NEW DELHI: Union Oil Minister Mr Dharmendra Pradhan has on Saturday, handed over the Guinness Certificate recognizing direct LPG subsidy transfer as the World’s largest cash transfer program to the Prime Minister Narendra Modi and congratulated him for successfully running the welfare scheme.
In India, the Government pays a part of the cost for purchasing a domestic LPG cylinder as subsidy to every household. However, the subsidy implies only to the cylinders purchased for domestic use. It is a well known fact that even the ineligible get the LPG subsidy due to the loop holes of the scheme.
An official report said that there were more than 3.34 fake/inactive or duplicate LPG accounts reported to be illegally claiming the subsidy. To weed out the ineligible LPG accounts, the then UPA government has proposed a scheme called the Direct Benefit Transfer on LPG (DBTL), through which the subsidy amount will be sent directly to the household’s bank account.
After coming to power at the Centre, the current NDA government has sorted out a few problems of the DBTL scheme and relaunched it with a new name ‘PAHAL’, with effective from January 1st, 2015 through out the country.
As per the official statement from the Government of India, 14.62 crore households were currently receiving direct cash transfer to their bank accounts as LPG subsidy. The Government reported that the PAHAL scheme has saved a net amount of Rs14,672 crore due to the blocking of fake accounts.