LPG Price Fall: Subsidised Cylinder Gets Cheaper By Rs 6, Non-Subsidised By Rs 120.50

News World India | 2
| January 1 , 2019 , 18:15 IST

LPG consumers got a new year gift from the government as subsidised and non-subsidised LPG rates have been slashed by Rs. 6 and Rs. 120.50 respectively on Monday.

Domestic cooking gas (LPG) price was cut by Rs 5.91 per cylinder, the second straight reduction in a month's time due to tax impact on reduced market rate of the fuel.

Indian Oil Corp (IOC), the country’s largest fuel retailer, said in a statement  that a 14.2-kg subsidised LPG cylinder will cost Rs 494.99 in the national capital from midnight tonight as against Rs 500.90 currently.

The price of Non-subsidised LPG also reduced by Rs. 120.50 in Delhi. Consumers would now have to pay Rs 689 per unsubsidised cylinder, down from Rs 809.5 per cylinder.

Prices in four metro cities given by IOC:

IOC stated that fall in price of LPG in international market and strengthening of US$-rupee exchange rate is the main reason behind the LPG price fall in the country.

The amount of subsidy - provided by the government to LPG consumers - varies from month to month, depending on changes in average international benchmark LPG and foreign exchange rates.

When international rates move up, the government provides a higher subsidy. And when they come down, subsidy is cut.

ALSO READ: Non-Subsidised LPG Rates Cut By Rs 23.50 Per Cylinder

On December 1, price of non-subsidised LPG was cut by Rs 133 per bottle.

The price cut had come after six consecutive monthly hikes in rates since June. The two price reductions have mostly negated the Rs 14.13 per cylinder increase in rates between June and November.