Monday, February 14, 2011

Nandan Nilekani to head task force on kerosene, LPG, fertilisers subsidy

The government February 14th constituted an inter-ministerial task force under the Unique Identification Authority of India,UIDAI, chairman Nandan Nilekani for evolving mechanisms to provide direct subsidies on kerosene, LPG and fertilisers to intended beneficiaries. The Finance Ministry said in a release, the task force has been constituted in light of the overwhelming evidence that the present policy of giving subsidy on kerosene is resulting in waste, leakage,adulteration and inefficiency.

The Task Force would submit its interim report within four months of its constitution. The recommendations of the report would be implemented on a pilot basis by the concerned ministries under the supervision of the Task Force in the following six months.

Besides, the Task Force would evolve a model of direct transfer of subsidies on these items by re-engineering existing systems, processes and procedures in the implementation process.

The panel has also been asked to design appropriate IT systems and bringing about changes in the administration and supply chain management.

Besides the UIDAI chairman, the team will consist of secretaries from finance, chemicals & fertilizers, agriculture, food & public distribution, petroleum & natural Gas and rural development along with DG UID Authority.

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