There are notable disruptions in the price dynamics of butane cylinders. This fuel is widely used in homes and in some shops and cafés.
Over the past year, price movements have been volatile due to higher oil values, inflation, and other economic factors linked to the war in Ukraine. These pressures are impacting domestic finances, and as a result, the government decided to establish price boundaries for these fuels. A decree was issued to cap the pre-tax price of liquefied petroleum gases, including butane and propane, under Decree Law No. 11/2022.
New price of butane cylinder: don’t miss it because only a few days left to take advantage of the discount
Factors affecting the price of butane
The cost of liquefied gases tracks oil prices, which respond to global trade patterns and geopolitical tensions between major economies, including the United States and China, as well as ongoing impacts from the Russia-Ukraine conflict. Rising consumption and storage demand have also pushed valuations higher, with maximum prices reaching around US$130 per barrel in 2022. That trajectory persisted for much of the year and began to ease at the start of 2023.
Since the start of this year, the cap has gradually declined, dipping below US$100 per barrel. In May, the price stood at US$75.81, down 10.14 percent from US$84.36 in April. If the pattern continues, a more stable oil price could influence the costs of derived fuels such as liquefied gases like butane.
price of butane cylinder
In fact, the trend already shows in recent figures for regulated gas bottle prices. Last month’s cost was among the lowest since July 2021, recording 12.5 kg bottles at 15.96 euros, which is 0.81 euros less than the previous month.
Looking ahead, the government is expected to conduct another review of the gas price ceiling at the end of June. Managers anticipate the downward trend will persist as long as crude oil prices remain stable. The ministry overseeing ecological transition and demographic challenges is expected to announce the updated price on its forthcoming schedule.