Lok Sabha Question No. 667 (UNSTARRED), answered on 2017-02-06
Subject: DBTL for LPG
Ministry: PETROLEUM AND NATURAL GAS
Asked by: MD. BADARIDDOZA KHAN, POONAMBEN HEMATBHAI MAADAM, P. KARUNAKARAN, ANIRUDHAN SAMPATH

## LOK SABHA

## UNSTARRED QUESTION NO. 667 TO BE ANSWERED ON 6 th  FEBRUARY 2017

## DBTL FOR LPG

667. SHRI MD. BADARUDDOZA KHAN: SHRIMATI POONAMBEN MAADAM: SHRI P. KARUNAKARAN: DR. A. SAMPATH:

## पेट्रोलियम एवं प्राक ृ लिक गैस मंत्री

Will the Minister of PETROLEUM AND NATURAL GAS be pleased to state :

- (a) the mechanism/guidelines prescribed for the Direct Benefit Transfer of LPG Scheme (DBTL)/PAHAL for  LPG  consumers  along  with  the  aims  and  objectives  of  the  scheme  and  the  extent  to  which  the scheme has been successful in achieving its aims and objectives;
- (b)  whether  linkage  of  Aadhaar  Card  with  consumers  bank  accounts  is  mandatory  under  the  Direct Benefit Transfer of LPG (DBTL) Scheme for all the LPG consumers to avail LPG subsidy and if so, the details  thereof  and  the  reasons  therefor  along  with  the  number  of  LPG  consumers  who  have  linked Aadhaar number to their bank accounts, State/UT-wise;
- (c)  the  steps taken by the Government to prevent leakages in subsidy of domestic LPG cylinders for non-domestic applications after receipt of the subsidy by consumers in their bank account;
- (d)  whether  the  DBTL  subsidy  scheme  has  been  helpful/successful  in  curbing  fraudulent  LPG distribution  system  and  if  so,  the  details  thereof  along  with  the  number  of  fraudulent/ghost/fake connections  identified  and  cancelled  and  action  taken  against  responsible  persons  including  the quantum of subsidy saved as a result thereof, State/UT-wise; and
- (e) the details of LPG consumers who have voluntarily given up their LPG subsidy so far and whether any  proposal  is  under  consideration  of  the  Government  to  do  away  LPG  subsidy  from  rich/higher income bracket people and if so, the criteria fixed/study undertaken by the Government to determine the subsidy formula in this regard, State/ UT-wise?

## ANSWER

पेट्रोलियम एवं प्राक ृ लिक गैस मंत्रािय में राज्य मंत्री ( स्विंत्र प्रभार ) ( श्री धमेन्द्र प्रधान )

MINISTER OF STATE (INDEPENDENT CHARGE) IN THE MINISTRY OF PETROLEUM & NATURAL GAS (SHRI DHARMENDRA PRADHAN)

- (a) LPG consumers, who join the PAHAL scheme, get the LPG cylinders at non-subsidised price and receive  LPG  subsidy  (as  per  their  entitlement)  directly  into  their  registered  bank  accounts.  LPG consumers are required to become Cash Transfer Compliant (CTC) after seeding their bank accounts

and Aadhaar number to receive LPG subsidy in their registered bank account under PAHAL Scheme. The objectives of the scheme are as under :-

- (i) To protect entitlement and ensure subsidy to the consumer.
- (ii) To ensure saving of precious public money by eliminating diversion.
- (iii) To improve the availability/delivery of LPG cylinders for genuine users.
- (iv) To weed out fake/duplicate connections.
- (v) To allow self selection in subsidy.

(b) Yes. The Government has issued circular requiring LPG consumers to seed their Aadhar number in LPG database for availing subsidy.  As on 30.01.2017, out of 17.55 crore LPG customers enrolled under PAHAL Scheme, payment to 12.91 crore LPG customers is made through Aadhar Payment Bridge i.e. Aadhar number linked to their Bank Account.

(c) OMCs carry out regular surprise inspections at distributors premises, conduct refill audits, surprise checks at customers premises, en-route checking of delivery vehicles etc., to check  black marketing and pilferage of cylinders. Public Sector Oil Marketing Companies(OMCs)  take punitive action under the prevailing Marketing Discipline Guidelines(MDG) and the Distributorship Agreements against LPG distributors   whenever irregularities are detected.

(d) Implementation of PAHAL  has  resulted in identification of 3.34 crore and 3.56 crore ghost/fake/duplicate  accounts  during  Financial  Year  2014-15  and  2015-16  respectively.  The  total subsidy /  under  recovery  on  domestic  LPG  during the financial  years  2014-15  and  2015-16  was  Rs. 40569 crore and Rs 16074 crore, respectively.  Lower subsidy during the last year is due to various factors,  including  introduction  of  direct  transfer  of  subsidies  into  the  accounts  of  consumers  (PAHAL Scheme) and fall in international crude oil prices.

(e)  As  on  29.01.2017, 1,05,46,090 LPG consumers have voluntarily given up/ surrendered their LPG subsidy. Government has also issued a circular stating that the benefit of the LPG subsidy will not be admissible for the LPG consumers, if the consumer or his wife/her spouse had taxable income of Rs. 10 lakh and above during the previous financial year computed as per the income Tax Act 1961.

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