Price of non-subsidized LPG cylinder hiked by Rs. 23; ATF price hiked by 9.2%

Wednesday, Jun 1, 2016,11:44 IST By metrovaartha A A A

New Delhi | Oil companies have hiked prices of non-subsidized LPG, which consumers buy after exhausting their annual quota of 12 subsidized cylinders , by Rs. 23 per 14.2-kg cylinder. Also, aviation turbine fuel or jet fuel price was hiked by a steep 9.2 per cent.

Non-subsidised cooking gas (LPG) now costs Rs 548.50 in Delhi as against Rs 527.50 previously. The hike comes on the back of a Rs 18 per cylinder increase in price on May 1. Subsidised LPG costs Rs 419.18 per 14.2-kg cylinder in Delhi.

The three fuel retailers — Indian Oil Corporation, Hindustan Petroleum and Bharat Petroleum — revise jet fuel and non-subsidised LPG prices on the first day of every month, based on the average international price in the preceding month.

Also, price of LPG cylinder for commercial purposes has been increased by Rs. 20.

State-owned oil companies said Sunday that the prices were revised in line with global trends in crude oil prices.

The hike comes a day after petrol price was increased by Rs. 2.58 a liter and diesel by Rs. 2.26.

In the fourth straight monthly increase in rates on global cues, ATF price in Delhi was increased by Rs 3,945.47 per kilolitre, or 9.2 per cent, to Rs 46,729.48 per kilolitre, the oil companies announced Wednesday. The hike comes on the back of 1.5 per cent increase that came into effect on May 1 and a steep Rs 3,371.55 (8.7 per cent) hike on April 1. Prior to that, rates were hiked by steep 12 per cent, or by Rs 4,174.49, on March 1.

Rates vary at different airports because of differential local sales tax or value-added tax (VAT). Jet fuel constitutes over 40 per cent of an airline’s operating cost and the latest price increase will add to the financial burden of cash-strapped carriers. No immediate comment was available from airlines on the impact of the price increase on passenger fares.