Kerosene cash subsidy to be implemented in 11 states and UTs

The government today informed Parliament that the process to implement direct transfer of cash subsidy on kerosene sold through public distribution system (PDS) has been initiated in 11 identified states and Union territories.

In written reply to a question in the Rajya Sabha, Minister of State for Finance Namo Narain Meena said, “The department of food and public distribution proposes to implement direct transfer of food subsidy to the targeted public distribution system beneficiaries in six Union territories (UTs) on a pilot basis.”

With regard to fertilisers, however, the government has not asked state governments to prepare for direct transfer of cash for fertiliser subsidy to the poor through banks by January 1, 2013, added Meena.

According to the minister, the Central ministries concerned have set up implementation committees, in due consultation with state governments, to make direct cash transfer to the beneficiaries hassle-free.