Despite a steep fall in the subsidy provided for it, LPG prices are soaring. With time the Indian government has always tried to develop new schemes and programs like Pradhan Mantri Ujjwala Yojana (PMUY) to eliminate the difficulties faced by the people who are deprived of basic necessities. Still, the main question that often arises is the success rate of these programs. Are people even aware of the schemes? And if aware then how much do the schemes help?
The connections remain unused
One such scheme is the Pradhan Mantri Ujjwala Yojana (PMUY), it was launched by the Ministry of Petroleum and Natural Gas (MOPNG) as a flagship program with the goal of making clean cooking fuels like LPG accessible to rural and underprivileged households that would otherwise use traditional cooking fuels like firewood, coal, cow-dung cakes, etc. Traditional cooking fuels have a negative effect on both the environment and the health of rural women.
But the scheme is seen to be a failure to the recent facts and figures. Women were given connections to liquefied petroleum gas (LPG) as part of the Pradhan Mantri Ujjwala Yojana (PMUY), however, these connections are now unused. Due to the high cost of LPG, beneficiaries have not been able to fill cylinders. The Center has acknowledged this.
9.2 million customers did not request any refills, 2021-22
In 2021–2022, 9.2 million customers did not request any refills, according to Rameshwar Teli, minister of state for petroleum and natural gas, told before the Rajya Sabha on August 1, 2022.
10.8 million users only used one refill, he added (Refills being given with connections). As a result, 20 million of the 93.4 million PMUY beneficiaries only requested one refill.
In response to a query from Rajya Sabha MPs Mallikarjun Kharge and Pramod Tiwari, Teli made the admission.
According to him, the number of recipients who received 0–1 refill varied between 16.5 million in 2017–18, 41.4 million in 2018–19, 32.4 million in 2019–20, and 7.7 million in 2020–21. The greatest number of beneficiaries did not request any refills in 2019–20.
The statistics demonstrate the purpose for which PMUY was introduced has not been achieved.
14.1 million beneficiaries did not request any refills this year. In 2018-19, the largest number of beneficiaries that is around 29 million only requested one refill. The statistics demonstrate the purpose for which PMUY was introduced has not been achieved. The Centre has offered a subsidy of rupees 200 per cylinder for up to 12 cylinders a year from 2022-23, which may be the result of the scheme’s popularity.
According to the minister, 21.1 million out of the 305.3 million active domestic consumers in 2021-22 did not request any refills, while 29.1 million requested just one.
The cost of LPG is reportedly the main deterrent to refilling cylinders. In response to a different inquiry, the minister acknowledged that the value of refill for PMUY beneficiaries in July 2021 was Rs 834.5.
In July 2022, this was increased to Rs 853. The cost of a refill for non-PMUY consumers also increased, going from Rs 834.5 in July 2021 to Rs 1,053 in July 2022.
A mere Rs 242 crore in subsidies were awarded in 2021–22, Teli informed MP V Sivadasan in response to another question in the Rajya Sabha.
The DBT subsidy for LPG cylinders has decreased
The direct benefit transfer subsidy for LPG cylinders has significantly decreased (DBT). In 2022, just Rs 242 crore was released via DBT. DBT released Rs 36.58 crore in 2020–21, Rs 227.26 crore in 2019–20, Rs 315.39 crore in 2018–19, and Rs 209.05 crore in 2017–18.
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