Strong Asian demand could weigh on supplies in coming months just as Europe is likely to step up purchases of the fuel for heating in winter, an industry source in Singapore said
Simultaneously, non-subsidised cooking gas LPG rates were increased by Re 1 to Rs 594 per 14.2-kg cylinder in the national capital
The price of ATF in the national capital has been raised by Rs 11,030.62 to Rs 33,575.37 per kilolitre
This comes at a time when a large number of businesses are expected to resume work in the coming week.
Assuming that each of these 68 million cylinders has gone against one connection, the lockdown relief from the government could not reach 12.3 million families with Ujjwala connections
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This is a third straight monthly reduction in the price of LPG cylinders and comes on the back of falling international rates
The plummeting demand for energy across the board is causing a major headache for the sector will be how to balance its limited storage capacity
IndianOil sells about 300,000 cylinders every day and has a refining capacity of about 81 million tonnes
Analysts say the subsidy burden on both LPG and kerosene is likely to be around Rs 35,000 crore
The government gives subsidy for 12 refills of 14 kg cylinder to those to those with annual income of more than Rs 10 lakh.
It also said domestic consumers have been largely insulated from the hike by way of the large increase in subsidy
LPG cylinder prices have been hiked by Rs 144.5 from today
This is the second straight monthly increase in rates warranted due to firming up of prices in the international market
Distributors say consumers reluctant to accept cylinders not booked by them
Delivery of cylinders is taking around 10 to 15 days in some of the states
State-owned fuel marketing companies revise ATF prices on the 1st of every month based on average of benchmark international oil price in the previous month
Non-subsidised LPG will now cost Rs 574.50 with effect from midnight tonight
Subsidised cooking gas price will be Rs 494.35 per cylinder
The subsidy transfer in customers' bank account has been increased to Rs 376.60 per cylinder