This paper presents the findings of the Committee that was constituted by the Government of India to review the roll-out Direct Benefit Transfer for LPG (DBTL) Scheme.
Abstract: The Direct Benefit Transfer for LPG (DBTL) scheme was rolled out in 291 districts in the country from 1st June 2013 in six phases. it covered nearly 10 crore consumers with over 3770 distributors across the three PSU oil marketing Companies with an aim to achieve the objective of efficient subsidy administration. An amount of Rs. 5400 crore was successfully transferred to more than 2.8 crore LPG consumers across the country. While preliminary results indicated that the scheme met its primary objective of curbing leakages in the distribution system, the speed at which it was rolled out and inclusion of low Aadhaar districts gave rise to consumer grievances. The Government of India took cognizance of this and directed that the scheme be held in abeyance and constituted a Committee on 7th march 2014 to review the scheme and submit its report to the Government of India after consultation with the stakeholders. The Committee has examined the functioning of the DBTL scheme in depth by meeting all stakeholders to understand every aspect of the scheme and the difficulties encountered by the stakeholders, primarily LPG consumers.