City LPG price up by Rs 11.42; Pay Rs 413 per cylinder

Oct 07, 2012 |

Hyderabad

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LPG price rise

With the Centre increasing the dealers’ commission on subsidised domestic LPG cylinders by Rs 11.42, consumers in Hyderabad will have to pay Rs 412.92 per cylinder, which will be rounded off to Rs 413.

The cost of petrol and diesel too may go up marginally as the Union oil and petroleum ministry is considering raising dealers’ commission by at least 23 paisa and 10 paisa a litre respectively. The Union petroleum ministry has raised the commission to LPG dealers from Rs 25.83 per cylinder to Rs 37.25 for a 14.2 kg cylinder and decided to pass on the increased burden to the consumers.

This is a departure from the earlier practice of adjusting the dealers’ commission within the retail selling price (RSP). The commission was last revised in 2010. Consumers will have to purchase additional cylinders at the market rate of Rs 969. The rate of non-subsidised cylinders will change every month based on fluctuations in international gas prices. Dealers expect the revised rates to come into force from Monday, and some dealers still feel that the increased burden will be adjusted within the retail selling price (RSP) and not be passed on to consumers as per the earlier policy of the government.

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