LPG price cut: Commercial cylinder becomes Rs 10 cheaper; domestic rates remain unchanged

NEW DELHI: State-owned oil marketing companies on Monday reduced the price of commercial LPG cylinders by Rs 10 per unit, offering relief to the hospitality sector.However, airlines are set to face renewed cost pressure as Aviation Turbine Fuel (ATF) prices were hiked for the third month in a row.With the latest revision, the price of a 19-kg commercial LPG cylinder in Delhi now stands at Rs 1,580.50. This marks the second consecutive monthly reduction, balancing out the Rs 15.50 increase imposed in October, as reported by PTI. Commercial LPG prices were earlier reduced by Rs 5 on November 1. Since April, rates have seen six reductions amounting to a total cut of Rs 223 per cylinder, a move offering relief to hotels, restaurants and caterers.Domestic LPG prices, however, remain unchanged at Rs 853 per 14.2-kg cylinder, holding steady since a Rs 50 hike in April.While the cooking gas price cut brings some relief to commercial users, jet fuel continues to climb. ATF prices rose by 5.4% to Rs 99,676.77 per kilolitre in Delhi, following around 1% and 3.3% hikes in November and October, respectively. Fuel typically accounts for nearly 40% of an airline’s operating costs and the latest increase is expected to add to cost burdens already weighing on the aviation sector.ATF rates now stand at Rs 93,281.04 per kl in Mumbai, Rs 1,03,301.80 in Chennai and Rs 1,02,371.02 in Kolkata. Prices differ across cities based on local taxes.Indian Oil Corporation, Bharat Petroleum and Hindustan Petroleum revise LPG and ATF prices on the first day of every month, based on international pricing trends and exchange rates.Meanwhile, petrol and diesel prices remain unchanged nationwide. The rates have been frozen since a Rs 2-per-litre cut in March last year, with petrol retailing at Rs 94.72 per litre and diesel at Rs 87.62 per litre in Delhi.