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Revamp of PDS mooted to enhance Kerosene supply

(Panchayati Raj and Petroleum Ministries to Aid States)

The Pioneer
Wednesday, October 19, 2005.

In a bid to radically revamp the network of the public distribution (PDS) for kerosene, The Ministry of petroleum and Natural gas has initiated a ‘Jan Kerosene Paryojana’, in collaboration with the Ministry of Panchayati Raj.

The ‘Paryojana’ will be implemented by the two ministries in association with State governments and UT administrations, and also endeavour to check the diversion of kerosene for the adulteration of other petroleum products.

Speaking at a formal launch of the pilot project, Union minister for petroleum and natural gas and Panchayati Raj, Mr. Mani Sankar Aiyar underlined the sensitive nature of the product, which is a domestic fuel meant for mass consumption and the total subsidy on the product during 2004-05 was over Rs. 10,000 crores.

Mr. Aiyar said, “the scheme was expected to deliver better results with the involvement of Panchayati Raj institutions in monitoring the distribution mechanism and also in providing a grievance redressal mechanism.”

Panchayati Raj institutions will be actively involved in grievance redressal through constitution of vigilance committees at Gram Panchayat, intermediate and district levels, with at least 3 members of which 2 will be women.

Speaking on the issue the Minister said, “the scheme would be implemented for a period of six months. Based on the experience of the pilot project, the scheme would be extended to cover all the blocks, numbering about 6 thousand in the country after its effectiveness has been evaluated”.

The evaluation exercise, he said, would be done by the national council of Applied Economic Research (NCAER), which had also conducted the first ever-scientific study for the Ministry of Petroleum and Natural gas, to asses the demand for kerosene in the country.

The Minister, referring to the report by NCAER said that there is extremely high leakage of PDS kerosene in the 10 states of Assam, Chattisgarh, Tamil Nadu, Uttaranchal, Bihar, Chandigarh, Delhi, Jharkhand, Orissa and Punjab. “We propose to take necessary action, not only in rationalizing allocation of kerosene to the states, but also taking strict measures to curb the menace of adulteration wherever required,” he added.