Tax payers with annual income of more than Rs 10 lakh will not get subsidised cooking gas (LPG) from next month as the government decided to limit the supply of under-priced fuel to cut subsidies. At present, all households are entitled to get 12 cylinders of 14.2-kg each at subsidised rate of Rs 419.26, while the market price is Rs 608. The government had asked well-off people to voluntarily give up using subsidised LPG and instead buy cooking fuel at market price.

Of over 16 crore LPG consumers in the country, some 57 lakh have voluntarily given up their subsidy as part of the government’s ‘GiveitUp’ campaign. Earlier this year, Prime Minister Narendra Modi had urged “MPs, MLAs, ministers, IAS and IPS officers, professors and professionals” to give up subsidy on cooking gas to benefit the poor.

Due to a slump in global energy prices, the price difference between subsidised and non-subsidised LPG cylinders has narrowed down significantly in the past one year.