M A I N   N E W S

Govt to shift LPG subsidy to DBT platform
Sanjeev Sharma
Tribune News Service

New Delhi, April 6
The government is moving to shift the cooking gas subsidy on the Aadhaar-based Direct Benefits Transfer (DBT) programme in which the subsidy amount will go into the bank account of the consumer.

Addressing a press conference, Finance Minister P Chidambaram said today that he would meet Petroleum Minister Veerappa Moily in the next couple of days to work out the details. The government would like to do it as early as possible. With the database of 14 crore LPG consumers ready, the move will cut duplication, increase efficiency and save subsidy, he said.

The shifting of LPG subsidy to the DBT platform will be a huge task given the extent of LPG usage, especially in the cities and the large numbers involved. Also, LPG is a product which does not have an economic cut off for availing subsidy and is available to all sections.

Chidambaram said the thinking behind is to give the subsidy to the consumer in the bank account and the modalities of whether to give it in advance will be worked out. A particular threshold of Aadhaar penetration in an area will be fixed and the subsidy will be sent to the bank account. Those who do not have this will continue to get subsidy on the cylinder, he added.

Tax collection target of Rs 10.38 lakh crore for the financial year has been achieved. The fiscal deficit in the current year will be better than the target of 5.2 per cent. The number of e-returns filed in 2012-13 for income tax have increased by over 50 lakh to more than 2.14 crore against the previous fiscal, said Chidambaram.

To a query on the record high current account deficit in the October-December quarter of 2012-13, he said the final numbers for the financial year would be more tolerable.

Check your bank account

• When the Aadhaar-based Direct Benefits Transfer is implemented, the government will transfer the Rs 435 per cylinder subsidy to consumers directly instead of giving it to oil companies
• So each consumer will get a little less than Rs 4,000 annually, but will have to buy LPG at market price
• Consumers are entitled to get nine cylinder of 14.2-kg each at the subsidised rate in a year
• The move is designed to cut duplication, increase efficiency and save subsidy.