The Centre has increased subsidy for cooking gas cylinders for poor to ₹300 per unit from ₹200 announced in August, Information Minister Anurag Thakur said on Wednesday.
In August, the government reduced the price by ₹200 on a 14.2-kg cooking gas cylinder sold to 330 million households to rein in inflation ahead of crucial State and general elections.
It was not immediately clear how much the government will have to spend for the enhanced subsidy on cooking gas. The government was previously estimated to spend about ₹11,600 crore towards cooking gas subsidy in the current fiscal year that ends on March 31.
High inflation and the price of liquefied petroleum gas (LPG) are key issues for Prime Minister Narendra Modi-led government ahead of elections in five States in the coming months and national elections in mid-2024.
India imports about 60% of its liquefied petroleum gas requirement, and LPG prices globally have surged over 300% since April 2020.