Lok Sabha Question No. 293 (STARRED), answered on 2015-08-10
Subject: Direct Benefits Transfer for LPG
Ministry: PETROLEUM AND NATURAL GAS
Asked by: HUKUM SINGH, N.K. PREMACHANDRAN

**LOK SABHA**

**STARRED QUESTION NO. 293**

**TO BE ANSWERED ON 10** **th** **AUGUST,  2015**

## DIRECT BENEFITS TRANSFER FOR LPG

*293. SHRI HUKUM SINGH:

SHRI N.K. PREMACHANDRAN:

**पेट्रोलियम एवं प्राकृतिक गैस मंत्री**

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

(a) the mechanism/guidelines prescribed for subsidy transfer under the Direct Benefits Transfer for LPG (DBTL)/ PAHAL along with time limit fixed for the purpose;

(b) the number of consumers who have not registered under the scheme and deprived of subsidy and incidents of delay in transferring of subsidy reported during the last three years and the current year and the corrective action taken thereon by the Oil Marketing Companies (OMCs);

(c) the number of registered LPG consumers and LPG subsidy provided during the above period, OMC-wise;

(d) the number of consumers enrolled/ benefitted including number of consumers who opt out of the PAHAL scheme and linked their Aadhaar number with the bank account for getting LPG subsidy directly into their bank account along with its impact on Government spending on LPG subsidy during the above period, State/UT/OMCwise; and

(e) whether the Government proposes to reduce the price of Industrial and Commercial (non-domestic) LPG cylinders and if so, the details thereof?

ANSWER

पेट्रोलियम एवं प्राकृतिक गैस मंत्रालय में राज्य मंत्री (स्वतंत्र प्रभार) (श्री धर्मेंद्र प्रधान)

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

(a) to (e) : A statement is laid on the Table of the House.

## STATEMENT REFERRED TO IN REPLY TO PARTS (a) TO (e) OF THE LOK SABHA STARRED QUESTION NO. 293 BY SHRI HUKUM SINGH AND SHRI N.K. PREMACHANDRAN TO BE ANSWERED ON 10TH AUGUST 2015 REGARDING  “DIRECT BENEFITS TRANSFER FOR LPG”

(a) LPG consumers who join the PAHAL scheme, get the LPG cylinders at market price and receive LPG subsidy (as per their entitlement) directly into their bank accounts.  To join PAHAL, all domestic LPG consumers have been given two alternatives in the scheme.  If LPG consumer has Aadhaar number, he/ she requires to link it to his/ her LPG consumer ID and bank account.  Alternatively, he/ she can link his bank account directly to his/her LPG consumer ID.

Subsidy under PAHAL scheme is normally transferred electronically within 48 hours.

(b) Due to involvement of several stake holders (like distributors, NPCI & banks) in subsidy transfer process and depending on their internal processes, delays can happen. OMC-wise details of complaints received in respect of delay in transferring of subsidy since inception i.e. 15.11.2014 till 31.07.2015 and resolved are as under :-

| IOCL                | IOCL                | BPCL                | BPCL                | HPCL                | HPCL                |
|---------------------|---------------------|---------------------|---------------------|---------------------|---------------------|
| Complaints received | Complaints resolved | Complaints received | Complaints resolved | Complaints received | Complaints resolved |
| 63812               | 63246               | 62565               | 62101               | 57096               | 56516               |

A comprehensive portal, mylpg.in, has been provided to view status of cash transfer and cash transfer compliant status, register complaints etc.  The complaints registered by consumers online on this portal are replied by the concerned OMCs.  There is also a toll free number 1800-2333-555 for registering and resolving their grievances.  This toll free number is available from 8 A.M. to 8 P.M.

(c)  OMCs-wise details of customers registered under PAHAL Scheme as on 31.07.2015, and subsidy paid to the customers  from 15.11.2014 till 31.07.2015 are as under:-

| IOCL                  | IOCL                                | BPCL                  | BPCL                                | HPCL                  | HPCL                                |
|-----------------------|-------------------------------------|-----------------------|-------------------------------------|-----------------------|-------------------------------------|
| Customers  (in crore) | Subsidy transferred  (Rs. in crore) | Customers  (in crore) | Subsidy transferred  (Rs. in crore) | Customers  (in crore) | Subsidy transferred  (Rs. in crore) |
| 6.65                  | 6155.44                             | 3.54                  | 3031                                | 3.62                  | 3143.61                             |

(d)	As on 31.07.2015, out of  total 15.65 crore active domestic LPG consumers, 13.8 crore have joined the PAHAL scheme and are getting subsidy in their bank account. The consumers who have not enrolled under PAHAL are getting LPG cylinders at market price and are entitled for subsidy on joining PAHAL.  No LPG domestic customer is deprived  from  joining/enrolling under PAHAL.

The amount of LPG subsidy provided during FY 2014-15 was Rs. 40591 Cr as against the subsidy of Rs. 52231 Cr  during FY 2013-14, which amounts to a saving of Rs. 11, 640 Cr. This saving in subsidy is mainly due to fall in oil prices and implementation of PAHAL Scheme.

(e)	Prices of Industrial and commercial (Non Domestic) LPG cylinders are  not regulated and decided by OMCs on periodical basis, based on international prices and domestic market conditions. The price of industrial and commercial LPG cylinder ( 19 Kg) in Delhi Market was Rs. 1515  in June  2014  and Rs. 1151 in June, 2015.