October 11, 2012 4:47 PM

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Govt clears proposal to lead to transfer of direct cash subsidy to farmers

The Cabinet today cleared a proposal that will eventually lead to transfer of direct cash subsidy to the farmers for procuring fertilizers. Cabinet Committee on Economic Affairs, CCEA has approved the modifications in procedure of releasing fertilizer subsidies so as to make them available directly to beneficiaries. Briefing the media persons, official spokesperson said that the government will introduce mobile fertilizer monitoring system. It is being done after a task force headed by Nandan Nilekerni recommended Direct payment of subsidies to the beneficiaries.

The Department of Fertilizers will carry out a pilot project in this regard in 10 distrcts for information visibility on sale of fertilizers to the farmers. The identification of farmers will be done through the Kisan Credit Card, Aadhar number or Bank Account number. The move will contain corruption and enhance transparency in the transactions. The payment of fertiliser subsidy to companies will be based on the receipt of fertilisers and the acknowledgement of receipts of fertilisers by the retailers.

In case of urea, the government fixes the MRP and the difference between the MRP and production cost is reimbursed
by the government in form of subsidy to the fertiliser companies. For phosphatic and potassic (P&K) fertilisers, MRP is free but the government has fixes the amount of subsidy. The government provides 85-90 per cent of the subsidy payment to the companies on the basis of certificate from statutory auditor certifying the sale of the crop nutrient. The balance is paid after state governments acknowledge the sale of fertilisers.

The official spokesperson also said that maximum retail price of urea is being increased by 50 rupees per metric tone which will effect only 10 to 15 percent of total fertilizers.

The Cabinet meeting chaired by Dr Manmohan Singh in New Delhi, also gave its nod to the introduction of Amendments to the Indecent Representation of Women (Prohibition) Act, 1986 in Parliament. These amendments seek to ensure that more effective protection is provided against indecent representation of women by covering newer forms of communication like internet and multimedia messaging, beyond the print and audio-visual media.

To provide quality education in rural areas, the CCEA gave its approval for setting up of 6,000 model schools at block level as benchmark of excellence. For the year 2012-13, an amount of 1080.00 crore rupees has been allocated for the Scheme.

The Model School Scheme was launched in November, 2008 . The objective of the Scheme is to set up one senior secondary school each in 6,000 blocks as benchmark of excellence. 3,500 of these schools are to be set up under State/UT Governments in Educationally Backward Blocks (EBBs) and the remaining 2,500 schools are to be established under PPP mode in blocks which are not educationally backward.

With the objective of improving infrastructure in Rajasthan, the Cabinet Committee on Infrastructure, CCI approved the investment proposal for the implementation of the project for the development of four laning of Rajsamand – Bhilwara section of National Highway NH-758 in Rajasthan. The total length of the project will be 87.250 kms is covered in the Districts of Rajsamand and Bhilwara in the State. The CCI also approved the investment proposal for the implementation of the project for the development of two laning with paved side shoulders of Salasar – Haryana Border section of National Highway NH-65 in Rajasthan.

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