The government on Sunday raised the prices of commercial cooking gas (LPG) used in hotels and restaurants by Rs 209 for a 19kg cylinder. This is in line with the firming up trend in international benchmarks used for LPG pricing.
The hike of Rs 209 from October 1 comes after slashing of over Rs 257 in the previous two months. The latest increase reserves most of the Rs 157.5 per cylinder cut in commercial LPG price on September 1 and Rs 99.75 cut on August 1. A 19-kg commercial LPG cylinder will now cost Rs 1,731.5 in New Delhi and Rs 1,684 in Mumbai.
However, the price of domestic LPG, the one used in household kitchens for cooking purposes, remained unchanged at Rs 903 per 14.2kg cylinder. Fuel retailers had on August 30 cut domestic LPG rates by Rs 200 per 14.2-kg cylinder.
Jet fuel or Aviation Turbine Fuel (ATF) price was also hiked on Sunday by 5.1 per cent, which translates to Rs 5,779.84 per kilolitre, in New Delhi. The new price in the fourth straight monthly hike since July is Rs 118,199.17 per kilolitre.
September 1 saw the sharpest-ever hike of 14.1 per cent or Rs 13,911.07 per kl. The price was increased by 8.5 per cent or Rs 7,728.38 per kl on August 1 while it soared by 1.65 per cent or Rs 1,476.79 per kl on July 1. State-owned fuel retailers revise cooking gas and ATF prices at the beginning of every month based on the average international price in the previous month.
Jet fuel makes up for 40 per cent of an airline's operating cost and the latest hike will deteriorate the situation. With the October 1 hike, ATF prices have gone up by a record Rs 29,391.08 per kl.
