New Delhi:  The  government on Thursday  hiked diesel prices by a steep Rs 5.62 per litre and restricted the supply of subsidised cooking gas to 6 cylinders per household in a year to fetch an additional Rs 20,300 crore.

The Cabinet Committee on Political Affairs chaired by Prime Minister Manmohan Singh took the decisions which have come under strong attack from allies like TMC and SP.  TMC and DMK ministers kept away from the meeting.

The biggest-ever hike of Rs 5 hike in diesel prices excluding VAT or local sales tax will make the commodity sell at Rs 46.95 per litre in the national capital as against Rs 41.32 a litre currently.

The CCPA decided that each household will get 6 cylinders of 14.2-kg per annum at the subsidised rate of Rs 399 and any requirement beyond that would have to be procured at the market rate of Rs 746 per bottle.

Diesel prices were last hiked by Rs 3.37 per litre in June last year.Following the cap on LPG cylinders, during the remaining part of the current fiscal, consumers will get three LPG cylinders.

Two third of the total cylinders will still be supplied at subsidised rate. About 44 percent of the total domestic LPG consumers, who consume 6 cylinders or less per annum, will not be affected by this decision.