The Oil and Gas Regulatory Authority (OGRA) has reduced the price of indigenous liquid petroleum gas (LPG) by Rs. 2/kg reduction to Rs. 110/kg for the month of June 2020.
According to a notification, the revised LPG price is Rs. 110,027/MT, which includes Rs. 4,669 of petroleum levy, Rs. 35,000 marketing/distribution margin and 17 percent general sales tax (GST).
A regular gas cylinder will be available at Rs. 1,298.31 in June compared to Rs. 1322.90 in May. LPG rates are revised at the beginning of each month, taking into consideration international prices and the dollar-rupee exchange rate.
The price of the commercial cylinder has also been reduced by Rs. 91 to Rs 4,994 which was fixed at Rs. 5,085 in May.
Prior to the General Sales Tax (GST) imposition, the consumer price (ex-GST), the price will be Rs. 94,040.55/metric ton and the 11.8 kg cylinder price is Rs. 1,109.67
However, contrary to the government’s notified prices, the LPG is being sold at unreasonably high prices, signaling towards weak administrative control of the government machinery.
