The government is set to dump the Jan Kerosene Pariyojana after the ambitious scheme launched by the former petroleum minister Mani Shankar Aiyar flopped with states and resulted in an annual loss of Rs 200 crore.
The Jan Kerosene Pariyojana (JKP) scheme was launched on October 2, 2005, with an objective to effectively distribute kerosene to end consumers and prevent diversion of the fuel.
It also sought to involve Panchayati Raj institutions in monitoring of the scheme.
However, Gujarat, Maharashtra, Rajasthan and Goa withdrew from JKP in 2006 and 2007 and most of the others too were not enthused about the scheme, a top oil ministry official said.