Kumari Palany & Co

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PAHAL scheme has reduced subsidized domestic sales of LPG by 25 percent

Posted on: 03/Jul/2015 11:20:38 AM
Chief Economic Advisor Arvind Subramanian on Thursday while speaking at the UNDP Conference Hall in the national capital said that the introduction of the PAHAL scheme has reduced subsidized domestic sales of LPG across the country by close to 25 percent.
 
While speaking he said, “On average, the direct benefit transfer for LPG has reduced subsidized domestic sales by about 25 percent. LPG has gone through three phases - originally it was called DBT, then it was suspended and now it has been reintroduced by the present government under PAHAL."
 
The PAHAL scheme, which covers more than 9.75 crore LPG consumers, is perhaps the world`s largest cash transfer program as compared to similar programs in other countries such as China, Mexico and Brazil.
 
Under the scheme, LPG cylinders are sold at market rates and entitled consumers get the subsidy directly into their bank accounts. This is done either through an Aadhaar linkage or a bank account linkage.
 
PAHAL aims to reduce diversion and eliminate duplicate or bogus LPG connections.

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