Citizen's Voice Coimbatore petitions Prime Minister over LPG subsidy

Citizen's Voice Coimbatore, an NGO focusing on consumer rights has petitioned Prime Minister Narendra Modi, Finance Minister Nirmala Sitharaman and Petroleum Minister Dharmendra Pradhan regarding the subsidy provided for LPG to domestic consumers. 

Addressing the issue, C M Jayaraman, the President of Citizen's Voice stated, "As of now, it is well-known that the consumers of LPG for domestic usage are eligible for reimbursement of subsidy in their respective bank accounts under the Direct Benefit Transfer of the LPG scheme. 

The consumer, while buying the LPG cylinder has to pay the entire amount of the cost of the LPG cylinder to the concerned gas agency that distributes the cylinders. Later, the Government transfers the corresponding subsidy amount to each consumer. This has created a situation wherein the subsidy is transferred to the consumer's bank accounts only after the consumer has paid money out of his own pocket," pointed out Jayaraman. 

Jayaraman also mentioned about Airtel which was collecting subsidy amounts and then distributing to consumers. "There have been instances where the agency dealing with the amount transfer (Airtel Pay Bank) have swindled amounts to the tune of Rs. 73 crores meant for DBTL, for LPG domestic gas subsidy. This fraud was detected after a long time and the CRO of the company was sent out. 

Why depend on such intermediaries when the allotted number of LPG cylinders can itself be given to the consumers at subsidised rates, right at the time of purchase? This will simplify the whole process. Adequate checks and balance systems can be put in place to ensure that the subsidy for LPG purchase is given only upon genuine purchase of the LPG cylinder by the concerned consumer," opined Jayaraman. 

Jayaraman thus urged the Governement of India to consider this and simplify the process of providing subsidies for the benefit of the consumers.