Critical
Mint Quick Edit | Differential LPG pricing has a sound basis in theory but that doesn’t make it fair
India's LPG cross-subsidy policy, making household gas cheap and commercial expensive, appears logical. However, a significant design flaw hinders its practical success. Subsidized LPG is only available to registered users, marginalizing millions of poor homes without documentation. These households must rely on an expensive grey market, supplied by pricier commercial LPG, suffering unintended consequences. The author argues that direct subsidy transfers and plugging data gaps are crucial for fairer pricing, ensuring complete coverage for the needy and rectifying the current progressive pricing issues.
LiveMint · Mint Editorial Board · May 4, 2026 at 1:30 AM