New Delhi, June 9: The Central Government has reduced the annual quota of subsidised LPG cylinders available to beneficiaries under the Pradhan Mantri Ujjwala Yojana (PMUY) from nine to four, citing consumption patterns and rising subsidy burdens amid increasing global energy prices.
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The decision, announced by the Ministry of Petroleum and Natural Gas, is aimed at aligning subsidy support with the average annual LPG consumption of Ujjwala households. Officials said the revised entitlement reflects the actual usage trends of beneficiaries across the country.
Launched in 2016, the Pradhan Mantri Ujjwala Yojana provides deposit-free LPG connections to women from economically weaker households, promoting the adoption of clean cooking fuel and reducing dependence on traditional sources such as firewood and coal.
Addressing a press briefing, Petroleum Ministry Additional Secretary Praveen Mal Khanooja stated that the government continues to provide substantial support to PMUY beneficiaries despite the reduction in the subsidised quota. Beneficiaries currently receive a subsidy of ₹300 per 14.2-kg cylinder, which is directly transferred to their bank accounts after each refill.
The move comes amid a sharp rise in LPG prices. The retail price of a 14.2-kg domestic LPG cylinder in Delhi has increased by ₹89 over the past three months, reaching ₹942 following the latest revision on June 7. After accounting for the subsidy, Ujjwala beneficiaries pay ₹642 per cylinder.
Officials attributed the increase in LPG prices to a surge in international fuel costs driven by geopolitical tensions in West Asia. India’s LPG import prices are linked to the Saudi Contract Price (CP), the global benchmark for LPG, which has reportedly risen significantly in recent months due to supply disruptions in the Gulf region.
According to the ministry, the cost of supplying a domestic LPG cylinder has now exceeded ₹1,600, while oil marketing companies continue to incur substantial losses on the sale of LPG, petrol, and diesel. The government stated that it has provided over ₹52,000 crore in LPG subsidies since 2022 to shield consumers from steep global price increases.
While the government maintains that the revised subsidy structure is based on average consumption levels, the decision is expected to impact millions of low-income households that rely on subsidised cooking gas. Consumer groups and social welfare advocates have urged authorities to closely monitor the effects of the reduction on vulnerable families and ensure continued access to affordable clean cooking fuel.
The latest policy change marks a significant shift in the implementation of the flagship welfare scheme, which has benefited millions of women across India by improving access to cleaner and safer energy for household cooking.
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