The price of non-subsidised 14 kg Indane gas in metros has increased and the new rates would be applicable from Wednesday. State-run oil marketing companies have hiked the price of non-subsidised liquefied petroleum gas (LPG) cylinders across metro cities.
According to ANI, in Delhi, the price rose by Rs 144.50 to Rs 858.50, a sharp hike of Rs 144.5 from its last revision on January 01, 2020. In Kolkata, the price is now at Rs 896.00, up by Rs 149. The price of the 14 kg Indane gas in Mumbai is at Rs 829.50, up by Rs 145. In Chennai on the other hand, the price is at Rs 881.00, which is an increase of Rs 147. Indane is delivered to the doorsteps of 11 crore households, which supplies 30 lakh Indane cylinders daily all over India.
Prices of non-subsidised 14 kg Indane gas in metros, applicable from today: In Delhi price rises to Rs 858.50 (increase by Rs 144.50), in Kolkata - Rs 896.00 (increase by Rs 149), in Mumbai - Rs 829.50 (increase by Rs 145), in Chennai - Rs 881.00 (increase by Rs 147). pic.twitter.com/0kbynJJld7— ANI (@ANI) February 12, 2020
Fuel retailers revise the prices of LPG cylinders every month. Fuel retailers sell LPG cylinders at the market price but the government subsidises 12 cylinders each household per year by providing direct subsidy. This is the sixth straight hike in LPG cylinder prices in the past few months. The prices were last increased by over Rs 19 on January 1.
The price of LPG cylinders in India depends on mainly two things-the international benchmark rate of LPG and the exchange rate of the US dollar and rupee. With every increase in international rates, Goods and Services Tax (GST) on LPG is calculated not on the base price but market price changes.
The government provides a higher subsidy to subsidised customers via the direct benefit transfer scheme but the non-subsidised category has no such protection. Those buying non-subsidised cylinders pay the market price plus the GST on market price.