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The Hindu
The Hindu
National
The Hindu Bureau

Centre extends Ujjwala subsidy by another year

Weeks ahead of the general election, the Union Cabinet on Thursday decided to extend the subsidy of ₹300 per LPG cylinder for up to 12 refills per year till the end of next financial year.

About 10.27 crore beneficiaries under the Pradhan Mantri Ujjwala Yojana (PMUY) will get the benefit of the scheme with its continuation set to incur ₹12,000 crore, said Union Commerce Minister Piyush Goyal after the meeting of the Cabinet.

The Centre had started a targeted subsidy of ₹200 per cylinder for up to 12 refills per annum to the PMUY consumers in May 2022. In October 2023, the Centre increased the subsidy to ₹300 per cylinder for up to 12 refills per year. As on February 1, 2024, the effective price of domestic LPG for PMUY consumers is ₹603 per LPG cylinder of 14.2 kg.

“Average LPG consumption of PMUY consumers has increased by 29% from 3.01 refills in 2019-20 to 3.87 refills (till January 2024) pro-rated for 2023-24. All PMUY beneficiaries are eligible for this targeted subsidy,” the government claimed.

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