OGRA Increases LPG Price by Rs. 21 Per Kg for October

The Oil and Gas Regulatory Authority (OGRA) has jacked up the price of indigenous liquefied petroleum gas (LPG) by Rs. 20.84 per kg, increasing the price of 11.8 kg domestic cylinder by Rs. 246 or around 8.6 percent for October.

In a notification, the regulator set the price of LPG at Rs. 261 per kg for October compared to Rs. 240 in September. The 11.8 kg domestic cylinder price was set at Rs. 3,079 in October compared to Rs. 2,833 in September.

As per OGRA’s calculation, the producer price of LPG (propane 40 percent and butane 60 percent) has been determined at Rs. 181,506 per tonne for October.

With the addition of Rs. 4,669 per tonne of petroleum levy and 18 percent sales tax of Rs. 33,511 per tonne for October, the maximum producer price was worked out at Rs. 219,686 per tonne for October. The maximum producer price for the domestic cylinder of 11.8 kg was thus calculated at Rs. 2,592 per kg for the current month.

For consumer price, another Rs. 35,000 per tonne of marketing, distribution, and transportation margin was added to the maximum producer price besides another 18 percent GST (Rs. 6,300 per tonne on this margin). Thus the consumer end maximum LPG price was fixed at Rs. 260,986 per tonne (Rs. 3,079 per cylinder of 11.8 kg) for October.

It is pertinent to mention here that last month, the regulator increased the price of indigenous liquefied petroleum gas (LPG) by Rs. 39 per kg.

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