LPG price update: Cost of cooking gas may double from April - Know factors in play

Rising inflation could yet again make a big hole in the pockets of Indian consumers. With petrol and diesel prices already hurting budgets, cooking gas could soon add to the plight of Indian households. Cooked food may become more expensive from April due to the ongoing global gas crunch.

The effects of this global gas crunch could soon show up on domestic gas prices in India, which may end up doubling from April, as per a report by Zee News Hindi.

Global gas crunch

With the global crunch, prices of CNG, PNG and electricity are likely to increase. This will also result in a surge in the cost of transport and operational expenses of industries. The government’s Fertilizer Subsidy Bill could also see a hike. Consumers could face the direct impact of all these factors.

Supply unable to meet demand

Russia is the major supplier of gas across Europe through its transcontinental pipelines. The Ukraine crisis could end up disrupting the supply. While the global economy is gradually overcoming the effects of the Covid-19 pandemic, the rising energy demands across the world could end up destabilising the growth.

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Impact on household items

The escalating tensions in Ukraine has heightened the fears of war which could have a manifold effect including the cost of gas. This effect could show up by April when the prices of cooking gas are revised. As per analysts, the price could be increased from $ 2.9 per MMBtu to $6-7, as per the Zee News Hindi report.