Centre hikes commercial LPG rates by over Rs. 100
What's the story
Government-owned oil companies, Indian Oil Corporation, Bharat Petroleum Corporation, and Hindustan Petroleum Corporation, have raised the prices of 19kg commercial LPG cylinders by up to Rs. 101.5 in the four metro cities.
This marks the second price hike within the last two months. The price hike will come into effect from November 1, 2023.
While the price of commercial LPG cylinders has increased, the price of domestic LPG used for household cooking has remained unchanged.
Details
Prices in major cities
After the price hike, a 19 kg LPG cylinder now costs Rs. 1,833 in Delhi.
The same cylinder is priced at Rs. 1,943 in Kolkata, Rs. 1,785 in Mumbai, Rs. 1,914.50 in Bengaluru, and Rs. 1,999.50 in Chennai.
Domestic LPG cylinder prices continue to be stable at Rs. 903 in Delhi, Rs. 929 in Kolkata, Rs. 902.5 in Mumbai, and Rs. 918.5 in Chennai.
What Next?
Cooking gas subsidy increased
On October 4, the Union cabinet approved a cooking gas subsidy, raising it from Rs. 200 to Rs. 300 per cylinder for nearly 9.6 crore low-income households.
This move coincided with the approaching assembly elections in five states and the upcoming national elections next year. The government's goal is to provide additional subsidies with an emphasis on rural women.
Insights
Expansion of PM Ujjwala Yojana scheme
The government decided to provide more subsidies shortly after approving the expansion of the PM Ujjwala Yojana program, targeting an additional 75 lakh women.
This expansion is part of a larger effort to raise the total number of beneficiaries to 10.35 crore within the next three years.
The main objective of the Ujjwala scheme is to offer women access to clean cooking fuel as a healthier alternative to traditional cooking methods.