Aadhaar not a must for LPG subsidy; bank accounts will do: Govt

  • PTI, New Delhi
  • Updated: Dec 15, 2014 20:07 IST

The government made it clear on Monday that Aadhaar number was not mandatory for transfer of subsidy amount of LPG cylinder and the option of providing a bank account was also available under the Direct Benefit Transfer of LPG (DBTL).

Petroleum minister Dharmendra Pradhan informed Lok Sabha that under the DBTL, the LPG consumers joining this scheme get all domestic LPG cylinders (subsidised as well as non-subsidised cylinder) at market price and subsidy amount as applicable for each domestic subsidised cylinder is transferred to their bank account.

Pradhan said during Question Hour that a one-time advance in addition to the cash subsidy admissible is also provided to each LPG consumer joining the scheme. This is to fund the first cylinder purchased at market price.


'Aadhaar number is not mandatory for transfer of subsidy amount of LPG cylinder'. HT Photo

Subsidy is separately admissible on every cylinder, including the first cylinder.

The minister said consumers have two options for availing subsidy under the scheme. Wherever Aadhaar number is available, it will remain the medium of cash transfer. Thus, an LPG consumer who has an Aadhaar number has to link it to the bank account number and to the LPG consumer number.

"If the LPG consumer does not have an Aadhaar number, he can directly receive subsidy in his bank account without the use of Aadhaar number. This option which has now been introduced in the modified scheme ensures that LPG subsidy is not denied to an LPG consumer on account of lack of Aadhaar number," he said.

Three months from the date of launch of DBTL in the district, during which all those who have not yet joined the scheme would continue to get subsidised cylinders as per their entitlement.

After the end of grace period, an additional parking period of three months is given to such consumers during which the subsidy entitlement will be parked and will be transferred to consumer's bank account on joining the scheme during this period.

The minister said in case a consumer does not join the scheme during the parking period, the parked funds will lapse and consumer shall become ineligible to receive the funds so parked.

Thereafter, the sale of cylinders will continue at market determined price till consumer joins the scheme. When such consumers join scheme after the lapse of parking period, they will prospectively receive advance or subsidy as per their entitlement, he said.

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