Congress Criticizes Modi Government Over LPG Subsidy Cuts and Price Hike, Claims Women Forced Back to Traditional Stoves
Mallikarjun Kharge, the INC president, posted a statement on social media that the Modi administration’s poverty‑reduction promises have slipped. He reminded voters that the PMUY, launched in 2016, originally guaranteed 12 subsidised cylinders a year for women from below‑poverty‑line (BPL) households. The government cut that number to nine in 2025 and, according to Kharge, further reduced it to four in 2026. He added that the subsidy of ₹300 per refill is now available only for the first four refills, leaving the remaining refills to be paid at market rates.
The price of a 14.2‑kg domestic LPG cylinder in Delhi rose to ₹942 from ₹913 on 9 June, following a ₹60‑per‑cylinder hike on 7 March. The cumulative increase of ₹89 per cylinder has made the effective price for a subsidised refill ₹642, after the ₹300 Direct Benefit Transfer (DBT) subsidy. The government says that, despite the rise, Indian households still pay among the lowest LPG prices worldwide.
In its statement, the government noted that the cost of supplying a domestic LPG cylinder has risen to more than ₹1,600, citing a surge in international petroleum gas prices that followed the outbreak of war in West Asia at the end of February 2026. It also pointed out that state‑run oil marketing companies were estimated to lose about ₹703 on every LPG cylinder sold before the latest revision.
The INC’s criticism comes amid a broader debate over the government’s energy policy. The PMUY was launched to provide clean cooking fuel to 50 million women, with the goal of reducing indoor air pollution and improving health outcomes. The scheme has been expanded over the years, but the recent subsidy cuts and price hikes have raised concerns about accessibility for the poorest households.
According to the government, the subsidy of ₹300 per refill is part of a targeted subsidy scheme that uses the DBT system to transfer funds directly to beneficiaries’ bank accounts. The 5.56 crore beneficiaries, as reported by the Ministry of Petroleum and Natural Gas, have been affected by the reduction in subsidised refills.
The price hike is the second increase in less than a year. Earlier in March, the government raised the domestic LPG price by ₹60 per cylinder, citing higher international crude oil and natural gas costs. The latest hike follows a similar pattern, with the government arguing that the rise is necessary to keep the supply chain functioning amid global price volatility.
The INC’s statement also referenced the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA), noting that the government had previously withdrawn the right to work under the scheme and was now cutting basic necessities. While the MGNREGA reference is broader, it underscores the party’s view that the government’s policies are eroding social safety nets.
The government has defended the price increase by stating that the cost of supplying LPG has risen due to international market conditions. It added that the subsidy remains one of the most effective tools for ensuring energy access for low‑income households.
The debate over LPG subsidies and pricing is part of a wider discussion on India’s energy policy, which seeks to balance domestic production, import dependence, and affordability. The recent war in West Asia has disrupted global oil and gas supplies, leading to higher benchmark prices that have translated into higher domestic LPG costs.
As of now, the INC has called for a review of the subsidy policy and a rollback of the reduction in subsidised refills. The government has not yet announced any changes to the current subsidy structure. The next step in the debate will likely involve parliamentary discussion and possible policy revisions.
The situation remains fluid, with the government and opposition parties continuing to argue over the balance between fiscal sustainability and social welfare. The outcome will affect millions of women who rely on LPG for cooking and the broader goal of reducing indoor air pollution in India.