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Ideas to reduce diversion in LPG & Kerosene

Ideas to reduce diversion in LPG & Kerosene
Start Date :
Jan 01, 2015
Last Date :
Jul 01, 2016
00:00 AM IST (GMT +5.30 Hrs)
Submission Closed

A huge amount of Govt. money is spent on subsidy of petroleum products. The Govt. had to spend Rs. 1,39,869 crore on account of subsidy on petroleum products in the year 2013-14. ...

A huge amount of Govt. money is spent on subsidy of petroleum products. The Govt. had to spend Rs. 1,39,869 crore on account of subsidy on petroleum products in the year 2013-14. As, the indigenous availability of crude Oil and LPG is limited, these are imported in huge quantities to fulfill the demand of the country.  As Govt. provides domestic LPG and PDS Kerosene on subsidised price, this results in huge subsidy burden on Govt. Due to presence of dual pricing(subsidized and non-subsidized) in LPG and SKO, there is a diversion of subsidized LPG and Kerosene into commercial usage. Although Govt. has taken several initiatives to reduce this diversion of subsidized LPG and PDS Kerosene, public participation is solicited to suggest ways for reducing diversion in LPG and PDS Kerosene.

You are invited to suggest ideas to reduce diversion and the subsidy burden on account of LPG and Kerosene.

Showing 2334 Submission(s)
ARUN GOPI
ARUN GOPI 10 years 9 months ago

Two followings measures can be taken:
1.Subsidy should be reformed on slab system.Family having income above 1000000 should be avoided from consuming subsidy LPG's.Familys having income between 500000-1000000 should be given 25% and Rest should provide current or actual subsidy amount.
2. No. of subsidy cilinders shall be limited as per slab.i.e for higher incomes 4, middle incomes 9 and low incomes 12.

ADVOCATE vp mishra
ADVOCATE vp mishra 10 years 9 months ago

villagers are suffering with non delivery problem .so Dealership network development is necessary

Ravi P
Ravi P 10 years 9 months ago

For Domestic user , subsidized (12 cylinders) will be given as per normal rate.Reason for a normal family one gas cylinder will come for min 1 month, like that 12 cylinders are enough. Due to this money transfer scheme Gas cylinder providers (HP, Indane, Bharat ) will be more beneficial.
These gas dealers knows about their customers(Hiuse hold or business) Create separate consumer numbers.
Request you to remove this scheme on house hold customers.

Krishna Kant
Krishna Kant 10 years 9 months ago

First reduce subsidized amount to less than half. For example, poor most certainly don't need or use 12 LPG cylinders per year.
Second, establish a UID for businesses and require it in all business relate transactions including purchases like LPG.

Third, design 2 different types of cylinders -- one for home use, one for business. A surprise check could then reveal diversion.

Shubham Mishra
Shubham Mishra 10 years 9 months ago

There exists a two pronged solution this problem in my opinion. One, we need lighter cylinders that can be transported easily and use less transportation cost per cylinder of LPG. Strong Fibers can be cheaply produced too and can be transparent too. Other part is Economics of Aadhar Card and Poverty Line. Subsidies needs to be dynamically determined for each individual/family based on their income and should cost them immediately at subsidised cost at time of buying, which should be recorded.

deepak golannanavar
deepak golannanavar 10 years 9 months ago

People who forego or who do not want LPG subsidy must be given star in IT return. This will help them get identified in society while applying housing loan ;person loan etc.

deepak golannanavar
deepak golannanavar 10 years 9 months ago

Once piped gas becomes reality subsidy must be with drawn to all such houses.

deepak golannanavar
deepak golannanavar 10 years 9 months ago

People who are having TDS in bank account for Rs 5000 or more should not be given LPG gas subsidy.

Ajit Tewari
Ajit Tewari 10 years 9 months ago

The best way is to sell all LPG cylinders at non subsidised rates for everyone. Subsidy for those entitled should be given through Aadhar card. Gradually all subsidy should be withdrawn and given only to those below the poverty line.

Surya Goel
Surya Goel 10 years 9 months ago

Cylinders by themselves are a big reason for this diversion. Easy to carry & transport. Most of the small scale businesses, restaurants industries use these diverted subsidized & residential cylinders. I personally know somebody who and his business friends use at least 100 of these cylinders per day. The biggest question is how do you stop that. This is where administration plays a HUGE role.
You can't cut the supply to reduce demand, you have to cut the demand to reduce the supply.

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