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

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 refills per year (and proportionately prorated for 5 kg cylinder) to the beneficiaries 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 the objective of providing a deposit-free LPG connection to adult women from poor households across the country. As of 01.07.2025, 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) 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 first refill and stove is 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 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 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 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 4.47refills during FY 2024-25.

Disclaimer: This is an official press release by Pib.