Domestic LPG price hiked by Rs 29 per cylinder, second increase in three months

The price of domestic cooking gas LPG has been increased by Rs 29 per cylinder with effect from June 7, marking the second hike in the last three months amid rising global energy costs.

According to industry sources, the price of a 14.2-kg LPG cylinder in Delhi has been revised from Rs 913 to Rs 942.

The latest increase follows a Rs 60 hike implemented on March 7 after tensions and conflict in West Asia disrupted global energy supplies and pushed up international fuel prices. Industry sources said the earlier revision had only partially compensated state-owned oil marketing companies for losses incurred on domestic LPG sales.

Before the latest revision, public sector fuel retailers were estimated to be losing around Rs 703 on every LPG cylinder sold, sources said.

The increase comes amid a broader rise in fuel prices across the country. Petrol and diesel prices have gone up by a cumulative Rs 7.50 per litre since mid-May, while compressed natural gas (CNG) prices have increased by about Rs 6 per kg.

Despite these revisions, oil marketing companies are reportedly continuing to sell petrol and diesel below cost. Industry estimates suggest losses of around Rs 11 per litre on petrol and Rs 33.6 per litre on diesel.

Officials said the government has so far refrained from fully passing on the impact of higher international energy prices to consumers. Instead, a portion of the burden has been absorbed by state-run fuel retailers as volatility in global crude oil and fuel markets persists.