Govt Slashes Price Of LPG Cylinders By Rs 200

Ahead of the upcoming state elections and the Lok Sabha election next year, the Union Cabinet has decided to cut prices of LPG gas cylinders by Rs 200, Union Minister Anurag Thakur announced on Tuesday (29 August).

"Today on the pious occasion of the Onam and Rakshabandhan, Prime Minister Narendra Modi has decided that the prices of LPG cylinders will be cut by Rs 200 for all domestic consumers," Thakur said.

The subsidy also applies to those enrolled in the Ujjwala scheme, meaning beneficiaries will now get a total subsidy of Rs 400 per cylinder.

Thakur also announced that 75 lakh gas connections will be provided to women of the country free of cost under the Ujjwala scheme.

He said that the measures may have a financial implication of Rs 7,680 crore for the government for FY24.

The government had reportedly been reviewing the under-recovery on the subsidy that was been provided to cooking gas.

LPG prices have not seen a cut for a while, even though the raw material prices cooled off from the highs seen recently.

The reduction in LPG price will give a big relief to people. The current price of a 14-kg LGP cylinder is around Rs 1,100.

This comes as the election season is nearing and the price hikes issue is going to be one of the poll issues.