and LPG prices on the first day of every month based on international benchmarks and the exchange rate....
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