LPG Gas Subsidy: Budget preparations have started. The Ministry of Petroleum has prepared the LPG Subsidy proposal. According to sources, now soon the subsidy on LPG LPG will be available only to the economically weak people. The ministry has demanded a subsidy of only Rs 6,000 crore. The demand proposal prepared by the ministry is historically very low. Sources said that the amount allocated by the government in the last budget is less than half of that. The proposal will be formally submitted to the Finance Ministry by the end of this month.
Now the question is, how will the government give subsidy in such a small amount? It is to be known that the government is not giving LPG subsidy to the customers for a year. In some areas, like hilly areas, transport subsidy is being given and not LPG subsidy. Its price is around 50 rupees. That is, the government is ready that it will not give subsidy to the customers in the next financial year also.
Government may issue guidelines soon
According to sources, the government may soon issue guidelines regarding LPG subsidy. As per these guidelines, if ever the LPG price rises significantly, some subsidy amount will be given. But that too only for the financially weak people. Also, Oil Marketing Companies (OMCs) will be asked to bear the burden as long as the prices have increased and recover when the prices come down. That is, oil companies will compensate for the loss if the prices are low.
Prices may increase again
At present, companies are incurring a loss of around Rs 250 on a 14 kg cylinder because the prices are very high. According to sources, there may be an increase in the prices (LPG Gas Cylinder Price) again by the end of November. Historic reduction in LPG subsidy can be announced in this budget. It is to be known that the government had allocated Rs 14073 crore for the financial year 2022.
