Economy

Spain's price of butane gas cylinder drops to 15.39 euros after six per cent decrease on Tuesday

This is the lowest price since July 2024, thanks to the government's tax cuts within the anti-crisis regulation framework

A butane gas cylinder delivery employee in Spain.
A butane gas cylinder delivery employee in Spain. (EFE)

Cristina Cándido

Butane gas cylinders in Spain will be slightly cheaper from Tuesday. The maximum price drops to 15.39 euros per 12.5-kilo cylinder, almost six per cent less than in the last review.

With this decrease, butane reaches its lowest price since June 2024, when it stood at 15.34 euros per cylinder.

The tax measures the government approved within the anti-crisis regulation following the start of the war in Iran this winter are behind this decrease. The Spanish government reduced IVA tax to ten per cent and eliminated the hydrocarbon tax.

Without this measure, the price would have risen, as raw materials (propane and butane) have become 74.5 per cent more expensive on international markets and maritime freight rates have increased by 39.8 per cent, according to the Ministry for Ecological Transition. However, these tax reductions end in June due to the moderation of inflation.

The measure review mechanism takes into account raw materials, transport costs and the exchange rate. No review can exceed five per cent, either upwards or downwards, and any excess is carried over to the next review.

On this occasion, the tax reduction falls outside this limit, as it operates through a different regulatory framework.

Demand for bottled liquefied petroleum gas (LPG) has been declining for years: more than 12 per cent since 2021, with 57 million cylinders sold in 2025. Natural gas gains ground in municipalities that previously relied on bottled gas and heat pumps are becoming more prevalent in homes that can afford them. The classic orange LPG cylinder is still around, but it's increasingly rare in Spanish households.

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Spain's price of butane gas cylinder drops to 15.39 euros after six per cent decrease on Tuesday

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Spain's price of butane gas cylinder drops to 15.39 euros after six per cent decrease on Tuesday