LPG prices today, 17 June: The cost of domestic and commercial Liquefied Petroleum Gas (LPG) cylinders remains unchanged on Wednesday, 17 June after latest hike that came about on 7 June. After the latest revision in both domestic and commercial LPG cylinder rates, the price of 14,2 Kg domestic LPG cylinder rose by ₹29 and commercial LPG rates were pushed up by ₹42 to ₹53.50 per cylinder. State-run oil marketing companies (OMC) suffering severe under-recoveries due to global volatility in oil price decided to transfer a part of the price increase to consumers. After the latest hike, Domestic LPG prices increased for the second increase in three months since the US-Iran war began on 28 April. Commercial LPG cylinder prices experienced 4 consecutive monthly revisions due to which prices almost doubled. The government continues to absorb the major price shock due to West Asia war as oil companies lose about ₹650 crore per day as retail rates lag cost. According to Ministry of Petroleum & Natural Gas, the cost of supplying a 14.2 kg cylinder has risen to over ₹1,600. The volatility in fuel prices occurred due to disruption in the energy supply chains across the Strait of Hormuz, the strategic waterway through which one-fifth of global oil and natural gas exports takes place. Amid ongoing G7 Summit in France, Prime Minister Narendra Modi and his Canadian counterpart Mark Carney reviewed progress in bilateral economic cooperation, including commercial arrangements related to liquefied natural gas (LNG), liquefied petroleum gas (LPG) and metallurgical coal. Markets optimistic over interim US-Iran war deal Optimism over the US-Iran deal triggered a relief rally on Wednesday, with Brent crude plunging below $80 after reaching peak of $119 per barrel from $70-72 following war-related disruption. Ahead of interim agreement between the US and Iran to end the war, the rupee appreciated 31 paise to 94.29 against the US dollar in early trade. Pre-war, India depended significantly on crude oil imports as 88 per cent of its sourced from Gulf producers whose shipments transited through the Hormuz. For LPG needs, India was 60 per cent import dependent with 90 per cent of it arriving through the Gulf strait. India witnessed energy crisis after LPG supplies and natural gas flows from Qatar, India’s largest liquefied natural gas (LNG) supplier were disrupted. To ensure availability of alternative cargoes, Indian refiners increased engagement with suppliers across multiple geographies, including Russia, Africa, the United States and Latin America. To secure supplies of Natural gas, buyers explored additional procurement options and closely monitored spot LNG markets. Source link Post navigation Right to sell oil, $300 bn fund, access to frozen assets: Key financial gains Iran will receive from peace deal Quote of the day by Clifford Stoll: ‘Data is not information, information is not knowledge, knowledge is not…’
