A day after the Union Cabinet increased the quota of subsidised LPG cylinders from 9 to 12, the price of non-subsidised cooking gas was cut by Rs 107 per cylinder on easing international rates.
The 14.2-kg cooking gas cylinder that consumers buy beyond their entitled quota of 12 cylinders at subsidised rates, will now cost Rs 1,134, down from Rs 1,241, in Delhi.
Non-domestic LPG rates were at the beginning of the year hiked by a steep Rs 220 per cylinder but have now been cut in line with softening international oil rates.
- Varun Gandhi Under Attack Over Defence Deals: Here’s How
- This Diwali, Let Blind Students Brighten Up your Homes With Candles & Diyas
- CBI Files Supplementary Chargesheet In Sheena Bora Murder Case
- Soha Ali Khan And Vir Das Starrer 31st October Audience Reaction
- Sahara Chief Subrata Roy’s Parole Extended Till November 28
- Simple Tips To Secure Your Debit Card From Fraudsters
- New Zealand & India Team Being Welcomed In Chandigarh
- Mumbai Call Centre Scam: All You Need To Know
- Jammu Kashmir Chief Minister Mehbooba Mufti Appeals To Police: Here’s What She Said
- Shocker From Ahmedabad: Find Out What Happened
- Bigg Boss 10 Day 3 Review: Celebs Fail To Do Well in First Task
- Airtel Offers 10GB Data At Rs 259 For New 4G Smartphone Users
- Aamir Khan Starrer Dangal’s Trailer Launched: First Impressions
- TMC Supporters Attack BJP Leader Babul Supriyo
- Sri Lankan Navy Apprehends 20 Indian Fishermen
IOC said losses on LPG have come down to Rs 656 per 14.2-kg cylinder from Rs 762.50.
On the other hand, Diesel price on Friday was hiked by 50 paise per litre but there will be no change in petrol rates.
The hike, effective midnight tonight, is excluding local sales tax or VAT. The actual increase will be higher and will vary from city to city. The price of diesel in Delhi will be hiked by 57 paise, including tax, to Rs 54.91 per litre, while it will cost Rs 63.23 a litre in Mumbai as against Rs 62.60 at present.
The diesel price hike is in line with the January 2013 decision of the government to raise rates by up to 50 paise per month till such time that the entire losses on the fuel are wiped out, and prices made market determined.
Announcing the price hike, Indian Oil Corp, the nation’s largest fuel retailer, said that even after the 13th price hike since last January, oil companies are incurring Rs 9.24 per litre loss on sale of the fuel.
Officials said there will be no change in petrol rates as current price of Rs 72.43 a litre in Delhi was almost in line with the cost.
Diesel price was last hiked by 50 paise on January 4. Since January 2013, diesel rates have risen by a cumulative Rs 7.76.
“Even after the current increase, under recovery (loss) on retail diesel shall stand at Rs 7.40 per litre,” IOC said in a statement.
Besides diesel, IOC was losing Rs 35.76 a litre on sale of kerosene through Public Distribution System (PDS) and Rs 656 on sale of 14.2-kg subsidised domestic LPG cylinder.
“For the year 2013-14, the Corporation is expected to incur under-recovery (revenue loss) of around Rs 73,700 crore on sale of three sensitive products and industry (IOC plus Bharat Petroleum Corp and Hindustan Petroleum Corp) would incur around Rs 1,42,000 crore,” the statement added.
On diesel, it said, the government had on January 17, 2013 authorised oil marketing companies to increase the retail selling price within a small range every month.
“Accordingly, since then, retail diesel prices are being revised every month,” it said.