New Delhi: The price of commercial LPG cylinders (19 kg) has been hiked by Rs 993 amid the ongoing US-Iran war, reported news agency ANI, citing sources. The decision was taken amid the mounting pressure to increase the fuel prices due to the ongoing war in West Asia. A 19-kg commercial LPG cylinder will now cost Rs 3,071.50 in Delhi. It is the third time since February 28 when the price of a 19-kg LPG cylinder has been increased. It was first hiked in March by Rs 144 and then on April 1 by Rs 200. The increase in commercial LPG rates will affect restaurants and hotel businesses. Meanwhile, the rate of domestic LPG (14.2 kg) will remain unchanged. cylinders where will be no change in domestic cylinder rates.
Why The Price Hike?
The prices of commercial LPG cylinders have been hiked as India’s energy supplies remain disrupted following the blockade in the Strait of Hormuz. Notably, after the start of the Iran war on February 28, the Islamic Revolutionary Guard Corps (IRGC) imposed a virtual blockade in the strait, triggering an energy crisis in the region. The US also imposed a naval blockade in the key waterway after the first round of peace talks with Iran failed. The US Navy is preventing ships from leaving or entering Iranian ports. Before the start of the war, the Strait of Hormuz accounted for the world’s 20 per cent crude oil and liquified natural gas (LNG) trade.
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What About Prices Of Petrol And Diesel?
There will be no increase in the retail prices of petrol and diesel. Aviation turbine fuel (ATF) prices for domestic airlines will also remain unchanged. “The retail prices of petrol, diesel, and domestic LPG (14.2 kg cylinders) have remained unchanged, fully insulating domestic consumers from the recent increase in international fuel prices. No change in prices of domestic LPG (14.2 kg) for 33 crore domestic LPG consumers. No change in ATF prices for domestic airlines (scheduled operations),” Indian Oil Corporation said.
“Overall, approximately 80% of petroleum products have witnessed no change in prices, ensuring stability for the majority of consumers. Prices of Bulk and commercial LPG cylinders (less than 1% of total consumption) have been revised. Prices of Bulk Diesel and ATF for international airline operations have been adjusted upward. At the same time, around 4% of petroleum products have seen a downward revision, reflecting the dynamic nature of global price movements,” it added.
