Petrol, Diesel and LPG Prices Today: How the New Ujjwala Subsidy Cut Impacts Indian Households

Indian families are getting worried about the cost of fuel again. The government has announced that it will reduce the number of LPG cylinders that people can buy under the Pradhan Mantri Ujjwala Yojana. This is happening because the cost of energy is going up around the world and there are problems in West Asia. Even though the price of petrol and diesel has not changed much the cost of cooking gas has gone up. This is putting pressure on families who have to buy food and other things.

Government Cuts Cheap LPG Cylinder Quota

The government has made a change to the Pradhan Mantri Ujjwala Yojana. Now people can only buy four LPG cylinders per year instead of nine. People who get these cylinders will still get some money back. Only for the first four cylinders they buy each year. Before people could get this money back for nine cylinders.

The government made this decision after looking at how much gas people use on average and how much it costs the companies that sell the gas.

LPG Prices Go Up Across India

The government has reduced the subsidy on LPG cylinders and now the price of LPG has gone up. A big cylinder of LPG in Delhi now costs around ₹942 which’s ₹29 more than before. People who get the Pradhan Mantri Ujjwala Yojana cylinders still pay around ₹642 because they get ₹300 back.

This is the time the price of LPG has gone up in three months. The price has gone up by around ₹89 per cylinder in some cities.

Petrol and Diesel Prices Stay the Same

The price of petrol and diesel has not changed, even though the subsidy on LPG cylinders has been reduced. The government says that there is fuel and it does not plan to increase the price of petrol or diesel right now.

However some experts think that if the price of oil goes up around the world it could affect the price of fuel in India.

Why the Government Reduced the Subsidy

The government says it reduced the subsidy because the price of LPG is going up around the world and the companies that sell the gas are losing a lot of money. The government says that these companies lose around ₹700 on every cylinder of LPG they sell.

The government thinks that it needs to help people who cannot afford fuel. It also needs to make sure that it does not spend too much money.

Impact on Families

The reduction in LPG cylinders will affect a lot of families who are poor and get the Pradhan Mantri Ujjwala Yojana cylinders. These families will have to buy cylinders at the full price if they use more than four cylinders per year.

Some people are worried that if the price of LPG goes up some families will go back to using ways of cooking like wood or coal. The government says that India still has some of the LPG prices in the world.

What is Happening to Fuel Demand

The government has said that the demand for LPG has gone down with sales falling by than 19 percent in May. At the time the demand for petrol and diesel is still going up slowly.

Experts think that what happens to fuel demand in the future will depend on how expensive fuel’s how well the economy is doing and what happens to energy prices around the world.

What Consumers Should Expect

Consumers should expect the price of LPG to change depending on what happens to energy prices around the world. Even though the price of petrol and diesel is stable now it could change if the price of oil goes up.

For now people who get the Pradhan Mantri Ujjwala Yojana cylinders need to plan how they will buy fuel because they will have to pay the full price for more cylinders.

The changes to the fuel policy in India show how hard it is to balance the cost of fuel with what people can afford. Even though the price of petrol and diesel has not changed people who use LPG, those who get the Pradhan Mantri Ujjwala Yojana cylinders will feel the impact of the reduced subsidy and higher prices. As the price of energy, around the world is uncertain people who use fuel and the government will be watching the price of fuel closely in the coming months. re

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