The Union Cabinet, chaired by Prime Minister Narendra Modi, has approved the continuation of the targeted LPG subsidy under the Pradhan Mantri Ujjwala Yojana (PMUY) for the financial year 2025–26.
The decision entails an expenditure of Rs 12,000 crore, ensuring a subsidy of Rs 300 per 14.2 kg LPG cylinder for up to nine refills annually.
Launched in May 2016, PMUY has transformed access to clean cooking fuel for over 10.33 crore women from poor households across India. Beneficiaries receive deposit-free LPG connections, including essential equipment and installation, with the first refill and stove provided free of cost under Ujjwala 2.0.
The targeted subsidy, initially introduced in May 2022 at ₹200 per cylinder and increased to ₹300 in October 2023, aims to mitigate the impact of international LPG price fluctuations. This initiative has led to a steady rise in LPG usage among PMUY households, with average per capita consumption improving from 3.68 refills in 2022–23 to 4.47 in 2024–25.
By continuing this subsidy, the government reinforces its commitment to inclusive energy access and environmental sustainability, while empowering women and promoting health through cleaner cooking alternatives.
