Delhi Free Gas Cylinder Scheme 2026: Double Festival Relief with Free LPG on Holi and Diwali

Residents of the national capital have a major reason to celebrate as the Delhi government has officially approved its long-promised Free Gas Cylinder Scheme for 2026. As part of its welfare-focused initiatives, the government will provide financial assistance equivalent to the cost of an LPG cylinder during Holi and Diwali, offering significant relief to economically weaker households.

The cabinet has cleared a budget allocation of nearly ₹243 crore for the implementation of this scheme. The move is aimed at reducing household expenses during festive seasons, when cooking fuel consumption typically increases.

Who Will Benefit from the Scheme

According to government estimates, around 1.75 million ration card–holding families in Delhi will be covered under this initiative. The scheme primarily targets low-income households to ensure that rising fuel costs do not affect their festive celebrations.

A key highlight of the scheme is that it also includes households using PNG (Piped Natural Gas) connections. Even though these families do not rely on LPG cylinders, they will still receive the financial benefit directly in their bank accounts.

Money Will Be Transferred Directly to Bank Accounts

Instead of delivering LPG cylinders to homes, the Delhi government has opted for a Direct Benefit Transfer (DBT) model. Under this system:

  • The full cost of one LPG cylinder, currently ₹853, will be credited directly to the beneficiary’s bank account.

  • Beneficiaries can use the amount as per their convenience to book or refill their gas connection.

  • The DBT system ensures transparency and minimizes the chances of misuse or delays.

This approach allows beneficiaries to manage their fuel needs independently while ensuring government support reaches them without intermediaries.

Special Provision for Ujjwala Yojana Beneficiaries

Families already enrolled under the Pradhan Mantri Ujjwala Yojana (PMUY) will also receive benefits under the Delhi scheme. Since PMUY beneficiaries already get a ₹300 subsidy from the central government, the Delhi government will transfer the remaining ₹553 into their bank accounts.

As a result, Ujjwala beneficiaries will effectively receive a fully free LPG cylinder, without paying anything out of pocket.

Eligibility Conditions You Must Fulfil

To ensure smooth and timely transfer of funds, beneficiaries must meet certain conditions:

  • The bank account must be linked with Aadhaar

  • e-KYC for the ration card and gas connection must be completed

  • Aadhaar-linked mobile number is mandatory to receive transaction alerts

  • The gas connection and ration card must be in the same person’s name

Failure to meet these conditions may result in delays or ineligibility for the scheme.

When Will the Money Be Credited

The government has confirmed that the first installment will be credited before Holi in March 2026. The same process will be repeated during Diwali 2026, providing beneficiaries with festive support twice in a year.

Beneficiaries will need to book and pay for the gas cylinder initially. The government will then refund the full amount directly to the bank account. The entire process will be digital, eliminating the need for visits to government offices.

A Major Relief for Festive Budgets

With LPG prices continuing to fluctuate, this scheme is expected to bring meaningful relief to millions of Delhi households. By ensuring fuel security during major festivals, the government aims to make celebrations more inclusive and stress-free for economically vulnerable families.