Subsidised liquefied petroleum gas, used for cooking, will be cheaper by Rs 5.91 per cylinder from January 1 while non-subsidised cylinders will be cheaper by Rs 120.50, the Indian Oil Corporation announced on Monday. With this, the prices of LPG cylinders have been reduced for the second straight month.
The decision was taken because of the decrease in LPG price in the international market and the strengthening of the rupee against the dollar, said the corporation, which is India’s largest fuel retailer.
From Tuesday, a non-subsidised cylinder will cost Rs 689 in Delhi, compared to Rs 809.50 earlier, while the standard 14.2-kg subsidised LPG cylinder will cost Rs 494.99. The two price reductions have mostly negated the Rs 14.13 per cylinder increase in prices between June and November.
All LPG consumers are required to buy the cylinders at market price. However, the government subsidises 12 cylinders a year for each household by transferring the subsidy amount to consumers’ bank accounts.