LPG cylinder prices across the country surpassed the Rs 1,000 mark on Thursday for the second time this month, increasing by Rs3.50.
14.2 kg domestic LPG cylinders will be available for Rs 1,003 in Delhi and Mumbai, 1,029 in Kolkata, and 1,018.5 in Chennai starting today.
On May 7, gas prices were also increased by Rs50, causing LPG cylinder prices to exceed Rs1,000 in several cities, with the exception of the capital. However, following today's hike, Delhi has also reached the milestone. According to sources, the price of a domestic LPG cylinder in Delhi has risen to 1,003 from 809 in the last year.
Rates vary by state, depending on the presence of local taxes such as VAT. Prices are higher in states where taxes are higher.
Increased geopolitical tensions, as well as an increase in transportation costs due to higher fuel prices, are all contributing to the increase. This year, international oil prices have been rising. In March, they hit a 13-year high of USD 140 per barrel before losing some of their gains. On Thursday, Brent was trading at USD 110.13 per barrel. To make matters worse, the Indian rupee has fallen to Rs 77.74 per dollar, making imports more expensive.