No LPG subsidy for those with Rs 10 lakh income

New Delhi:  In a move towards providing subsidy only to the needy, the Centre has decided to stop giving subsidy on LPG gas cylinders to consumers with taxable income of more than Rs 10 lakh beginning January.

This will be given effect initially on self-declaration basis while booking cylinders from January onwards, the government stated.


At present, there are 16.35 crore LPG consumers in the country. Of these, only 57.5 lakh have voluntarily given up their subsidy as part of the “GiveitUp” campaign.

Petroleum Minister Dharmendra Pradhan tweeted, “Government has decided that consumers with taxable income above Rs 10 lakh per year will not get LPG subsidy from January 2016.”

“While many consumers have given up subsidy voluntarily, it is felt that consumers in the higher income bracket should get LPG cylinders at the market price. Therefore, the Government has decided that the benefit of the LPG subsidy will not be available for LPG consumers if the consumer or his/her spouse had taxable income of more than Rs 10,00,000/- during the previous financial year computed as per the Income Tax Act, 1961,” the government stated.

The subsidy saved from the “GiveitUp” campaign is being utilised for providing new connections to the BPL families under the “Giveback” campaign.

This enables provision of LPG, a clean fuel, to poor households by replacing the conventional fuels such as kerosene, coal, fuel wood and cow dung, relieving the poor of the hardships and health hazards from such fuels.

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