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Home / Pune News / Congress slams Centre for stopping cooking gas subsidies

Congress slams Centre for stopping cooking gas subsidies

Party said the government must either resume the subsidy or sell LPG at low prices.

pune Updated: Oct 29, 2020, 17:19 IST
Abhay Khairnar
Abhay Khairnar
Hindustan Times, Pune
Congress spokesperson Gopal Tiwari questions the Centre on why cooking gas subsidy was stopped from April this year.
Congress spokesperson Gopal Tiwari questions the Centre on why cooking gas subsidy was stopped from April this year. (HT (FOR REPRESENTATIONAL PURPOSE ONLY))

Congress spokesperson Gopal Tiwari has lashed out at the Centre raising questions on why cooking gas subsidy was stopped from April this year.

Tiwari said, “The Central government must either sell gas cylinders at lower rates or restart subsidies in the bank account under the direct benefit transfer scheme.”

As per the Pradhan Mantri Ujjwala Yojana, all consumers need to buy the 14.2 kg cylinder at the market price. Later, the government transfers the subsidy directly into the bank account of eligible consumers. The subsidy is the difference in the market and subsidized price of cooking gas.

Tiwari wrote a letter to the union minister for petroleum and natural gas and raised questions on the subsidy. Tiwari stated in his letter that the government must clarify officially why they are not issuing the subsidy from when lockdown began and citizens are facing financial crises.

He said the government must either resume the subsidy immediately or sell gas at low prices.

A source in an oil company said on the condition of anonymity that it is true that the subsidy is not getting transferred but the reason behind it is the low prices of cooking gas in national and international markets.

As the prices of crude oil and other subsidized products have fallen, the oil companies have lowered the cylinder prices. Since the market price and subsidies are almost the same, the government need not give a subsidy, the source said.

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