Direct cash transfer for LPG: Govt forced to mull drop boxes

Seeding level of Aadhar numbers with bank accounts is just 15% in 20 districts, compared with LPG data base of 52%

Where technology moved on snail's pace, drop boxes may become the last resort for petroleum and natural gas ministry and the Unique Identification Authority of India.

After all its efforts failed to improve seeding of bank accounts with aadhar numbers on direct benefit transfer (DBT) for liquefied petroleum gas, the authorities have now taken the help of dealers by fixing a drop boxes for customers to note their account details to seed it with aadhar.

With just over a week left for the launch of the much-awaited scheme on June 1, the seeding level of Aadhar numbers with bank accounts is as low as 15 per cent in the 20 districts featured for the first phase. On the other hand, the seeding of LPG data base with Aadhar numbers is above 52 per cent and overall aadhar penetration is 90 per cent in these districts.

“Earlier, LPG dealers were not involved in the process of seeding of bank accounts. Now, with just over a week’s time left, we have to speed up the seeding process. Now, customers can seed their bank accounts with aadhar by dropping the account details at a box placed at dealer stores. Banks will later collect and seed it automatically,” said Ashok Pal Singh,    deputy director general, UIDAI.   

Once implemented, the government would transfer close to Rs 4,000 to every household annually, for buying nine cylinders of LPG at the current market price. DBT on LPG, which was earlier scheduled on May 15 but was postponed owing to the lower seeding level of bank accounts. Singh added that consumers can directly do seeding from banks and also through UIDAI electronic seeding facilities. While announcing the launch of DBT on June 1, petroleum secretary Vivek Rae too had hinted that distributor would be roped in to increase seeding level. The launch of DBT in LPG is the biggest programme under the new government policy of direct credit of subsidy. There are 140 million LPG consumers in the country.

Petroleum Minister M Veerappa Moily had announced the launch of the schem,e in 20 districts last week, including five in Andhra, four inHimachal, two each in Karnataka, Kerala and Madhya Pradesh, one each in Daman and Diu, Goa, Maharashtra,Puducherry and Punjab.

While expecting the success of the scheme, Singh added that the next in line for Aadhar-linked money transfer would be for pension and NREGA programmes. The direct cash transfer on LPG and kerosene is expected to save Rs 15,000 crore on subsidy.