Cooking can be expensive for the common people, who are troubled by the inflation, from April 2022. After petrol and diesel, now the prices of Liquefied petroleum gas (LPG) cooking cylinders are also going to shock the consumers.
According to a report by Zee News Hindi, there has been a huge shortage of gas across the world and its effect can also be seen on India from April 2022. With this, the price of LPG cylinder can be doubled in the country.
Apart from the rise of LPG price hike, the prices of compressed natural gas (CNG), Piped Natural Gas (PNG), and even electricity also likely to also increase in near future due to which consumers will have to pay more for daily goods and services and other petroleum goods.
The ongoing Russia and Ukraine conflicts also has now become a reason for the hike of fuel as the former is a major supplier of gas to European countries via its multi-million dollar transcontinental pipelines.
Supply not according to demand: The global economy is coming out of the outbreak of Corona epidemic. Along with this, the demand for energy is increasing all over the world. But, with the increase in demand, concrete steps were not taken to supply it. This has led to a significant increase in gas prices.
Industry is already paying higher price: Industry experts say that due to long term contracts, the domestic industry is already paying higher price for imported LNG. Prices in long term contracts are linked to crude oil. The industry has cut back on buying from the spot market, where prices have been on fire for several months.
The effect of global gas shortage will be visible and LPG cooking gas price may become double from April when the government will change the domestic prices of natural gas. Experts say that it can be increased from $ 2.9 per MMBtu to $6-7. According to Reliance Industries, the price of gas from the deep sea will increase from $ 6.13 to about $ 10.