October 13, 2015 2:07 PM

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Over 14,600 crore rupees saved in LPG subsidy in last year: Oil Ministry

Over 14,600 crore rupees has been saved in LPG subsidy in last year as a result of direct benefit transfer scheme. Oil Ministry said in a press release that of over 18 crore registered LPG consumers as on 1st of April this year, three crore and 34 lakh connections were found either fake, duplicate or inactive which were blocked under the PAHAL scheme and related initiatives.It said, if the quota of 12 cylinders per consumer and the average LPG subsidy of 336 rupees per cylinder for the last fiscal is taken into account, the estimated savings due to blocking of inactive accounts stood at 14,672 crore rupees. The Ministry clarified that the subsidy outgo, and consequent savings is a result of multiple factors including prevailing Crude Price , Exchange Rate, and Tax Structure in various States. The clarification came in the wake of media reports that the government's claim of LPG subsidy saving is inflated.

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