Rise in Prices from 1st day of December: Commercial LPG Prices Hiked by ₹16.5; Jet Fuel Becomes Costlier by 1.45%
Monthly price revisions for December see hikes in commercial LPG and aviation turbine fuel, while household LPG rates remain steady.
Commercial LPG Price Hike: Prices of 19-kg commercial LPG cylinders used in hotels and restaurants have been increased by ₹16.5 across major cities.
Revised prices:
• Delhi: ₹1,818.50 (up from ₹1,802)
• Mumbai: ₹1,771
• Kolkata: ₹1,927
• Chennai: ₹1,980
This marks the fifth consecutive monthly hike for commercial LPG.
Jet Fuel (ATF) Cost Increase:
• Aviation turbine fuel prices have risen by 1.45% (₹1,318.12 per kilolitre), bringing the rate to ₹91,856.84 per kl in Delhi.
• This is the second straight monthly increase in jet fuel prices following a 3.3% hike in November.
Household LPG Prices Steady
The price of household LPG cylinders (14.2 kg) remains unchanged:
• Delhi: ₹803
• Mumbai: ₹802.50
• Kolkata: ₹829
• Chennai: ₹818.50
Household LPG prices have not been revised since earlier this year, offering relief to domestic users amid rising international fuel prices.
Price Trends and Context
• Jet Fuel: After witnessing price reductions in September and October, the ATF prices are now on an upward trend, reflecting international oil price movements. These fluctuations significantly impact airline operations and ticket pricing.
• Commercial LPG: The continuous price hike in commercial cylinders may result in increased costs for food and hospitality services.
State-owned oil companies such as Indian Oil Corporation (IOC), Bharat Petroleum Corporation (BPCL), and Hindustan Petroleum Corporation (HPCL) adjust LPG and ATF prices monthly. Revisions are based on:
– International fuel benchmark prices.
– Fluctuations in foreign exchange rates.
– Local taxes and VAT variations across states.
Petrol and diesel prices, meanwhile, remain frozen since mid-March. In Delhi, petrol costs ₹94.72 per litre, and diesel is priced at ₹87.62 per litre.
Businesses relying on commercial LPG cylinders may face higher operational costs, potentially leading to price adjustments in food and hospitality services.
Airlines might pass on the increased ATF costs to consumers in the form of higher airfares.
The developments underscore the broader impact of global oil price volatility on domestic markets and consumer budgets.
