Spain suffers another price increase of butane gas cylinder to around 19 euros

The increase comes at a time when fuel prices are soaring due to the war in the Middle East and the typical rise of household expenses in September.

This rise follows the increase in July and comes despite the fact that one of the factors used in the calculation (the exchange rate) has moved in a favourable direction. According to the Ministry for Ecological Transition, the international price of butane and propane has risen by 8.24%, while freight costs have increased by 10.27%.

Conversely, the euro has appreciated by 7.1% against the dollar, making dollar-denominated purchases cheaper and helping offset part of the rise. Added to these factors is the effect of accumulated imbalances from previous revisions, which have a significant impact on the trend in the regulated price.

Why is the price of a gas cylinder rising if the euro has strengthened? The price of butane does not depend solely on the cost of the raw material on international markets. The formula also takes into account freight costs, the euro-dollar exchange rate, marketing costs and the contribution to the national energy efficiency fund.

Furthermore, there is another factor that can carry over from one price review to the next: accumulated imbalances.

The system sets a 5% limit on price increases and decreases at each review. When the result of the formula exceeds this percentage, the difference carries forward for future updates.

This explains part of the trend in recent months. The July review already included a pending adjustment of 29.1263 cents per kilogramme for the next update, arising from amounts that had not previously been passed on precisely because of the 5% limit.

The new tariff also takes into account the effect of the temporary reduction in the hydrocarbons tax approved by the government. In September, the rate applied to LPG intended for uses other than motor fuel is set at 11.25 euros per tonne, compared with the standard rate of 15 euros per tonne laid down in the Excise Duties act.

Although this represents a reduction compared with the standard rate, the tax rate in September is higher than that of August, when the rate stood at 7.5 euros per tonne, in accordance with the temporary regime established law.

The effect of this measure, together with the 5% cap applied to price reviews, partially curbs the rise in prices. Without these factors, the calculated maximum price would have reached 18.89 euros, five cents more than the tariff ultimately applied.

This difference once again creates a discrepancy that will need to be factored into future adjustments to the regulated price.

Demand for bottled LPG has fallen by more than 12% since 2021. In 2025, around 57 million cylinders of various capacities were sold, which confirms the downward trend of recent years, although bottled gas continues to play an important role, particularly in areas and homes without access to the natural gas network.

According to the latest household survey by the CNMC (the national commission for markets and competition) for the second half of 2025, bottled LPG is available in 26.2% of Spanish households.

At the same time, other alternatives have been gaining ground. Natural gas is available in around 42% of households, while heat pumps are also becoming more widespread in areas where the characteristics of the properties and the necessary investment allow for their installation.

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