Commercial LPG cylinder price hiked by Rs 62.50 in Delhi, ATF costlier by Rs 16 ahead of festive season

Commercial LPG has become costlier again from October 1, with the price of a 19-kg cylinder in Delhi rising by Rs 62.50 to Rs 2,810, just ahead of the festival season.

The new rate is up from Rs 2,747.50, an increase of about 2.3 per cent, according to state-owned oil companies. The price of domestic LPG used in household kitchens remains unchanged at Rs 942 per 14.2-kg cylinder in Delhi. Households are not affected by the latest revision.

Aviation turbine fuel (ATF) prices were also raised by a steep Rs 16 per litre from October 1, according to the oil companies.


Also read: Centre cuts windfall tax on diesel, ATF exports from October 1

ATF now costs Rs 137 per litre, up from Rs 121 for domestic airlines. The latest revision comes after a hike of Rs 6.28 per litre, or 5.46 per cent, in September, which followed a Rs 5 per litre increase in August. ATF accounts for up to 40 per cent of operating costs for airlines, making fuel prices a key cost factor for carriers.

Earlier, the Centre cut the windfall tax on exports of diesel and ATF, according to a notification issued by the Finance Ministry on Wednesday. The Special Additional Excise Duty (SAED) on diesel exports was reduced to Rs 16 per litre from Rs 20 per litre. The levy on ATF exports was cut to Rs 10.50 per litre from Rs 15 per litre.

The revised rates are effective from October 1 and apply for the next fortnight. The windfall tax on petrol exports remains unchanged at Rs 0.50 per litre.

The government had last revised the export levies on September 16. At that time, the diesel duty was reduced to Rs 20 per litre from Rs 25 per litre, and the ATF levy to Rs 15 per litre from Rs 19 per litre. The export duties are reviewed every fortnight based on international crude oil and petroleum product prices.

There is no change in the existing excise duty rates on petrol and diesel cleared for domestic consumption. The latest revision applies to exports and does not directly alter the excise duty on fuel sold in India.

The increase in commercial LPG follows a Rs 9.50 per cylinder hike in September, which came after two consecutive monthly reductions of Rs 183.50 in July and Rs 192 in August. The cuts followed a surge to a record high in June amid disruptions to global energy supplies and elevated international prices. Commercial LPG prices had risen by Rs 1,373 per 19-kg cylinder between February and June, from Rs 1,740.50 to Rs 3,113.50. At Rs 2,810, the price is still over 60 per cent higher than the February level.

Domestic cooking gas rates were increased by Rs 89 per cylinder between March and June after the West Asia crisis led to supply disruptions and a surge in international energy prices. Petrol and diesel prices, which were hiked by about Rs 7.50 a litre each in May, also remained unchanged.

ATF and commercial LPG prices are revised on the first day of every month based on movements in international benchmark prices and the rupee-dollar exchange rate. Rates can vary across states because of local taxes such as VAT.