Lok Sabha Question No. 3719 (UNSTARRED), answered on 2023-03-23
Subject: Price of Subsidised and Non-subsidised LPG Cylinders
Ministry: PETROLEUM AND NATURAL GAS
Asked by: Rahul Kaswan

## LOK SABHA

## UNSTARRED QUESTION NO. 3719 TO BE ANSWERED ON 23 MARCH, 2023

## Price of Subsidised and Non-subsidised LPG Cylinders

## †3719. SHRI RAHUL KASWAN:

## पेोलयम और ाक ृतक गैस मंी

Will the Minister of PETROLEUM AND NATURAL GAS be pleased to state:

- (a) whether it is a fact that there has been a tremendous increase in the prices of subsidized and non-subsidized LPG cylinders during the last two years and if so, the reasons therefor;
- (b) whether the Government has developed a mechanism to control the prices of LPG cylinders and if so, the details thereof;
- (c) whether it is also a fact that the Government has ended the subsidy given to poorest persons in the country on LPG cylinders and if so, the details thereof;
- (d) whether the Government proposes to restart the subsidy given to poor and backward persons of the country on LPG cylinders; and
- (e) if so, the time by which it is likely to be restarted and if not, the reasons therefor?

## ANSWER

## पेोलयम और ाक ृतक गैस मंालय म राय मंी ( ी रामेश ् वर तेल )

## MINISTER OF STATE IN THE MINISTRY OF PETROLEUM AND NATURAL GAS (SHRI RAMESWAR TELI)

(a) to (e): India  imports  more  than  60%  of  its  domestic  LPG  consumption.  Government continues  to  modulate  the  effective  price  of  domestic  LPG.  While  the  Saudi  Contract  Prices (CP), on which domestic LPG prices are based, rose by 235 % from 236 $/MT in April 2020 to 790 $/MT in February 2023, retail selling price of domestic LPG has increased only by 89.7 % from Rs 581.5 in May 2020 to Rs 1103 in March 2023 and effective cost for PMUY rose only by 55.2 % during the same period.

Subsequent to the implementation of DBTL (PAHAL) Scheme, 2014, the price of a domestic LPG cylinder is same for all consumers in a market. Subsidy, as admissible, is directly credited to the bank accounts of eligible beneficiaries. Government has also started a targeted subsidy of Rs.200 per 14.2 Kg cylinder for Pradhan Mantri Ujjwala Yojana (PMUY) beneficiaries for upto 12 refills for year 2022-23. Public Sector Oil Marketing Companies have suffered huge losses on sale of domestic LPG. To compensate these losses, the Government has recently paid a one-time compensation of Rs. 22000 crore to OMCs.

The details of the price of 14.2 kg domestic LPG cylinder at Delhi in the last two years are given at Annexure .

Annexure referred to in reply to Lok Sabha Unstarred Question No. 3719 asked by Shri Rahul Kaswan to be answered on 23.03.2023 regarding 'Price of subsidised and non-subsidised LPG cylinders'

| Date Effective From   | RSP of 14.2 kg Domestic LPG cylinder at Delhi   |
|-----------------------|-------------------------------------------------|
| 4-Feb-21              | 719.00                                          |
| 15-Feb-21             | 769.00                                          |
| 25-Feb-21             | 794.00                                          |
| 1-Mar-21              | 819.00                                          |
| 1-Apr-21              | 809.00                                          |
| 1-Jul-21              | 834.50                                          |
| 17-Aug-21             | 859.50                                          |
| 1-Sep-21              | 884.50                                          |
| 6-Oct-21              | 899.50                                          |
| 22-Mar-22             | 949.50                                          |
| 7-May-22              | 999.50                                          |
| 19-May-22             | 1,003.00                                        |
| 6-Jul-22              | 1,053.00                                        |
| 1-Feb-23              | 1,053.00                                        |
| 1-Mar-23              | 1,103.00                                        |

Source: IOCL