National News

New Delhi: Public Sector Oil Marketing Companies Raise Commercial LPG Prices Ahead of Interim Budget

Oil companies hike commercial LPG prices by Rs 14, just before the interim budget, impacting businesses.

Sentinel Digital Desk

NEW DELHI: Public Sector Oil Marketing Companies (OMCs) implemented an immediate increase in the prices of commercial LPG cylinders by Rs 14. This decision, which took effect just hours before the presentation of the interim budget for the fiscal year 2024-25, adds an unexpected twist to the economic landscape.

Traditionally, both commercial and domestic LPG (liquefied petroleum gas) cylinder prices undergo monthly revisions on the first day of each month. This means that the increase in commercial LPG prices comes into effect immediately. Last month, the OMCs had announced a reduction in the prices of 19-kilogram commercial LPG cylinders in major cities including New Delhi, Mumbai, and Chennai.

As of today, the revised prices of commercial LPG cylinders are as follows:

- Delhi: Rs 1,763.50

- Mumbai: Rs 1,723.50

- Kolkata: Rs 1,887.00

- Chennai: Rs 1,937.00

However, in relief for households relying on domestic LPG for cooking purposes, the price of a 14.2-kg cylinder remains unchanged at Rs 903 in Delhi.

This unexpected uptick in commercial LPG prices is likely to have ripple effects across various industries. Businesses that heavily depend on LPG for manufacturing processes, commercial kitchens, and other operations may face increased operational costs. The timing of this hike, just before the interim budget presentation, raises questions about the potential economic implications and the government's stance on managing fuel prices.

While the government has been keen on ensuring the stability of essential commodities, the recent fluctuation in LPG prices adds a layer of uncertainty. The move to keep domestic LPG prices steady provides some relief to households already grappling with inflationary pressures.

The upcoming budget session is expected to address concerns regarding fuel prices, with stakeholders eagerly awaiting announcements that could influence the trajectory of the economy. As businesses assess the impact of this sudden price hike, the broader economic landscape remains dynamic, with the budget expected to shed light on the government's strategies for managing inflation and sustaining economic growth.