Commercial gas cylinders become more expensive in Chennai

Tamil Nadu: The price of cooking gas cylinders used for commercial use has been increased in Chennai. As per the new rates, which came into effect on Monday, June 1st, the price of a 19-kilogram commercial LPG cylinder has been increased by ₹46. Following this change, the cylinder will now be sold for ₹3,283 in Chennai. This increase primarily applies to gas cylinders used in restaurants, hotels, dhabas, and other commercial establishments, where large quantities of LPG are consumed daily.

This price revision has been made by the central government’s public sector oil marketing companies, including Indian Oil Corporation, Bharat Petroleum Corporation, and Hindustan Petroleum Corporation. These companies review the rates of LPG and aviation turbine fuel (ATF) every month, taking into account fluctuations in international crude oil and gas prices, foreign exchange rates, and other economic conditions. Prices are revised monthly as part of this process.

The price of commercial LPG cylinders has seen a slight increase under the new rates, which came into effect on June 1st. Oil companies say this revision is necessary due to changes in energy prices in the global market. While this change in commercial cylinder prices may have different impacts in different cities across the country, the new rate in Chennai has been fixed at ₹3,283.

This increase is likely to directly impact businesses like hotels and restaurants, as gas plays a significant role in their operating costs. This increase could result in additional expenses for small and medium-sized businesses. However, oil companies maintain that this is part of a regular process and prices are revised in accordance with international market trends.

It is worth noting that commercial LPG cylinder prices are reviewed monthly, while domestic LPG cylinder prices fall into a separate category. The difference between domestic and commercial cylinder rates exists to allow for different policies to be implemented for different users.

With this latest increase, commercial gas users in Chennai will now have to pay more than before. Similar rate changes are possible in other cities in the future, as oil companies determine prices under the same process across the country.