The Central Government claims it would save Rs 21,000 crore in Financial year 2015 and 2016 after launching its cooking gas subsidy through direct banking transfers and asking better off consumers to voluntarily give up theirs.

Government also claimed that Over 3.34 crore of these connections were done away with after the implementation of DBT.

Giving out government calculations, it said going by the 12 subsidised 14.2-kg cylinders per household in a year, the 3.34 crore blocked consumers would have consumed Rs 14,818.4 crore of subsidy after considering average subsidy of Rs 369.72 per cylinder for 2014-15.

However, if the CAG’s report is tabled in the current session of parliament and if it goes on to indicate that these numbers that the government is claiming are completely biased, then it definitely does not bode well either for Oil Minister Dharmendra Pradhan or for the government’s ambitious campaign of give it up when it come to LPG subsidy.

 

 

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