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Govt rules out rollback on cap of subsidised cooking gas cylinders

15 Oct 2012 Evaluate

Sticking to its reform agenda the government has ruled out a rollback or modification of its decision to cap supply of subsidised cooking gas (LPG) at 6 cylinders per household in a year. Earlier, on September 13 the government had decided to cap supply of subsidised LPG with a view to check burgeoning subsidy bill and any requirement over and above the six subsidised cylinders would have to be procured at market price.

Oil Minister S Jaipal Reddy was reported saying that 'I have nothing new to say on this issue.' For the current financial year (beginning April 2012 and ending March 2013) Reddy said that ‘irrespective of how many subsidised LPG cylinders the consumer may have consumed in the first half of current fiscal that began in April, they will get three 14.2-kg LPG cylinders at subsidised rates during the period till March 31, 2013. There is no ambiguity on that.’

However, the oil ministry has decided to lift the cap of six subsidised LPG cylinders for flats with reticulated gas connection irrespective of the number of dwelling units in it. An apartment complex with reticulated system will not be considered as a single unit. Each flat in the complex will be counted as a separate unit entitled for subsidised LPG. For reticulated LPG consumers or piped LPG, the number of cylinders to be supplied at subsidised rates to the Housing Society will be limited to the net entitled quantity based on individual consumption but not more than 3 cylinders of 14.2 kg till March 2013 and not more than 6 cylinders per annum from April 1, 2013.

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