India to supply Subsidised Cooking Gas to Bhutan

India on 29 July 2013 decided to restore the supply of the subsidised cooking gas and kerosene to Bhutan from 1 August 2013. Before the parliamentary elections in Bhutan, the Indian Oil Corporation discontinued the supply of the subsidized fuel, on technical grounds with officials here maintaining that Bhutan's 10th Plan of under which India was providing such assistance expired on 30 June 2013.

India's subsidy cut to Bhutan gave rise to reports that the decision was taken in view of government's unhappiness with former Prime Minister and chief of ruling political party Druk Phuensum Tshogpa Jigme Thinley's proximity with China.

The Ambassador also conveyed government's invitation for the Prime Minister's visit to India which was accepted, and assured that he would make a visit to India at the earliest.

The People's Democratic Party (PDP) won a landslide victory in Bhutan's second national elections held on July 13. The PDP defeated Druk Phuensum Tshogpa (DPT) party by winning 32 seats out of the 47 in the National Assembly.

During the campaigning, the rival parties tried to impress upon voters that concerns like India's withdrawal of subsidy on kerosene and cooking gas would be resolved once they form the government.