Lok Sabha Question No. 2401 (UNSTARRED), answered on 2016-05-09
Subject: Subsidy on LPG Cylinders
Ministry: PETROLEUM AND NATURAL GAS
Asked by: SUKHBIR SINGH JAUNPURIA, PANKAJ CHOWDHARY, PARASURAMAN K.

## LOK SABHA

## UNSTARRED QUESTION NO. 2401 TO BE ANSWERED ON 9 TH  MAY 2016

## SUBSIDY ON LPG CYLINDERS

†2401. SHRI SUKHBIR SINGH JAUNAPURIA: SHRI PANKAJ CHAUDHARY: SHRI K. PARASURAMAN:

पेट्रोलियम एवं प्राक ृ लिक गैस मंत्री

- Will the Minister of PETROLEUM AND NATURAL GAS be pleased to state : (a)  the  time  limit,  if  any,  fixed  by  the  Government  to  provide  LPG  subsidy  on domestic gas cylinders; (b) whether the Government proposes to extend the said time limit, if so, the details thereof and the reasons therefor; (c)  the  details  of  mechanism/guidelines  prescribed  in  the  Direct  Benefit  Transfer Scheme (DBTL)/PAHAL for LPG consumers and quantum of subsidy disbursed so far, State/UT-wise; (d) the number of consumers who have enrolled their Aadhaar cards in the country along with the number of LPG consumers who are deprived of getting the subsidy even  after  the  enrolment  and  the  corrective  steps  taken/being  taken  by  the Government in this regard, State/UT-wise indicating the time by which the deprived consumers are likely to get LPG subsidy directly in their bank accounts, State/UTwise; (e) whether the Government proposes to reduce the number of subsidised cylinders to  the  consumers and has also received suggestions from various quarters in this regard  and  if  so,  the  details  thereof  and  the  response  of  the  Government  thereto; and (f) whether the Government proposes to provide subsidy on domestic connections of private gas agencies and if so, the details thereof? ANSWER पेट्रोलियम एवं प्राक ृ लिक गैस मंत्रािय में राज्य मंत्री ( स्विंत्र प्रभार ) ( श्री धमेंद्र प्रधान ) OF

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

(a)  to  (c)  The  LPG  consumers,  who  are  'Cash  Transfer  Compliant'  (CTC)  under PAHAL scheme, are getting subsidy on LPG cylinders with a cap of 12 cylinders in a financial year excluding such LPG consumers, who or whose spouse have taxable income of ₹ 10 lakh and above during the previous financial year computed as per the Income Tax Act, 1961.

LPG consumers, who join the PAHAL scheme, get the LPG cylinders at nonsubsidised price and receive LPG subsidy (as per their entitlement) directly into their registered  bank  accounts  next  day.  However,  due  to  involvement  of  several  stake holders  (like  LPG  distributors,  NPCI  &  banks)  in  subsidy  transfer  process  and depending  on  their  internal  processes,  delays  can  happen.  From  inception  of  the scheme, out of 149.17 crore transactions, 146.96 crore are successful in transferring cash to the bank account of the LPG consumers. The failure rate of transactions is approx 1.4 % only. The reason for the failure  of  transactions  is mainly  due  to the mismatch  of  the  bank  account  mapped  with  Aadhaar  and  the  LPG  Consumer  Id, incorrect Bank Account number submitted by the consumer etc.

As  on  03.05.2016  ₹  37230.62  crore  subsidies  has  been  transferred  to  the bank accounts of the consumers.

(d)  As  on  03.05.2016,  15.39  crore  LPG  consumers  are  CTC.  Among  them,  10.14 crore LPG consumers have seeded their Aadhar numbers alongwith bank account. Rest  5.25  LPG  consumers  have  seeded  their  bank  account.  All  the  CTC  LPG consumers,  excluding  such  LPG  consumers,  who  or  whose  spouse  have  taxable income of ₹ 10 lakh and above during the previous financial year computed as per the Income Tax Act, 1961, are getting LPG subsidy in their registered bank account, hence no consumer is deprived of from  getting LPG subsidy.

(e)  Government  has  received  a  number  of  suggestions  to  reduce  the  number  of subsidised cylinders to the consumers. However, no proposal is under consideration of the government to reduce the current cap of 12 subsidised cylinders in a financial year to the LPG consumer.

(f)  Currently,  no  proposal  is  under  consideration  of  the  government  to  provide subsidy on domestic connections given by private gas agencies.

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