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Mysore district to herald direct cash transfer of LPG subsidy

Posted on Jan 31, 12:11PM | UNI

Mysore, Jan 30 : A pilot project using Aadhaar number for paying LPG subsidy to the people through banks will come into force in Mysore district on a pilot basis from February 15, Neeraj Mittal, joint secretary Union department of finance said today.

Addressing the press conference here, he said the Mysore which was chosen for the project as it was among first districts in the country which has 90 per cent enrollment of Aadhaar.

Pilot projects using Aadhaar are on in different parts of the country. Even though the cash transfer for various other schemes have started in 51 districts across the country, however, it was started in as many as 20 districts which were found to be success, he said.

For LPG, a pilot project in Mysore was used to test the waters, that is, to check the feasibility of a system where cheap point of sale machines could be used to authenticate biometric data of citizens.

He said the Union government has decided to transfer the LPG subsidy amount for domestic consumers directly to their bank savings account from February 15. From that day onwards the domestic LPG cylinder would be priced market rates. The consumer should pay the market amount of around Rs 900 to the distributers and the subsidy amount would directly transferred to the consumer in their bank accounts very next moment of purchase of cylinder. A maximum of nine cylinders would be permissible per year to domestic consumers, he added.