In a major policy decision affecting millions of households across India, the Central Government has reduced the number of subsidised LPG cylinders available under the Pradhan Mantri Ujjwala Yojana (PMUY) from nine cylinders to four per year. The move effectively reduces the subsidised quota by nearly 46%.
The decision comes just days after domestic LPG cylinder prices were increased by ₹29, adding to the financial burden on consumers.
What Has Changed?
Under the revised rules, PMUY beneficiaries will now receive the government subsidy on only four 14.2-kg LPG cylinders annually, instead of the earlier entitlement of nine cylinders.
When the Ujjwala scheme was launched in 2016, eligible households were entitled to subsidies on up to 12 cylinders every year. This quota was later reduced to nine and has now been further cut to four.
| City | Old Price (₹) | New Price (₹) | Increase (₹) |
|---|---|---|---|
| Delhi | 913.00 | 942.00 | 29.00 |
| Kolkata | 939.00 | 968.00 | 29.00 |
| Mumbai | 912.50 | 941.50 | 29.00 |
| Chennai | 928.50 | 957.50 | 29.00 |
| Bhopal | 918.50 | 947.50 | 29.00 |
| Jaipur | 916.50 | 945.50 | 29.00 |
| Patna | 1,011.00 | 1,040.00 | 29.00 |
| Raipur | 984.00 | 1,013.00 | 29.00 |
Why Did the Government Reduce the Subsidy?
According to officials from the Ministry of Petroleum and Natural Gas, the decision has been taken to align subsidy support with the average annual consumption of PMUY households.
The government stated that many beneficiaries use fewer cylinders than the earlier quota, and the revised limit reflects actual usage patterns. Despite the reduction, the government will continue to provide a ₹300 subsidy per cylinder, which will be directly transferred to beneficiaries’ bank accounts after every eligible refill.
Follow TJP Whatsapp ChannelLPG Prices Also Increased
Earlier this week, oil marketing companies raised the price of domestic LPG cylinders by ₹29. Following the hike, the price of a 14.2-kg domestic LPG cylinder in Delhi has increased to approximately ₹942.
For PMUY beneficiaries, the effective cost after receiving the ₹300 subsidy will be around ₹642 per cylinder, but only for the first four subsidised refills each year. Any additional cylinders purchased beyond this limit will have to be bought at the full market price.
Government’s Explanation
Government officials have argued that even after the price revision, domestic LPG continues to be sold below its actual supply cost. They stated that oil marketing companies are still incurring losses of nearly ₹700 on every domestic LPG cylinder sold.
Officials also defended the recent ₹29 increase, saying that it translates to roughly ₹1 per day for an average household.
Impact on Consumers
The latest changes are expected to significantly affect low-income families that rely on LPG for cooking. Households that consume more than four cylinders annually may have to spend considerably more on cooking fuel.
Consumer groups and opposition parties have expressed concerns that the combined effect of higher LPG prices and fewer subsidised cylinders could increase the financial burden on vulnerable families.
What PMUY Beneficiaries Should Know
- Subsidy entitlement has been reduced from 9 to 4 cylinders per year.
- The ₹300 subsidy per cylinder remains unchanged.
- Subsidy will continue to be credited directly to beneficiaries’ bank accounts.
- Cylinders purchased after the four subsidised refills will be charged at the prevailing market price.
- Domestic LPG prices have already increased by ₹29 per cylinder.
The policy change marks one of the most significant revisions to the Ujjwala subsidy structure in recent years and is likely to have a direct impact on household budgets across the country.
