LPG Cylinders distributed during COVID-19 pandemic

PIB News Update:Union Minister of Petroleum & Natural Gas Shri Dharmendra Pradhan has informed that As part of Pradhan Mantri Garib Kalyan Package, a scheme for providing free of cost LPG refills to PMUY beneficiaries for the next three months w.e.f. 01.04.2020 was implemented. The Scheme has now been extended till September 30, 2020 for those beneficiaries who have been credited with the advance for buying refills, but not able to buy the refills till 30^th June 2020. As on 16.09.2020, 13.57 crore refills have been delivered to PMUY beneficiaries under this Scheme.

Oil Marketing Companies (OMCs) have informed that LPG cylinders purchased by them are manufactured in India and no imports are done.   Further, Indigenous production of LPG is less than demand, hence OMCs import LPG to meet the deficit to maintain smooth supply of LPG in the country. During April, 2020 to June, 2020, 44 % of the total demand of the country has been met through domestically produced LPG and balance 56 % has been met through import.

In order to protect the Domestic LPG consumers from volatility in the prices of LPG in the international market, the selling prices of domestic subsidized LPG are modulated by the government. Domestic LPG prices are revised every month in line with international price of LPG with corresponding revision in monthly LPG subsidy under PAHAL Scheme. Applicable subsidy is transferred directly to the bank account of beneficiary upon purchase of refill at non-subsidised price and subsidy burden is borne by the Government. Current Retail Selling Price of 14.2 Kg LPG refill at Delhi Market is Rs. 594/-.