" Subsidy Cylinders to go from 9 to 12 "
The Cabinet on Thursday approved raising the quota of subsidized LPG
to 12 cylinders annually from nine and put on hold linking the Aadhaar
platform to the subsidy scheme.
The government had on January 17 said the limit would be raised,
minutes after Congress vice-president Rahul Gandhi’s public demand to
PM Manmohan Singh at an All India Congress Committee meet.
Announcing the decision taken by the Cabinet Committee on Political
Affairs, oil minister M Veerappa Moily said raising the LPG quota will
cost Rs. 5,000 crore in additional subsidy annually.
“In addition to the nine subsidised cylinders, people will get one
cylinder each in February and March. Beginning April 1, people will get
12 cylinders per year at the rate of one cylinder per month,” oil
minister Veerappa Moily said at a press conference after the Cabinet
meet.
Moily also said the direct benefit transfer for LPG (DBTL) scheme,
where consumers in as many as get 289 districts in 18 states got the
subsidy amount in their bank accounts so that they could buy cooking gas
at market rate, has been put on hold.
Explaining the reasons behind the move to put on hold a scheme that
was dubbed 'game-changer, he said there were complaints about
implementation of the scheme and a committee has been formed to look
into them.
"Pending the committee examining the issues, the Aadhaar-linked LPG subsidy transfer has been put on hold," he said.
DBTL, under which consumers got Rs. 435
advance money in their bank accounts so as to help them buy a LPG
cylinder at market price, was this month extended to 105 districts
including Delhi and Mumbai.
“Pradhan mantriji, nine cylinders aren’t sufficient. The Congress
needs 12 cylinders. The women of India need 12 cylinders,” Gandhi had
said to loud applause at the AICC session.
The demand to increase LPG subsidy had been gathering momentum within
the Congress in the past few weeks, with Gandhi meeting the PM and
Congress MPs including Sanjay Nirupam, PC Chacko and Sandeep Dikshit
lobbying for it with oil minister Veerappa Moily. They believe the move
will go down well with voters in an important election year.
Moily had recently stated that 89.2% of the 15 crore LPG consumers
use up to nine cylinders in a year and only 10% have to buy the
additional requirement at the market price. If the quota is raised to
12, about 97% of the LPG consumers would be covered by subsidised LPG,
he had said.