NEW DELHI: Prime Minister
Narendra Modi
on Friday announced a Rs 100 cut in non-subsidised domestic LPG cylinder prices as a Women’s Day ‘gift’, saying it will cut some slack for household budgets.
The first reduction since August 29 last year comes a day after the government extended for a year the provision of Rs 300 subsidy on each cylinder supplied to poor households that were given LPG connection under the Ujjwala scheme, one of Modi’s flagship social welfare schemes.
“Today, on Women’s Day, our Government has decided to reduce LPG cylinder prices by Rs. 100. This will significantly ease the financial burden on millions of households across the country, especially benefiting our Nari Shakti,” PM Narendra
Modi
posted on microblogging site X to announce the decision.
“By making cooking gas more affordable, we also aim to support the well-being of families and ensure a healthier environment. This is in line with our commitment to empowering women and ensuring ‘Ease of Living’ for them,” he said.
After the latest reduction, domestic LPG refills of 14.2 kg will cost Rs 803 each in Delhi, Rs 802 in Mumbai, Rs 829 in Kolkata and Rs 818.50 in Chennai.
Domestic LPG prices were last reduced by Rs 200 per cylinder as a ‘Rakhi’ gift last year, when it came down to Rs 903 from 1,103 for a 14.2-kg cylinder in Delhi.
There is no subsidy for general category consumers. But the Centre sets the price of LPG for households and compensates state-run retailers for losses as a result of supplying refills below market rate price.
Simultaneously, the Centre also raised the subsidy for Ujjwala consumers by Rs 100 per cylinder to Rs 300 till March 31 this year. This was extended till March 31, 2025 on Thursday.
The Centre had in May 2022 announced the Rs 200 per cylinder Ujjwala subsidy as fuel prices spiked in the wake of the Ukraine conflict. Subsequently in October 2023, the subsidy was raised to Rs 300 per cylinder till the end of the fiscal, or March 31. Subsidy support has boosted consumption of the clean fuel in Ujjwala households from 3 refills per year in 2019-20 to 3.6 in 2021-22.