Govt considering proposal to deny subsidised LPG cylinder to affluent

NEW DELHI, Apr 28: Government is considering a proposal to deny subsidised cooking gas cylinder to the affluent sections of the society, including MPs, MLAs and government officials.
The Parliamentary Standing Committee on Petroleum and Natural Gas has in its Eleventh Report recommended to the Government that those having income of more than six lakh per annun should not be given LPG cylinder at subsidised rate.
The Report was tabled in the Lok Sabha yesterday.
The retail price of the cylinder is currently Rs 399 as against the full price of Rs 966, which means that the Oil Marketing Companies were incurring under-recoveries of Rs 570 per domestic cylinder of the LPG, the Committee said and advised withdrawal of this subsidy for those who do not need it.
“The subsidy on domestic LPG cylinders may be a welfare measure of the state to the needy section of the society, but this was being utilised by a section of the peoeple who can afford to pay the full cost of the cylinder.
It said it has been informed that the matter is under considertaion of the Governmment.
Early action on its recommendation will substantially reduce the under-recoveries of the OMC in this account. (UNI)