About Linking of Bank account & Aadhaar card numbers with LPG Cylinder (Cooking Gas) Consumer number

This post relates to quite a many queries and mails received by us pertaining to the subject matter of this post, i.e., about need of linking one's Bank account number and Aadhaar numbers with respective LPG (cooking bottled gas or simply the cylinder gas) distribution consumer numbers to avail the proposed direct subsidy transfer of cash under its ambitious Direct Benefit Transfer of LPG (DBTL) scheme. The Government of India intends to roll out the scheme in full as soon as possible before the 2014 general elections.

So, although the topic does not relate too much to our domain, we have still pondered upon it and researched a bit on the topic as it is one of the core issues relating to the broader civic amenities that may affect scores of citizens and residents of India. Millions and billions of rupees were going down the drain in lieu of highly subsidized bottled gas supplies to Indian households.

About DBTL scheme

The notification put up by the Ministry of Petroleum and Natural Gas mentions: "Direct Benefit Transfer for LPG consumer (DBTL) is the scheme aimed to improve the subsidy administration of LPG across the country. As per this scheme an LPG consumer will get his/her cylinder at full market price and the differential between subsidized price and full market price i.e. the subsidy will be transferred to his/her bank account upto a capped limit (9 cylinders in a year)"

The proposed scheme aims to check the loss to exchequer to certain extent by means of putting a plug on the subsidy losses that were resulting due to fake customer accounts and duplicity of accounts by individual card holders. The nationalized distribution companies for the bottled liquified petroleum gas (LPG) like Indane, Hindustan Petroleum, Bharat Gas, etc. were instructed by the Government of India recently to verify their respective customer base records and link the individual accounts with respective bank accounts and also with their respective Aadhaar card numbers issued by The Unique Identification Authority of India (UIDAI).

By carrying out this exercise, the Government of India perhaps is targeting the following benefits out of this scheme:

  • Almost entire LPG consuming customer database shall get updated across the country that stood obsolete with passage of time
  • Duplicate consumer accounts, i.e., multiple accounts in the name of one individual, or even fake identities, can be filtered out thereby reducing the subsidy burden by certain extent
  • Updating the consumer database in terms of differentiating households between 'below poverty line (BPL)' and the rest of categories which avail special subsidy benefits
  • Putting a tab on the illegal and black-racketeering of cooking gas cylinders 
Formalities an Individual Needs to Undergo for Availing DBTL Benefits

So what is required to be done on behalf of an individual or a household to avail the proposed Direct Benefit Transfer for LPG consumer (DBTL) scheme? Since from the proposed zero date the subsidized cylinders are to be supplied only to Customers with Aadhaar number and only though their Bank accounts, it is deemed essential for the end consumers to fulfill the following minimum criteria:

  • To get scrutinized their LPG consumer papers and records with their respective local area gas agency
  • To have an Aadhaar number, which shall have to be updated with respective distribution supplier/ local area gas agency by various available means (Example, check Indane's services clicking here
  • To have a Bank account in an accredited bank, the details of which need to be updated with the respective distribution supplier/ local area gas agency
Sharing some Useful Weblinks Bricksnmortar Edesk found

For the assistance of our subscribers and readers, we are furnishing hereunder some useful weblinks by clicking which they shall be able to get more detailed information on this topic and also can download & print some of the application forms required for linking their LPG consumer numbers with Aadhaar card number and Bank account number. One may click the furnished hyperlinks (underlined text) hereunder which shall take the users to respective webpages from where one can download/save/print the information & forms:

Open Points

While we have tried to corroborate and answer most of the pertinent queries raised by our readers in this regard, we understand there are still many open points left to be answered & deliberated upon by the concerned Government departments and Ministries/ Authorities/ Agencies/ etc., a few of which are listed herein below for you to ponder upon as well: 

  • Millions of Aadhaar card applicants have not got their Aadhaar numbers allotted despite undergoing the necessary formalities many months back. What happens to such households? What should they do?
  • Millions of citizens of India still do not have a bank account. While it is being advisable to them to get at least one bank account opened, would it be easy for all of such citizens to easily open a bank account without getting into traps of touts and middlemen?
  • What happens to piped LPG customers who do not use bottled (cylinder) gas supplies? How would their piped supplies be priced and how would it translate in terms of equivalent subsidy?
  • Any other relevant open point? (You may help appending it further by sharing what you feel through comments sections of this post) 
Inference

In our view, this initiative is a good one to start with and takes us one step further towards

efficient and transparent handling of essential utilities and its governance. All we have to see is its correct and efficient implementation towards which we, ordinary citizens of India, will also have to contribute our own bit.

So lets chip-in some good initiatives and try to make this scheme successful. Should you feel like, share your thoughts and suggestions by email or comments to this post.
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