Price Of Butane Gas Cylinders In Spain Hits Lowest Level In Nearly Two Years
Spain News
Published: 16 May 2023 15:51 CET
Starting from Tuesday, May 16, the maximum retail price of butane gas cylinders in Spain will witness yet another decrease. As revealed in the Official State Gazette (BOE) on Monday, May 15, the price will undergo a 4.9 percent reduction, reaching 15.96 euros.
According to calculations provided by the Ministry for the Ecological Transition and the Demographic Challenge, the cost of butane gas cylinders stood at 16.79 euros per bottle for the past two months. With the new price effective on Tuesday, it will be the lowest recorded since July 2021.
This recent price reduction primarily stems from a significant drop of 25.8 percent in the price of raw materials. Additionally, the appreciation of the euro against the dollar by 0.9 percent has contributed to a lesser extent. With the existing surplus factored in, the price increase per bottle amounts to 0.97 euros, reaching 1.76 euros.
It is important to note that the maximum sale price of bottled liquefied petroleum gases (LPG) in containers ranging from 8 to 20 kilograms, commonly known as the traditional butane bottle, is reviewed every two months on the third Tuesday of the month. Each new price is calculated based on the cost of raw materials (propane and butane) in international markets, as well as transportation costs and the evolution of the euro-dollar exchange rate.
These revisions are limited to a maximum of 5 percent in either an upward or downward direction, accumulating any excess or deficit in the price for future revisions. Until June 30, the maximum price is capped at 19.55 euros. This price threshold was last reached during the review conducted on September 19, as reported by 20minutos.es.
Since then, the price has experienced a decline of 18.36 percent. However, it is still significantly higher than the meagre 12 euros paid in September 2020 when the upward trend began.
Bottled liquefied petroleum gas (LPG) is a hydrocarbon mixture, primarily composed of butane, which serves as an alternative energy source to natural gas for consumption in pressure containers. It is particularly popular in towns or urban areas lacking access to the natural gas network. In Spain, the annual consumption of various LPG container capacities exceeds 64.5 million, marking a decline of over 25 percent since 2010.
Sources
https://www.surinenglish.com/spain/price-butane-gas-cylinder-spain-falls-its-20230516102829-nt.html
https://euroweeklynews.com/2023/05/16/price-of-a-standard-butane-gas-cylinder-in-spain-falls-to-its-lowest-in-almost-two-years/
