The Cabinet Committee on Economic Affairs (CCEA) on Wednesday decided to extend by a year, the PDS Kerosene and Domestic lPG Subsidy Scheme, 2002 and Freight Subsidy (for far-flung areas) Scheme, till March 31, 2015.
The approval will help in reducing the under-recovery of the Oil Marketing Companies (OMCs). The Government was providing a subsidy of Rs 22.58 per 14.2 kg lPG cylinder, and Rs 0.82 per litre on PDS kerosene. Besides, freight subsidy was also being provided to PDS kerosene and domestic lPG consumers in far-flung areas under the Freight Subsidy Scheme 2002.