Commercial LPG cylinder price cut by Rs 33; no change in domestic cylinder rates
(You can now subscribe to our
(You can now subscribe to our Economic Times WhatsApp channel
Oil marketing companies ( OMCs ) have announced a price cut of Rs 33.50 for 19 kg commercial LPG cylinders, effective August 1. In Delhi, the revised retail price will be Rs 1,631.50. However, there is no change in the cost of 14.2 kg domestic LPG cylinders.This marks yet another adjustment in a series of reductions over recent months. On July 1, the price of commercial LPG was slashed by Rs 58.50, bringing it down to Rs 1,665 per cylinder. Prior to that, OMCs had reduced prices by Rs 24 in June, Rs 41 in April, and Rs 7 in February. March had seen a marginal hike of Rs 6.The latest cut is expected to ease the financial burden on small businesses such as restaurants, hotels, and street food vendors that rely heavily on commercial LPG for their daily operations.While domestic usage accounts for nearly 90% of India's total LPG consumption, the remaining 10% serves commercial, industrial, and automotive sectors. Domestic LPG prices tend to remain stable despite frequent revisions in commercial rates.According to an earlier report of The Economic Times, the average price of India's crude oil basket fell to $64.5 per barrel in May 2025—its lowest in three years. This drop is expected to reduce LPG-related losses for OMCs by around 45% in the coming fiscal year. Since domestic gas pricing is linked to 10% of the crude oil basket, fluctuations in global oil rates significantly influence local fuel economics.India has seen rapid growth in household LPG adoption, with connections doubling over the last decade to reach nearly 33 crore households as of April 2025.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Hans India
13 minutes ago
- Hans India
Vedanta continues winning street confidence: Brokerages forecast strong earnings ahead
New Delhi: Major global and Indian brokerages remain optimistic on Vedanta Ltd's performance for FY26, citing stronger LME pricing trends, cost discipline, deleveraging, and a resilient aluminium business among the key growth drivers. These firms have also taken note of the several growth projects scheduled for commissioning or completion in the next few quarters. JP Morgan noted that Vedanta's first quarter consolidated EBITDA was largely in line with estimates, with key segments such as aluminium, oil and gas, and power faring better than its expectations, leading to an overall segmental EBITDA beat. On the earnings trajectory for the current and next fiscal, the firm expects various ongoing initiatives at Vedanta to aid growth. "Vedanta's capacity expansion journey in the aluminium business as well as vertical integration should bring cost advantages. LME prices have also bottomed out and should continue to move higher into FY26-27, likely aiding earnings growth." Echoing similar views on LME prices and its potential benefit, Citi Research cited that Vedanta's parent (Vedanta Resources) leverage is at comfortable levels. It listed potential upside in medium-term aluminium LME prices, lower cost, and the demerger as another positive for Vedanta, while adding that aluminium globally has a limited supply growth. Mumbai-based Nuvama Institutional Equities expects Vedanta to deliver quarter-on-quarter EBITDA growth in Q2. "Q2FY26 EBITDA is likely to increase 10 per cent-plus quarter-on-quarter on the back of higher prices and lower aluminium cost of production. Major aluminium projects are likely to be commissioned in Q2FY26. We reckon net debt/EBITDA ex-Hindustan Zinc shall fall to 1.7x by FY26-end, compared to 2.7x in FY25. Demerger of the business is likely to be concluded in Q4FY26," the firm said in its report. The brokerage expects Vedanta's all major projects except coal blocks to be likely commissioned in the current fiscal, providing volume growth and cost reduction visibility for the company. UK-based Investec stated in its post-earnings report that Vedanta is a key beneficiary of depreciation in the Indian Rupee. Other near-term positives listed by the firm include declining alumina prices and the company offering attractive yields. The firm has retained its buy recommendation on Vedanta. Research firms like Kotak Institutional Equities and IIFL have cited factors like cost efficiencies and deleveraging at both Vedanta Ltd and its parent Vedanta Resources as beneficial factors. Vedanta's adjusted profit after tax jumped 13 per cent year-on-year to Rs 5,000 crore. The company clocked its highest-ever first-quarter EBITDA of Rs 10,746 crore, which was up 5 per cent year-on-year.
Deccan Herald
13 minutes ago
- Deccan Herald
Bosch plans up to Rs 700 crore capex in FY26
For the quarter ended June 2025, Bosch Limited posted its total revenue from operations of Rs 4,789 crore, an increase of 10.9% over the same quarter last year. The growth is driven by higher demand in the off-highway and passenger car segments.
Deccan Herald
13 minutes ago
- Deccan Herald
No directives to make Hindi mandatory in official communications: Govt
Data showed Rs 736.11 crore has been incurred from the budget allocated to the Department of Official Language between 2014-15 and 2024-25.
