New Delhi: In a major respite to cooking gas consumers, the Union Cabinet on Thursday raised the annual cap on LPG cylinders from six to nine. The hike on subsidised LPG cylinders will be effective from next fiscal year.

There will be no change in LPG and kerosene rates, Oil Minister M Veerappa Moily told reporters here after the meeting on Cabinet Committee on Political Affairs (CCPA).

"I am happy to inform the Cabinet Committee on Political Affairs has decided to raise the cap on subsidised LPG to nine cylinders per household in a year from existing six cylinders," he said.

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Consumers will get a quota of five subsidised cylinders between September 2012 and March 2013 and from April 1, 2013, they will be entitled to nine cylinders per annum.

Diesel prices partially deregulated 
Moily said that the oil companies have been permitted to raise diesel prices by a small quantum periodically till such time that they are able to cover Rs 9.60 per litre loss they incur on the fuel.
Refusing to provide details of diesel price increase, Moily said the raise may take place as early as Thursday night.

Meanwhile, the Election Commission grants permission to government’s decision of raising LPG gas quota saying that the decision doesn’t violate model code of conduct.

Earlier, the government had sought permission from the Election Commission on Wednesday as three states - Meghalaya, Tripura and Nagaland - will go to polls and the model code of conduct is in force in these states.

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