Oil Marketing Companies (OMCs) have announced a revision in the prices of Liquefied Petroleum Gas (LPG) cylinders effective from March 1. According to the latest notification, the prices of 19kg commercial gas cylinders have been hiked by ₹28 to ₹31 across various states. This monthly revision comes as a significant update for commercial establishments. 2kg domestic LPG cylinders used in households remain unchanged, providing relief to common consumers.
New Rates for Commercial Cylinders in Metros
50.50. 50.50. These rates are applicable at all distribution points from today.
Status of Domestic LPG Cylinder Prices
2kg domestic LPG cylinders, which are used for household cooking, have been kept stable. 00.50 respectively. The decision to keep domestic rates unchanged ensures that the monthly kitchen budget of households isn't impacted by this round of revisions.
Current Retail Prices of PNG
Piped Natural Gas (PNG) rates have also seen no change in the current billing cycle. 59 per SCM. 46 per SCM. 27 per SCM respectively. This stability in PNG prices offers a consistent cost structure for urban households using piped connections.
Impact on Commercial Establishments
The hike in commercial LPG prices is expected to increase the operational costs for hotels, restaurants, and small eateries. As the festive season of Holi approaches, commercial operators will have to account for the increased expenditure on fuel. Since these establishments rely heavily on 19kg cylinders for large-scale cooking, the price adjustment directly influences the cost of production in the food and beverage sector.
Mechanism of Fuel Price Revision
LPG prices in India are determined by state-run Oil Marketing Companies based on international fuel benchmarks and foreign exchange rates, while these revisions typically occur on the first day of every month. While commercial rates are frequently adjusted to align with global market trends, domestic LPG prices are often managed to mitigate the impact of inflation on the general public. The current hike reflects the ongoing volatility in the global energy market.