Commercial LPG cylinder price hiked by huge Rs 209; ATF price hiked 5 percent

NEW DELHI: In a huge setback for millions of consumers, oil marketing companies (OMCs) have hiked the prices of commercial LPG cylinders by Rs 209, with effect from Sunday, according to industry sources.

As a result of this, the price of a 19-kg commercial LPG cylinder will now be Rs 1,731.50 from October 1 onwards in New Delhi.

Dining out is set to become dearer as an immediate fallout of this hike.

The decision has come just a month after OMCs had slashed the prices of commercial LPG cylinders by a significant Rs 158, with effect from September 1, thus bringing their price down to Rs 1,522 in the national capital.

The latest hike in prices of commercial LPG cylinders also comes just over a month after the Centre had cut prices of domestic LPG cylinder by Rs 200 for all connection holders across the country, in August.

Monthly revisions for both commercial and domestic LPG (liquefied petroleum gas) cylinders is done on the first day of each month. Earlier in August too, the prices of commercial LPG cylinders were cut by Rs 99.75 by OMCs.

Aviation turbine fuel (ATF) price was increased by Rs 5,779.84 per kilolitre, or 5.1 per cent, in the national capital to Rs 118,199.17 per kl from Rs 112,419.33, according to a price notification of state-owned fuel retailers.

The increase comes on back of the steepest-ever 14.1 per cent increase (Rs 13,911.07 per kl) effected on September 1, and a 8.5 per cent or Rs 7,728.38 per kl increase on August 1.

The fourth straight increase in prices of jet fuel, which makes up for 40 per cent of an airline’s operating cost, will increase the burden on already financially strained airlines.

On July 1, ATF price had gone up by 1.65 per cent or Rs 1,476.79 per kl. In four increases, ATF prices have gone up by a record Rs 29,391.08 per kl.

Alongside, oil firms raised the price of commercial LPG - the one used in establishments such as hotels and restaurants - by Rs 209.