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PM Ujjwala Yojana: Customers Likely to Get LPG Cylinders Free of Cost amid Corona Crisis

Pronami Chetia
Pronami Chetia

Amid the corona crisis, millions of beneficiaries of Ujjwala scheme are likely to get a big relief. In view of facilities to the beneficiaries, the oil companies are likely to extend the period of EMI reference scheme by one year, say sources. Moreover, this will lead to higher profits for the beneficiaries because if this period increases, customers will not have to pay EMI amount to the oil companies when purchasing LPG cylinders.  

What’s the New Regulations? 

The EMI Deferment Scheme ends in July 2020 as per the current regulations. According to a CNBC report, it can be extended for up to a year. Actually, there is a provision under the Ujjwala scheme. According to this, when customers take LPG connection, the total cost with the stove is Rs 3,200. Out of Rs 3,200, the subsidy of Rs 1,600 is given directly by the government and the remaining Rs 1,600 is paid by the oil companies. 

How Customers will get the Subsidy? 

However, the customer needs to pay Rs 1,600 to the oil companies. The EMI structure has been set such that the customer does not need to give a separate amount to the oil companies. When refilling LPG cylinders, the subsidy amount comes to your account through DBT. This amount does not come into your account and is given to the oil companies until you have paid the amount of Rs 1600. Once you have paid this amount, then again you will start getting the subsidy amount. 

What is EMI Deferment Scheme under PM Ujjwala Scheme? 

Under the EMI Deferment Scheme, if customers take 14 kg cylinders in a year, then there is no need to pay EMI on six cylinders. But on the 7th cylinder, they have to pay EMI. At the same time, customers buying five kg cylinders do not have to pay any EMI up to 17 cylinders. But EMI has to be paid from 18th cylinder. If customers do not charge EMI, they will get a cylinder at a subsidized rate. 

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