The price of domestic LPG cylinders has been increased by Rs 29, with the revised rates coming into effect from June 7. Following the latest hike, the cost of a 14.2-kg household LPG cylinder in Delhi has risen from Rs 913 to Rs 942.
This is the second major increase in recent months. In March, oil marketing companies had raised LPG cylinder prices by Rs 60 amid disruptions in global energy markets caused by tensions in West Asia.
Government Assures Adequate LPG Supply
Speaking at an inter-ministerial briefing on Thursday, Sujata Sharma, Joint Secretary in the Ministry of Petroleum and Natural Gas, said the government has taken several measures to ensure sufficient LPG availability across the country. These include boosting domestic production and securing additional imports.
Addressing concerns over subsidies, Sharma noted that under-recoveries on domestic cooking gas cylinders continue to remain high, at around Rs 700 per cylinder.
Factors Behind Slower LPG Demand Growth
According to Sharma, LPG demand has moderated due to a combination of factors. These include reduced consumption by commercial and industrial users, improvements in booking cycle management, and the implementation of Delivery Authentication Code (DAC)-based delivery systems.
She said the changes in booking intervals, ranging between 25 and 45 days, along with technology-driven delivery verification, have contributed to a decline in overall demand growth.