More than 9 crore beneficiaries of Pradhan Mantri Ujjwala Yojana will now get a subsidy of Rs 200 per cylinder of gas (up to 12 cylinders), leading to a reduction in its price, which will now cost Rs 803 per 14.2 kg of cylinder.
A 14.2 kg LPG cylinder usually costs Rs 1,003 in the capital. Poor women, who receive a free cooking gas extension under the scheme, will get a subsidy of Rs 200 directly in their bank accounts.
The announcement was made by Finance Minister Nirmala Sitharaman on Saturday via a series of tweets.
9/12 In addition, this year, we will provide a subsidy of ₹ 200 per cylinder of gas (up to 12 cylinders) to over 9 crore recipients of Pradhan Mantri Ujjwala Yojana. This will help our mothers and sisters. This will have revenue implications of around ₹ 6100 crore a year. #Ujjwala
– Nirmala Sitharaman (@nsitharaman) May 21, 2022
The move will help alleviate some of the burden arising from cooking gas rates rising to record levels. Ms Sitharaman has also said that it will have revenue implications of around Rs 6,100 crore a year.
It is seen as a move to counter rising inflation as the price of LPG cooking gas on Thursday has risen for the second time this month by Rs 3.50, making them surpass the Rs 1,000 mark nationwide.
On May 19, 14.2 kg domestic LPG cylinders in Delhi and Mumbai cost Rs 1,003 each. In Kolkata the price is Rs 1,029 while in Chennai the price is Rs 1,018.5 per cylinder.