Cabinet approves continuation of Ujjwala gas benefits for 2025-26 at Rs 12,000 crore

New Delhi [India], August 8 : The Union Cabinet chaired by Prime Minister Narendra Modi, has approved the targeted subsidy of Rs 300 per 14.2 kg cylinder for up to 9 refills per year (and proportionately pro-rated for 5 kg cylinder) to the beneficiaries of Pradhan Mantri Ujjwala Yojana (PMUY) during 2025-26 at an expenditure of Rs 12,000 crore.

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 of July 1, 2025, there are about 10.33 crore PMUY connections across the country.

All PMUY beneficiaries receive a deposit-free LPG connection, which includes a Security Deposit (SD) for the Cylinder, Pressure Regulator, Suraksha Hose, Domestic Gas Consumer Card (DGCC) booklet and installation charges.

As per the existing modalities of Ujjwala 2.0, the first refill and stove are also provided free of cost to all beneficiaries.

PMUY beneficiaries are not required to make any payments for the LPG connection or the first refill or stove, as the Government of India/OMCs bears the cost for these.

India imports about 60 per cent of its LPG requirement.

To shield PMUY beneficiaries from the impact of sharp fluctuations in international prices of LPG and to make LPG more affordable to PMUY consumers, thereby ensuring sustained usage of LPG by them, the Government started a targeted subsidy of Rs 200 per 14.2 kg cylinder for up to 12 refills per annum (and proportionately prorated for 5 kg connections) to the PMUY consumers in May 2022.

In October 2023, the government increased the targeted subsidy to Rs 300 per 14.2 kg cylinder for up to 12 refills per annum (and proportionately prorated for 5 kg connections).

Average Per Capita Consumption (PCC) of PMUY consumers, which was only about three refills in 2019-20 and 3.68 refills in 2022-23, has improved to about 4.47 during 2024-25.

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