LPG cap in Cong states relaxed

Last Updated: Wed, Sep 19, 2012 17:14 hrs

New Delhi, Sept 19 (IBNS) The Congress ruled states were asked by the party's leadership to raise the subsidized LPG cylinder cap from six cylinders under the new policy to nine, according to Congress spokesperson Janardan Trivedi on Wednesday.

"Congress president Sonia Gandhi has directed the chief ministers of Congress ruled states to add three more LPG cylinders to the existing cap on six," said Trivedi in a media briefing.

One of the prickly issues in the new reforms by the government was not only hike in diesel price by Rs 5 but also reduction of LPG cylinder cap to six.

Trinamool Congress chief Mamata Banerjee has demanded at least 12 LPG cylinders in subsidized rate during her announcement to withdraw support from the government on Tuesday.

The government on Friday finally opened doors to more foreign investment in India's retail, aviation and broadcast sectors, and divestment in four state-run industries, in long-awaited bold steps that are seen critical to revive growth and confidence in Asia's third largest economy.

The big ticket liberalisation measures came just a day after the government raised the price of diesel by Rs 5 per litre and restricted the number of subsidised LPG cylinders sold to households at six per year.

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