Question 1

How is the subsidy on PDS Kerosene and Domestic LPG funded?

 

Answer

The subsidy on PDS Kerosene and Domestic LPG is met from the budgetary grants of MoP&NG.

 

Question 2

Is there a single rate of subsidy for all bottling plants and depots in India under the PDS Kerosene and Domestic LPG schemes?

 

Answer

Separate subsidy rates have been approved by MoP&NG for each bottling plant and depot under the PDS Kerosene and Domestic LPG scheme.

 

Question 3

How is the subsidy rate for PDS Kerosene and Domestic LPG determined?

 

Answer

The amount of subsidy per selling unit as on 1/4/2002 was the difference between the cost price and the issue price per selling unit and was computed ex-depot for PDS Kerosene and ex-bottling plant for Domestic LPG. It was decided that the subsidy per selling unit for any depot/ bottling plant effective 1/4/02 shall be frozen and remain unchanged for the financial year 2002-03. The subsidy admissible under this Scheme for 2003-04 was at 2/3^rd level of the rates allowed during 2002-03 and the subsidy admissible for 2004-05, 2005-06 and 2006-07 is at one-third (1/3^rd) level of the rates of subsidy for 2002-03.

 

Question 4

Which are the far-flung areas under the Freight Subsidy scheme?

 

Answer

The following areas constitute ‘far-flung areas’ under Freight Subsidy scheme:

i.        North Eastern States including Sikkim, except the districts in which Digboi, Guwahati, Bongaigaon and Numaligarh refineries are located;

ii.      The States of Jammu & Kashmir excluding districts of Jammu & Kathwa, Himachal Pradesh, Uttaranchal excluding the districts of Haridwar and Udhamsing Nagar;

iii.    Andaman & Nicobar Islands; and

iv.     Lakshadweep Islands

 

Question 5

Which oil companies are allowed to participate in the PDS Kerosene and Domestic LPG subsidy scheme and Freight Subsidy scheme?

 

Answer

Currently, IOC, HPC, BPC & IBP are allowed to participate in the above schemes.

 

Question 6

What is the rate of subsidy allowed on PDS Kerosene and Domestic LPG?

 

Answer

The average rate of subsidy allowed on PDS Kerosene and Domestic LPG is given below:

Years	PDS SKO (Rs./ Litre)	Domestic LPG (Rs/ Cylinder)
2002-03	2.45	67.75
2003-04	1.65	45.18
2004-05 onwards	0.82	22.58