New Delhi: No subsidy has been received on LPG cylinders. It’s closed. With the rise in prices per cylinder and the reduction in oil prices in the international market, there is no longer a subsidy on LPG. The price of non-subsidized LPG cylinders has now dropped to Rs 59. Customers are buying the cylinder with that money. They no longer have to deposit a subsidy in their account. For the past four months, subsidies have not been credited to direct beneficiaries (DBTs) in accounts.
The gap between discounted and non-discounted cylinder prices has been declining since the beginning of this year. With the closure of the LPG subsidy, the government can save Rs 20,000 crore in the current financial year. The savings will come in handy for the central government, which is raising funds to deal with the Karona epidemic. A total of Rs 40,615 crore has been allocated in the budget for the current financial year to subsidize petroleum products. Out of this, Rs 38,256 crore has been allocated for LPG subsidy. In the first three months of this year, the government paid only Rs 1,600 crore for subsidies.
