Big relief on subsidised LPG cylinders

Now you can buy more than one cylinder per month

Post government decision to raise annual quota of subsidised cooking gas, the Cabinet allowed consumers to buy more than one subsidised cylinder in a month. The government had raised the annual cap on supply of cheaper LPG from nine to 12 cylinders of 14.2-kg each. Therefore it paved way for one cylinder in a month.

These developments lead to a public unrest as they generally require more than one cylinder in a month. The Oil Ministry cleared a proposal for consideration of the Cabinet suggesting that consumers should have the freedom to book a refill after 21 days, within the overall cap of 12 subsidised bottles in a year.

According to sources the Cabinet headed by the Prime Minister agreed with the proposal. The sources also added that raising the cap from nine to 12 cylinders will impose an additional financial burden of about Rs 3,801 crore per annum.

The government had initially capped the supply of subsidised LPG cylinders to six per household annually in September 2012 which was further raised to nine in January 2013. Consumers who exhaust their quota have to buy LPG at the market price of Rs 1,258 per cylinder whereas; subsidised LPG costs Rs 414 per cylinder in Delhi.

In addition to the above mentioned developments, the Cabinet Committee on Political Affairs (CCPA) also decided to scrap the decision of making Aadhaar cards mandatory to get subsidy on domestic LPG cylinders. However, the decision to delink Aadhaar cards from the subsidy has not been implemented due to certain clarifications that are awaited from the Cabinet. Courtesy:PTI