Commercial LPG gas prices slashed: An explainer on how the government's current gas pricing formula works
The price of LPG encompasses various elements such as the Free on Board (FOB) price, ocean freight, insurance charges, customs duties, and port dues. The new formula benchmarks most domestically produced natural gas to 10 per cent of the monthly average import price of crude oil, with floor and ceiling prices set at $4 and $6.5 per million British thermal units (mBtu) respectively.
LPG gas cylinders by Rs 99.75, which will be effective from Tuesday, August 1.