The Cabinet has approved the decision to raise cap on subsidized LPG cylinders from six to nine, effective from April, 2013. The cabinet also allowed the oil companies to increase the diesel prices by a ‘small quantum’ periodically. For the current financial year, consumers will get a quota of five subsidized cylinders between September 2012 and March 2013 and from April 1, 2013, they will be entitled to nine cylinders per annum.
After the cabinet meeting, Petroleum Minister Veerappa Moily said, the decision to increase the number of subsidised liquefied petroleum gas (LPG) cylinder to each household comes immediately into effect. Further, petroleum minister added that oil companies have been permitted to raise diesel prices by a small quantum periodically till such time that they are able to cover present loss of Rs 9.60 per litre on the fuel. However, no decision was taken about hiking price of kerosene and LPG cylinder.
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