It is aimed at cutting down the use of firewood for cooking in such areas, so as to protect forests.
Two LPG cylinders would be given with a new connection, while another six cylinders will be provided in the first and second year with 75 per cent subsidy by the government, said an official in the chief minister's office.
The state cabinet approved the proposal today.
It also approved Rs 354.05 crore as the state's share of expenses for conversion of 116 km Nagpur-Nagbhid narrow gauge railway track to broad gauge.
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