Elections are over, price shock begins; LPG cylinder price hiked by Rs 993, huge blow to restaurants

NEW DELHI: Public sector oil marketing companies have sharply increased the price of LPG cylinders as tensions continue to rise in West Asia. The price of commercial LPG cylinders has been hiked by Rs 993 in a single step, which is the biggest increase ever. With this hike, the price of a cylinder has crossed Rs 3000. The sudden increase comes just after the elections in Kerala, West Bengal, Assam, and Tamil Nadu.

Following the price revision, the cost of a commercial LPG cylinder in Delhi is now Rs 3,071.50. There has been no change in the price of domestic cylinders. In the national capital, a 14.2 kg domestic LPG cylinder costs Rs 913.

In Thiruvananthapuram, a 19 kg commercial cylinder now costs Rs 3,106, while in Kochi it is priced at Rs 3,085. With such a steep increase, restaurants may be forced to raise food prices, which could become unaffordable for many people and reduce the number of customers.

The last revision in LPG prices took place in April after tensions escalated in West Asia. A major price hike was expected from May. Last month, the price of a 14.2 kg domestic LPG cylinder was increased by Rs 60. Before that, on March 7, prices were raised by Rs 114.5. In April, the price of a 19 kg commercial cylinder was increased by Rs 196.

The sharp rise in prices is mainly due to the closure of the Strait of Hormuz, a key route for transporting global oil and natural gas. Black marketing and hoarding have also led to shortages, forcing people across the country to struggle to get LPG cylinders. The situation has now turned into a serious crisis.