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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)

Mohamed Daseef S 11 years 8 months ago

The better way is to remove the subsidized price & fix one common price for petroleum products which are required for household & commercial purpose. But for th household transfer the amount mend as subsidy to bank a/c linked with the LPG with the clear instruction to the banker that customers can only use it for buying LPG. The public should pay the full actual amount to the LPG dealer from their pocket later allowed to withdraw the subsidy amount from there bank a/c by producing the bill copy.

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Utkarsh Yadav 11 years 8 months ago

This will not only increase the sale of HSD but also curb the black marketing and profiteering from SKO. The trucks supplying SKO, after loading takes the SKO out from TT and fill their own use tank as their are no locks on TT's.

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Utkarsh Yadav 11 years 8 months ago

The current trend is - Kerosene is distributed to poor , poor goes to shop and sell it and ₹20/litre, the shop fellow sells it to auto wala at ₹30/litre . Autowala saves ₹ 30/litre on HSD. The Only way forward is to reduce diversion is eliminate the govt. control as this contributes immensely in the earnings of IAS officers. Kerosene should be deregulates and made costlier that HSD by some paise. The subsidy should be sent to the targeted citizens in their bank accounts.

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