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India's pioneering household energy initiatives

PAHAL: A Direct Benefit Transfer Scheme

The PAHAL (DBTL) scheme was earlier launched on 1st June 2013 and finally covered 291 districts. It required the consumer to mandatorily have an Aadhaar number for availing LPG Subsidy. The government has comprehensively reviewed the scheme and after examining the difficulties faced by the consumer substantively modified the scheme prior to launch. The modified scheme has been re-launched in 54 districts on 15.11.2014 in the 1st Phase and to be launched in rest of the country on 1.1.2015. The modified scheme is given as under: 

  • Options to receive LPG subsidy
  • Under the modified scheme, the LPG consumer can now receive subsidy in his bank account by two methods. Such a consumer will be called CTC (Cash Transfer Compliant) once he joins the scheme and is ready to receive subsidy in the bank account. The two options are:
    • Option I (Primary): 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.
    • Option II (Secondary): If LPG consumer does not have an Aadhaar number, then 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. In this option,
      Either consumer can 
      • Present bank account information (bank account holder name /account number /IFSC code) to the LPG distributor for capture in LPG database
        OR
      • Present LPG consumer information (17 digit LPG consumer ID) to his bank
Ajay Pillarisetti