The LPG subsidy is a welfare scheme set up by the Government of India, which provides citizens with a subsidy on the market price of LPG cylinders. This subsidy can be availed by individuals across the country, and the cost would be borne by the gas companies and the government.
As per the subsidy scheme, individuals would have to pay the full price of the cylinder on delivery and the subsidy amount would be credited to their registered bank account. The government amended the scheme upon the introduction of the Aadhaar card.
In 2014, the Government of India introduced a scheme where the Aadhaar card would be linked to the gas subsidy. This was done to ensure individuals received their subsidy and to reduce the instances of fraud or cases where individuals did not receive the subsidy amount.
As part of this scheme, all LPG users, irrespective of their gas service provider (Bharat Gas, HP, Indane) can register for the PAHAL scheme by linking their Aadhaar cards to their gas subsidy.
There are some individuals who have not applied for the Aadhaar card and are not sure how to register for the subsidy.
The government has also introduced a scheme, known as PAHAL whereby those without an Aadhaar card can register for the scheme.
There are two ways for individuals to register for PAHAL without the Aadhaar card, which are mentioned below.
Submitting Bank Details to LPG Dealer
You can submit your bank details to your local LPG dealer to avail the LPG subsidy.
- Go to the www.petroleum.nic.in website.
- Select “Option-2”, which is the non-Aadhaar based cash transfer option.
- Download Form 4 from the link provided and fill in the relevant details, submit the form online, after which you will receive an acknowledgement.
- Print the form and submit it to your local LPG distributor.
Online LPG Subsidy Application
You can also choose to apply online for the non-Aadhaar card linked gas subsidy. You can do this in any of the two ways given below:
- Go to www.myLPG.com and enter your bank account details.
- You will receive an acknowledgement and your account will be linked to the PAHAL scheme.
Submitting Details to Bank
You can also choose to submit your LPG customer ID details to your bank, which will link your bank account to the subsidy. However, you will have to check to see if your bank accepts LPG subsidy applications. In case it does not, you can use either of the two options provided above.
- To avail the subsidy, go to www.petroleum.nic.in and select “Option-2”.
- Download Form 3 from the link provided and fill in the details requested. Please remember to mention your 17 digit LPG customer ID on the form.
- Print and submit the duly filled up form to your bank branch.
- You will receive an acknowledgement from the bank and will receive the subsidy money directly into your account.
News About LPG Subsidy
Aadhaar Not Mandatory for LPG, But Distributors Insist Compliance
The Union government recently issued a clarification stating that the Aadhaar card was not mandatory for the issue of LPG subsidy. However, LPG distributors in Chennai still insist on linking the Aadhaar card to the LPG connection.
According to Chennai residents, a number of them have not received the LPG subsidy amount in their bank account. On probing the reason behind this, they were informed that they had failed to link their Aadhaar card to their LPG connection.
All three Public Sector Unit oil companies have directed their distributors to ensure linking of Aadhaar cards to LPG connections by the 30th of September.
However, this is contrary to the recent statement released by the government.
As a result of this disconnect, individuals who require the subsidy are the ones suffering. Many individuals in Chennai were screened for the Aadhaar but are yet to receive it.
When contacted, officials stated that the reason for the delay in dispatching the Aadhaar is the frequent movement of individuals in cities like Chennai. As a result, there is no permanent address since most residents live in rented accommodations.
27th July, 2016
In Assam, Receive LPG Subsidy Without Aadhaar
While the oil companies have been issuing notifications and reminding consumers to register their Aadhaar cards to continue receiving the LPG subsidy, it appears that LPG (Liquefied Petroleum Gas) consumers in Assam will continue to receive the subsidy in spite of not linking their Aadhaar cards.
As the Aadhaar card system has not yet been implemented across the board in Assam, the State Petroleum and Natural Gas Minister issued a statement that consumers in Assam would continue to receive their LPG subsidy even if they have not seeded their Aadhaar card to their LPG connection.
10th July 2016
Don’t Have Aadhaar? Get Ready To Face Problems In Booking Refills
Residents of Bengaluru have been reporting that booking a refill for their gas connections is becoming a problem in the city. Many of the users who have not got an Aadhaar card are reporting that they are facing problems in booking cylinders. When using the IVR to book one, the booking is not being accepted if Aadhaar is not available and they are directed to contact the dealers. The dealers are reportedly asking the users to submit an undertaking in which they choose to forego the subsidy or promise to apply for Aadhaar soon in order to book a new cylinder. Currently about 7 lakh users have not provided aadhaar details, possibly because they don’t have them. The problem is that the oil companies say that they need to have Aadhaar details to establish the authenticity of the person getting subsidy since a simple bank account is not enough. Abhijit Dey, the IOC Assistant General Manager (LPG) said that they have not asked any distributor to take any undertaking but when the distributors were contacted, they said that the oil companies were pressuring them to collect Aadhaar details of every customer.
30th June 2016
Gas Subsidy Received Through Aadhaar by Over 94% in Kolhapur
Residents of Kolhapur who have Aadhaar cards have been receiving their gas subsidy directly into their bank accounts under the Direct Benefit Transfer (DBT) Scheme.
Over 7 lakh citizens who receive LPG cylinders have linked their Aadhaar card to their gas connection and bank accounts, enabling the cash transfer compliance.
With over 7.3 lakh LPG consumers in the city, officials are looking at ensuring full cash transfer compliance soon. One possible reason for consumers not receiving the subsidy directly is they could have omitted to link the bank account with the Aadhaar card.
The central government has mandated that all gas connection holders link their Aadhaar card with their gas connection so they can ascertain the exact number of LPG consumers in each district.
The reason the city has such a good response is due to the involvement of local politicians in the process, who are helping consumers in rural areas register for their subsidies.
With the Maharashtra government almost stopping the supply of kerosene, shifting to LPG has become necessary for villagers in the state.
27th April 2016
Over 1 Crore Have Surrendered LPG Subsidy, According to Govt
The Government has stated that over 1 crore individuals have voluntarily given up their LPG subsidy. This has resulted in the oil manufacturing companies (OMC’s) saving up to Rs. 5, 178 crore, the Petroleum Ministry has claimed in a statement released recently.
The LPG subsidy surrender was a result of Prime Minister Narendra Modi’s GiveItUp campaign, where he exhorted individuals who could afford to pay the full price for their gas cylinders to do so and relieve the burden on the OMC’s.
Figures show that Indane accounts for over 35% of the savings, with over Rs. 1, 700 crore saved thanks to the surrender of the subsidy.
While the subsidy surrender had been introduced in 2012, it was in 2015 that it gained momentum, with over 764, 000 families choosing to give up their subsidy after the PM launched his campaign.
The companies had collectively suffered losses of Rs. 11, 000 crore in the previous year due to subsidized LPG. Each family is entitled to 12 subsidized cylinders, with the rest to be paid at prevailing market rates. Those wishing to opt out can write to their distributor or submit an online request.
22nd April 2016