AMN /
Opposition parties in the Lok Sabha have demanded withdrawal of government’s decision of allowing Oil Marketing Companies to raise the prices of subsidised cooking gas, LPG by four rupees per cylinder every month.
Raising the issue in the Zero Hour today, K C Venugopal of Congress criticised the government’s move of eliminating the subsidies adding that it will affect the common people. He said, while the crude oil price is falling in the international market, the government is raising the price of LPG cylinder.
Sudip Bandyopadhyay of TMC said that on account of introduction of GST, the LPG price was hiked by 32 rupees per cylinder.
He said, the decision will put an additional burden on common man and should be withdrawn. Later members belonging to Congress, TMC and Left staged a walk out.
Government to end LPG subsidy by March next year
The government has ordered state-run oil companies to raise subsidised cooking gas, LPG, prices by four rupees per cylinder every month to eliminate all the subsidies by March next year. Petroleum and Natural Gas Minister Dharmendra Pradhan yesterday said in a written reply in the Lok Sabha.
He informed that the government, in its order dated 30th May this year, has authorised the oil companies to increase the price by four rupees excluding tax per month. The order came onto effect from 1st June this year.
He said, it will be in effect till the reduction of government subsidy to ‘nil’, or till March next year, till further orders, whichever is earliest.
Oil companies have raised rates twice since then, the last being on 1rt July when rates were up by a steep Rs 32 per cylinder. This hike was because of the 30th May order as well as reflection of hiked tax rates on it under the Goods and Services Tax regime.
It was the steepest increase in six years. The government had previously asked the oil companies to raise rates of subsidised domestic LPG by two rupees per 14.2-kg cylinder per month.
Every household is entitled to 12 cylinders of 14.2-kg each at subsidised rates in a year. Any requirement beyond that is to be purchased at market price.