Commercial and Domestic LPG cylinder prices in Delhi hiked by Rs 350.5 and Rs 50 — check new rates here

The LPG Commercial cylinder price was last revised on January 1, 2023 at Rs 1,769.

Oil Marketing Companies (OMC) generally absorb higher price variations for domestic cooking gas . There is an implicit subsidy in the domestic LPG cylinder pricing

The OMCs had incurred losses worth Rs 28,000 crore on domestic cooking gas. The government compensated OMCs domestic cooking gas losses by Rs 22,000 crore last October.

LPG pricing in India is done on the basis of a formula — Import Parity Price (IPP). The IPP is determined based on LPG prices in the international market, assuming that the fuel is imported into the country. International LPG prices tend to move in tandem with the price of crude oil, the key raw material.

The European natural gas prices fell to 18 month low, while US gas prices were around $2-3/mmbtu vs $9/mmbtu in August 2022.