New Delhi, June 09: The government has reduced the number of subsidised cooking gas cylinders available annually to beneficiaries of its flagship Ujjwala scheme to four, aligning support with average household consumption levels, a senior government official said on Monday.
Under the Pradhan Mantri Ujjwala Yojana (PMUY), launched in May 2016 to provide deposit-free LPG connections to adult women from poor households, beneficiaries were initially entitled to 12 subsidised 14.2-kg cylinders a year. The subsidised quota was reduced to nine cylinders last year and has now been cut further to four.
At a news briefing, Praveen Mal Khanooja, Additional Secretary in the Ministry of Petroleum & Natural Gas, said the revised entitlement broadly matches the average annual consumption of Ujjwala beneficiaries.
To encourage the use of cleaner cooking fuel and improve affordability, the government introduced a targeted subsidy of Rs 200 per 14.2-kg LPG cylinder in May 2022, credited directly to beneficiaries’ bank accounts after every refill is purchased for up to 12 cylinders annually.
In October 2023, the subsidy was increased to Rs 300 per 14.2-kg cylinder, with a proportionate benefit extended to 5-kg cylinders.
The latest reduction in the subsidised quota follows increases in LPG prices. The price of a 14.2-kg cylinder in Delhi has risen by a cumulative Rs 89 over two hikes in the past three months, the latest on June 7, taking the retail price to Rs 942. After accounting for the Rs 300 subsidy, PMUY beneficiaries pay Rs 642 for a 14.2-kg cylinder.
He said the revised entitlement broadly reflects the average annual consumption among PMUY households. Beneficiaries effectively receive support of about Rs 1,000 per cylinder when compared to the government’s estimated supply cost of around Rs 1,600 per cylinder.
