LPG Sybsidy- Big news for LPG Cylinder users. The Union Cabinet has approved Rs 12060 crore for the PM Ujjwala Yojana. Under this scheme, which was launched in 2016, more than 10 crore beneficiaries get LPG cylinders 300 rupees cheaper than normal customers. In the country’s capital Delhi, the price of a 14.2 kg domestic cooking gas cylinder for a normal customer is Rs 853. Whereas, under the Ujjwala Yojana, beneficiaries are given LPG cylinders for Rs 553 with a subsidy of Rs 300. Please note that the price of the cylinder may vary in every state.
On May 1, the Pradhan Mantri Ujjwala Yojana (PMUY) completed nine years. The beneficiaries of the PMUY scheme, launched in May 2016, will get a subsidy of Rs 300 on a 14.2 kg LPG cylinder for a maximum of nine refills in a year, while a proportionate benefit will be given on a 5 kg cylinder. The move is aimed at making LPG more affordable for low-income families and ensuring its continued use despite fluctuations in global prices.
Oil companies get relief of Rs 30,000 crore
Meanwhile, Union Minister Ashwini Vaishnav said that the government has approved government assistance of Rs 30,000 crore to three public sector oil marketing companies (OMCs) for under recovery. These public sector companies are Indian Oil Corporation, Bharat Petroleum Corporation Limited and Hindustan Petroleum Corporation Limited. Vaishnav said that this support has been given keeping in mind the current geo-political outlook as well as the uncertainties in the oil and gas sector.
The compensation will be distributed among the oil companies by the Ministry of Petroleum and Natural Gas. The government said that the compensation will be paid in twelve installments. According to a statement issued by the government, international prices of LPG remain high from 2024-25. Oil marketing companies incurred huge losses to avoid passing on the burden of fluctuating prices to consumers. Despite this, oil marketing companies ensured a continuous supply of domestic LPG at affordable prices in the country.