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Ministry of Petroleum and Natural Gas

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Ideas to reduce diversion in LPG & Kerosene

Start Date :

Jan 01, 2015

Last Date :

Jul 01, 2016

00:00 AM IST (GMT +5.30 Hrs)

Submission Closed

A huge amount of Govt. money is spent on subsidy of petroleum products. The Govt. had to spend Rs. 1,39,869 crore on account of subsidy on petroleum products in the year 2013-14. ...

A huge amount of Govt. money is spent on subsidy of petroleum products. The Govt. had to spend Rs. 1,39,869 crore on account of subsidy on petroleum products in the year 2013-14. As, the indigenous availability of crude Oil and LPG is limited, these are imported in huge quantities to fulfill the demand of the country. As Govt. provides domestic LPG and PDS Kerosene on subsidised price, this results in huge subsidy burden on Govt. Due to presence of dual pricing(subsidized and non-subsidized) in LPG and SKO, there is a diversion of subsidized LPG and Kerosene into commercial usage. Although Govt. has taken several initiatives to reduce this diversion of subsidized LPG and PDS Kerosene, public participation is solicited to suggest ways for reducing diversion in LPG and PDS Kerosene.

You are invited to suggest ideas to reduce diversion and the subsidy burden on account of LPG and Kerosene.

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Showing 2334 Submission(s)

AMIT SHOREWALA 11 years 4 months ago

Like Disel subsidy on kerosene should also be reduced slowly and steadily which will help reduce government burden also

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Rahul Bansal 11 years 4 months ago

Semi metro cities should be connected with gas grid , faster linkages required to stop leakages.Biomass & biogass generation should be given more emphasis

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LALIT TYAGI 11 years 4 months ago

Another way to reduce the subsidy burden is by reducing the huge price difference in Non subsidized & commercial cylinders. It should be max Rs.2-3/Kg. Increase in sale will compensate the loss due to low price.

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LALIT TYAGI 11 years 4 months ago

I would like to request first of all stop the scheme of DBTL (PAHAL) because this direct transfer in the bank account is giving an easy option of not taking the delivery & simply signing the delivery slip & get the difference amount in the bank account.In other words Govt. is giving me white money for selling my cylinder in black market. The only way to reduce the subsidy burden is to improve the connection facility to each household atleast at a price of non subsidized rate.1/2

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Prabhakar Kumar 11 years 4 months ago

Direct cash transfer can help to control the misuse of subsidized LPG and Kerosene. There should be minimum gap between price of petroleum products so that the adulteration of Kerosene to petrol/diesel can be avoided. Currently poor people are not able to get kerosene and it is being diverted to adulteration of petrol and diesel. It is costing vehicle maintenance as well.

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Shankar Sharan 11 years 4 months ago

One of the greates reason of pilferage of SKO subsidy is unavailability of SKO to customers for their use and ten they have to buy the SKO from black market. The current SKO marketing provisions are very restrictive and any industry seeking 1000 liters of SKO can not purchased it easily through genuine sources. Like all other petroleum products, non subsidized SKO requires to be made available to general customers at ease and smaller deliverable packages and locations.

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Shankar Sharan 11 years 4 months ago

Like in Delhi where every household was motivated to switch over to cleaner fuel I.e. LPG, every rural household should be provided smaller cylinders with gas burner fitted on it without security deposit on the guarantee of Panchayat or the local MLA and reduce the SKO allocation accordingly. This will motivate poorer people also to switch over to LPG and help govt to plug the misuse of SKO subsidy.

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Shankar Sharan 11 years 4 months ago

Another improvement required in LPG distribution system is access to rural areas. Distribution channels can be created in rural areas where 5 kegs cylinders are fed to the village level supplied either through PDS dealer or any other parallel distributor who can store these cylinders safely and distribute it during convenient hours matching the need of people. This way, people will switch over to LPG from Kerosene which is causing big hole in govt. funds.

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Shankar Sharan 11 years 4 months ago

LPG icylinders are primarily used by people not connected to Gas pipelines and mobile residential addresses. In addition, there is misuse by hawkers and hotel industries. Given the demand supply scenario, Non subsidized cylinder prices by authorized sellers are much cheaper than the people selling in black and smaller quantities. I have two suggestions. 1. Non subsidized cylinders shall be made available even during evening hours without any long queues so that these users get it timely . Contd

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AKHILESH GUPTA 11 years 4 months ago

we can reduce the over use of LPG AND KEROSENE by using an alternate source of heat energy like solar energy .(as for solar cooker and solar cell) which is useful for many commercial use.. so in this way we save a large amount of LPG and KEROSENE..

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