The Union government reduced the cost of a 14.2 kilogram (kg) cooking gas cylinder by 200 rupees on Tuesday, calling it a gift for women in advance of this week’s Raksha Bandhan festival.
The action is being taken as criticism of the central government for rising inflation and its effects on households are intensifying.
“On the occasion of Raksha Bandhan and Onam, the government has decided to reduce the price of domestic cylinders by ₹200,” said information and broadcasting minister Anurag Thakur. “This is a gift from Prime Minister Narendra Modi to the women of the country.”
In Delhi, a 14.2 kilogram LPG (liquid petroleum gas) cylinder now costs 1,103 rupees. The cost will decrease on Wednesday to 903.
The Pradhan Mantri Ujjwala Yojana (PMUY) beneficiaries are also covered by the price reduction. The cost for PMUY recipients will be 703, however. The Center had extended a 200 rupee per LPG cylinder subsidy under the program in March.
“The government will also provide 7.5 million new LPG connections for free under the Ujjwala scheme,” Thakur announced. At present, there are 96 million beneficiaries of the scheme.
Following two price increases in May, oil marketing organizations increased the cost of LPG cylinders by 50 in July.
The government announced a number of measures in May 2022 to provide relief during a rise in energy prices, including the introduction of the subsidy for PMUY beneficiaries.
Consumers will be relieved by the most recent price reduction at a time of growing inflation. Consumers had to deal with a steep 11.5% increase in food costs in July, which drove retail inflation up to 7.44% from 4.87% in June. Since April 2022, retail inflation has been growing at its strongest rate, and prices have increased by 7% for the first time since September 2022. According to data from July, rural people saw a higher total inflation rate of 7.63%.
The Opposition has been harshly critical of the Centre due to the high inflation. Ahead of national elections in 2024 and assembly elections in five states, the price of LPG has been reduced. Given its effect on household spending, cooking gas is a sensitive political issue.
The prime minister claimed on social networking platform X, formerly known as Twitter, that the action would benefit “my sisters” and make their lives easier.
“PM Sh @narendramodi Ji has taken the bold step of reducing LPG cylinder price by ₹200/cylinder for all LPG consumers (33 crore connections) PM Ujjwala Yojana consumers will continue to the get the subsidy of ₹200/cylinder in their accounts,” Hardeep Singh Puri, oil minister, said in a post on X.
