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LATEST NEWS UPDATES | Cap on subsidized LPG may go after persistent demands

Cap on subsidized LPG may go after persistent demands

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published Published on Nov 10, 2012   modified Modified on Nov 10, 2012
-The Times of India

The government may raise the annual cap of six cylinders on subsidized cooking gas after the petroleum minister faced persistent demands from Congress leaders at the party conclave in Surajkund on Friday.

The limit on subsidized LPG cylinders could go up to nine cylinders, and to 12 closer to elections. While Congress had in September expressed discomfiture with the decision to put a limit on subsidized cylinders, it did not seek a rollback. However, party chief Sonia Gandhi asked Congress chief ministers to raise the cap at the cost of the state to soften the blow.

The contentious issue came up for discussion at the 'samvad baithak' when ministers and organizational leaders joined hands to say that the party's image with the common man had taken a hit because of fuel hike.

A CWC member said LPG cap be raised to 12 cylinders. "This will please the people," he said. Another senior leader slammed recent reports that price of subsidized cylinders could go up. That it happened in the middle of Himachal polls, he said, was politically immature even if the price was not raised eventually.

While petroleum minister Veerappa Moily assured that he would discuss the issue with PM Manmohan Singh and finance minister P Chidambaram, the participants got the message that the issue would be revisited.

The discussion on LPG subsidy came amid continuing message from the government that expenditure had to be reined in to stay afloat. Chidambaram said expenditure had to be managed for the next five months till the next budget with focus on fiscal deficit. He stressed on the need for investments from foreign sources and public sector. However, the PM as also Chidambaram assured that flagship schemes would continue untouched.

The Times of India, 10 November, 2012, http://timesofindia.indiatimes.com/india/Cap-on-subsidized-LPG-may-go-after-persistent-demands/articleshow/17163846.cms


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