LPG cylinder price hiked by over ₹2
NEWDELHI: Domestic cooking gas LPG prices have been hiked by over ₹2 per cylinder after the government increased the commission paid to LPG dealers.
A 14.2-kg subsidised LPG cylinder in Delhi will now cost ₹507.42 as against ₹505.34 previously, according to a price notification of state-owned fuel retailers.
This followed an order of the oil ministry that raised the dealer’s commission. In that order, the ministry said the domestic LPG distributors’ commission for 14.2-kg cylinder and 5-kg cylinder was last fixed at ₹48.89 and ₹24.20 respectively in September 2017.
“Pending finalisation of De-novo Study for revision of LPG distributors’ commission and taking into consideration the increase in transportation costs, wages etc, it has been decided to revise the distributors’ commission to ₹50.58 per 14.2 kg cylinder and ₹25.29 per 5 kg cylinder as an interim measure,” the order said.
This is the second increase in rates this month, the earlier one being on November 1, when prices went up by ₹2.94 per cylinder because of tax component on base price.
Since June rates have gone up every month because of the goods and services tax paid on higher base price and cumulatively prices have risen by ₹16.21.
In Mumbai, a 14.2-kg LPG cylinder now costs ₹505.05 while in Kolkata it is priced at ₹510.70. Chennai has a price of ₹495.39. Rates differ from state to state depending on local taxes and transportation cost.
The new dealer’s commission will be made up of ₹30.08 establishment charges and ₹20.50 delivery charges for a 14.2-kg cylinder.
For 5 kg cylinder, the establishment charges have been fixed at ₹15.04 and the rest ₹10.25 are delivery charges, the ministry order said.
Customers who collect their refills directly from distributor’s premises will continue not to be charged for delivery, it said.