The Centre, on Monday, said that individuals earning Rs 10 lakh or more annually will not be eligible for subsidised LPG cyclinders.
The Centre, on Monday, said that individuals earning Rs 10 lakh or more annually will not be eligible for subsidised LPG cyclinders. A statement from the Ministry of Petroleum and Natural Gas mentions that the new rule will be implemented from January 2016 onwards.
This move falls in line with the Modi government’s intention of bringing down the LPG subsidy. The Prime Minister himself had led a campaign – ‘GiveitUp’ – earlier this year asking people to voluntarily give up their subsidy.
As per the data, so far, more than 57 lakh people have given up their subsidy. But, this is just 3.5 percent of the total 16 crore customers using LPG. Centre, in its hope to further push up this percentage of customers as well to reduce its LPG bill has decided to implement the new rule.
The subsidy saved from the ‘GiveItUp’ campaign is being utilized to provide LPG connection to below poverty line (BPL) families.