India OMCs Raise LPG Prices by ₹29 as Daily Fuel Losses Stay at ₹600-700 Crore
Updated
Updated · Mint · Jun 8
India OMCs Raise LPG Prices by ₹29 as Daily Fuel Losses Stay at ₹600-700 Crore
3 articles · Updated · Mint · Jun 8
Summary
A ₹29 increase in domestic LPG prices took effect Sunday, lifting a 14.2-kg cylinder to ₹942 in Delhi after a second hike since the West Asia war began on 28 February.
Daily under-recoveries for state-run fuel retailers still run at ₹600-700 crore, even after petrol and diesel price hikes since 14 May cut losses to about ₹6 a litre on petrol and ₹30 on diesel.
West Asia fighting has disrupted oil supplies and pushed up energy prices, though Brent later eased to about $93.89 a barrel after talk of an immediate Iran-Israel ceasefire.
The government has also cut subsidized PMUY refills to four a year from nine, saying average use is four to five cylinders; beneficiaries will get ₹300 per refill, or ₹1,200 annually.
The pressure is already hitting demand: India’s LPG consumption fell to 2.13 million tonnes in May, the lowest level since the Covid pandemic.