Indian Oil Corporation (IOC) has hiked the price of non-subsidised 14.2 kg LPG cylinder by about Rs 50 with effect from 1 January, 2016.
In Delhi, the price now will be Rs 657, as against Rs 608 earlier, while in Kolkata, a non-subsidised LPG cylinder will cost Rs 686, up from Rs 637 till 31 December, 2015.
In Mumbai and Chennai, the new price will be Rs 671 and Rs 671.50, respectively, up from Rs 622 (Mumbai) and Rs 620 (Chennai), the company said in a press release.
A subsidised IndianOil LPG cylinder costs Rs 419 in Delhi, Rs 421 in Kolkata, Rs 460 in Mumbai and Rs 406 in Chennai.
The price increase comes within four days of the government announcing that those who earn a taxable income of more than Rs 10 lakh in the previous financial year won't be eligible for LPG subsidy from 1 January, 2016. The subsidy is about Rs 190/- per cylinder.
It will be implemented on the basis of self-declaration while booking cylinders from January 2016, the ministry of petroleum and natural gas said in a statement on 28 December, 2015.
Earlier in December 2015, prices of non-subsidised LPG cylinders were increased by about Rs 60.
Currently, there are 16.35 crore LPG consumers in India, out of which 14.78 crore avail of the subsidy. The annual subsidy outgo on account of LPG cylinders is about Rs 26,260 crore.
