Home India Cabinet Cabinet approves continuation of Targeted Subsidy for Pradha...
Date: 2025-08-08 Category: Not Applicable State: Union Government Country: India

Cabinet approves continuation of Targeted Subsidy for Pradhan Mantri Ujjwala Yojana Consumers for 2025-26 at Rs 12,000 crore

Issued by Cabinet · Not Applicable

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Executive Summary & Key Takeaways

**Policy Summary: Continuation of Targeted Subsidy for Pradhan Mantri Ujjwala Yojana (PMUY) Consumers in FY 2025-26** On August 8, 2025, the Union Cabinet, chaired by the Prime Minister, approved the continuation of the targeted subsidy for Pradhan Mantri Ujjwala Yojana (PMUY) consumers for the fiscal year 2025-26. The approved subsidy is Rs. 300 per 14.2 kg cylinder (proportionately prorated for 5 kg cylinders) for up to 9 refills per year. This initiative will entail an expenditure of Rs. 12,000 crore. The PMUY, launched in May 2016, aims to provide deposit-free LPG connections to adult women from poor households nationwide. As of July 1, 2025, the scheme has provided approximately 10.33 crore connections. Beneficiaries receive a deposit-free LPG connection, including the Security Deposit (SD) of the cylinder, pressure regulator, Suraksha hose, Domestic Gas Consumer Card (DGCC) booklet, and installation charges. Under Ujjwala 2.0, the first refill and stove are also provided free of cost. The targeted subsidy was initially introduced in May 2022 at Rs. 200 per 14.2 kg cylinder (up to 12 refills annually) to mitigate the impact of international LPG price fluctuations on PMUY beneficiaries. In October 2023, this subsidy was increased to Rs. 300 per cylinder (up to 12 refills annually). The current approval continues the Rs. 300 subsidy, but reduces the number of refills to 9 per year. The policy aims to ensure sustained LPG usage among PMUY consumers, given that India imports approximately 60% of its LPG requirements. Data indicates that the average per capita consumption (PCC) of PMUY consumers has increased from about 3 refills in 2019-20 and 3.68 refills in 2022-23 to approximately 4.47 refills during FY 2024-25. PIB Delhi released this information on August 8, 2025, at 4:00 PM.

Key Entities Referenced

Pradhan Mantri Ujjwala Yojana: A government scheme launched in May 2016 to provide deposit-free LPG connections to adult women from poor households across India. Narendra Modi: The Prime Minister of India, who chaired the Union Cabinet meeting where the subsidy continuation was approved. Union Cabinet: The decision-making body of the Government of India, chaired by the Prime Minister. Ujjwala 2.0: An initiative under Pradhan Mantri Ujjwala Yojana to provide first refill and stove free of cost to all beneficiaries. Delhi: Location of the PIB (Press Information Bureau) where the press release was issued. LPG: Liquefied Petroleum Gas, the fuel provided under the Pradhan Mantri Ujjwala Yojana. Government of India: The governing authority responsible for implementing and funding the Pradhan Mantri Ujjwala Yojana.
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Cabinet Cabinet approves continuation of Targeted Subsidy for Pradhan Mantri Ujjwala Yojana Consumers for 2025-26 at Rs 12,000 crore Posted On: 08 AUG 2025 4:00PM by PIB Delhi The Union Cabinet chaired by the Prime Minister, Shri Narendra Modi, has approved the targeted subsidy of Rs.300 per 14.2 kg cylinder for up to 9 rells per year (and proportionately pro-rated for 5 kg cylinder) to the beneciaries of Pradhan Mantri Ujjwala Yojana (PMUY) during FY 2025-26 at an expenditure of Rs 12,000 crore. Pradhan Mantri Ujjwala Yojana: Pradhan Mantri Ujjwala Yojana (PMUY) was launched in May, 2016 with an objective to provide deposit-free LPG connection to adult women from poor households across the country. As on 01.07.2025, there are about 10.33 crore PMUY connections across the country. All PMUY beneciaries receive deposit-free LPG connection which includes Security Deposit (SD) of Cylinder, Pressure Regulator, Suraksha Hose, Domestic Gas Consumer Card (DGCC) booklet and installation charges. As per the existing modalities of Ujjwala 2.0, the rst rell and stove is also provided free of cost to all beneciaries. PMUY beneciaries are not required to make any payments for the LPG connection or the rst rell or stove as the cost for these is borne by the Government of India/OMCs. Targeted Subsidy to Pradhan Mantri Ujjwala Yojana consumers: India imports about 60% of its LPG requirement. To shield PMUY beneciaries from the impact of sharp uctuations in international prices of LPG and to make LPG more aordable to PMUY consumers, thereby ensuring sustained usage of LPG by them, Government started a targeted subsidy of Rs.200/- per 14.2 kg cylinder for up to 12 rells per annum (and proportionately pro-rated for 5 kg connections) to the PMUY consumers in May 2022. In October 2023, Government increased targeted subsidy to Rs.300 per 14.2 kg cylinder for up to 12 rells per annum (and proportionately pro-rated for 5 kg connections). Improved LPG consumption by PMUY Households: Average Per Capita Consumption (PCC) of PMUY consumers which was only about 3 refills in 2019-20 and 3. 68 refills in 2022-23 has improved to about 4.47 during FY 2024-25. *** MJPS/BM (Release ID: 2154117)

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