LPG price in India is determined by the state-run oil companies and is revised on a monthly basis. It is by and large expected that the OMCs will make an announcement on the revision of LPG cylinder prices from December 2020. From December 1, 2020, the price of cooking gas will change across the country.
Domestic LPG prices have been kept constant to provide relief to the people during the Corona crisis. In December 2020, it is expected that there will be further relief. Oil marketing companies revise the prices of LPG on the first day of every month depending on the crude rates in the international markets.
Almost all the households in India have an LPG connection and it is mainly used for cooking purposes. An increase in LPG prices will affect the common man in general as they have to bear the brunt of the rising fuel prices in the current market scenario.
The best part of it is the government of India is currently providing subsidies on the sale of domestic LPG cylinders to the consumers. The subsidy amount is directly credited to the individual’s bank account after the purchase of the cylinder.
The subsidy amount varies every month and is dependent on the changes in the average international benchmark LPG prices added with the foreign exchange rate.
What is LPG?
LPG (or liquefied petroleum gas) is a versatile fuel commonly used in Indian homes. The constituents of LPG are propane and butane, are flammable hydrocarbon fuel gases used for LPG heating, cooking, and vehicles.