NEW DELHI - The Indian government has decided to hike diesel price by five rupees ($0.9) a liter and limit subsidized LPG supply to each household to six domestic LPG (14.2 Kg) cylinders per year, according to official sources Friday.
These decisions, which are likely to trigger more social discontent, were taken by the Cabinet Committee on Political Affairs (CCPA) at a meeting on Thursday chaired by Prime Minister Manmohan Singh, said the sources.
The decision which will take effect from midnight on Friday immediately led to protest by the opposition Bharatiya Janata Party immediately which has called for a nationwide strike.
The CCPA also decided to reduce the excise duty on petrol by 5. 50 rupees ($1) a liter from 14.78 rupees ($2.68), because of recent rise of international crude prices, which have touched $114 a barrel.
The restriction in supply of LPG cylinders is caused by financial and budget problems of the government, said the sources.
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