Cooking fuel subsidy set to see 66% jump on rising crude oil prices

Rising crude oil prices have upset the government’s estimate for cooking fuel subsidy for this financial year.

Government support for liquefied petroleum gas (LPG) and kerosene, constituting the petroleum subsidy, is set to increase by 66 per cent over the budgetary estimate for 2018-19. 

Based on the current prices of LPG and kerosene, the subsidy on these products may touch Rs 414.78 billion, against the targeted Rs 249.32 billion. According to the latest estimates by the government, the LPG subsidy is set to increase 73 per cent to Rs 352.57 billion, against the budgeted Rs 203.77 billion for 2018-19. The subsidy for