Domestic LPG price hiked by ₹29 per cylinder, second rise in 3 months

Domestic cooking gas (LPG) prices were increased by ₹29 per cylinder on Saturday, the second revision in three months, as state-owned fuel retailers continued to contend with higher international energy costs.

According to industry sources cited by PTI, the price of a 14.2-kg LPG cylinder in Delhi will rise to ₹942 from ₹913 with effect from June 7.

The latest revision comes after a ₹60-per-cylinder increase announced on March 7, when tensions and conflict in West Asia disrupted global energy supplies and pushed up fuel prices in international markets. The PTI report said the earlier increase had only partially compensated oil marketing companies for losses on the sale of domestic LPG.

Before the latest hike, state-run oil marketing companies were estimated to be losing around ₹703 on every domestic LPG cylinder sold, according to industry sources.

The increase in LPG prices is part of a broader trend of fuel price revisions in recent weeks.

Petrol and diesel prices have been raised by a cumulative ₹7.50 per litre since mid-May, while compressed natural gas (CNG) rates have gone up by about ₹6 per kg.

Despite these increases, industry sources said oil marketing companies continue to sell petrol and diesel below their costs. The losses are estimated at around ₹11 per litre on petrol and ₹33.6 per litre on diesel.

The government has so far refrained from fully passing on the impact of higher international fuel prices to consumers, with a portion of the burden being absorbed by state-owned fuel retailers as volatility persists in global crude oil and fuel markets.