Cabinet approves quota hike of subsidised LPG cylinders to 12

Cabinet approves quota hike of subsidised LPG cylinders to 12

i. Days after Rahul Gandhi demanded, at a mega Congress conclave, that the quota of subsidised LPG per household be raised from nine to 12 cylinders a year, the Union Cabinet has today approved the proposal.

ii. The move will cover 97 per cent consumers and it is expected to inflate the government's subsidy bill by 5000 crore rupees, Oil Minister Veerappa Moily said today. The government currently spends Rs.46,000 crore a year on LPG subsidy, at a time when the economy is struggling with slow growth and high inflation.

iii. Congress Vice-President Rahul Gandhi had said at a party meet in Delhi earlier this month, "Pradhan Mantriji (Prime Minister, Sir), we cannot make do with just nine subsidized cylinders of cooking gas. Women in this country need more. We need 12 per family, sir, please increase the quota."

iv. Several Congress MPs have also been pushing for the rollback; leaders reckon that the populist move will stand the party in good stead in the general elections, due by May.