Implement MDBTL after addressing inadequacies: TN CM to PM

Tamil Nadu Chief Minister O Pannerselvam today urged Prime Minister Narendra Modi to address certain deficiencies in the banking infrastructure while implementing the Modified Direct Benefit Transfer to LPG consumers scheme.
In a letter to Modi, he pointed out that though the scheme required availability of adequate banking infrastructure across the state, people in remote and rural areas may find it difficult to access nationalised bank branches.(MDBTL)
"Therefore, in order to deepen penetration in villages, the Primary Agricultural Cooperative Societies and Post Offices can also be involved in delivering the subsidy, which would reduce the inconvenience.
"In urban areas, urban co-operative banks can also be involved in the delivery of subsidy," he said and further urged for adequate banking facilities throughout the state.

The CM said the total amount of subsidy should not be fixed and should be increased as and when the market price of LPG increases. Such increased amounts credited to bank accounts would ensure that consumers are not put to hardship.
Recalling former Chief Minister Jayalalithaa's letters to Modi, he said direct transfer of cash to the bank accounts of beneficiaries should be effected by state governments with the Centre releasing its share to the states.

"I am glad to note that our suggestion of not making Aadhar Number mandatory has been incorporated in the MDBTL guidelines.
Though ideally Tamil Nadu government prefers that even in the case of LPG there should have been no monetization of the subsidy and the subsidy amount should have been released through state governments, this issue was primarily one within the Centre's jurisdiction, he said.

The Centre launched the Modified Direct Benefit Transfer to LPG consumers scheme in 54 districts of the country on November 15. It is proposed to be launched in Tamil Nadu from January 1, 2015.