Prime Minister Narendra Modi has launched the Pradhan Mantri Ujjwala Yojana in Uttar Pradesh’s Ballia. Launching the scheme PM Modi on Sunday said that the cooking gas scheme will benefit 5 crore families till 2019. “We have shown how the petroleum sector is for the poor,” Modi said.
Pradhan Mantri Ujjwala Yojana is an NDA government scheme that aims to provide 5 crore free cooking (LPG) connections to below-poverty-line families over the next three years.
“This cooking gas connection will not only help reduce cost for each family, but will also help better the health of women,” Modi said at the launch of Pradhan Mantri Ujjwala Yojana. “The subsidy transfer will take place in the Jan Dhan account of the family’s woman head,” he said.
So how does the Pradhan Mantri Ujjwala Yojana work and what are its benefits?
Providing LPG connections to BPL households will ensure universal coverage of cooking gas in the country, claims the government. “This measure will empower women and protect their health. It will reduce drudgery and the time spent on cooking. It will also provide employment for rural youth in the supply chain of cooking gas,” the government says.
The scheme provides a financial support of Rs 1,600 for each LPG connection to the BPL households. The identification of eligible BPL families will be made in consultation with the state governments and the Union Territories.
Finance Minister Arun Jaitley in his Budget 2016 speech had announced a budgetary provision of Rs 2000 crore for 2016-17 to provide deposit-free LPG connections to 1.5 crore women belonging to BPL families.
Part funding from ‘Give It Up’:
The ambitious Rs 8,000 crore scheme will partly be funded using the money saved from 1.13 crore cooking gas users voluntarily giving up their subsidies through PM’s ‘Give It Up’ initiative. Nearly Rs 5,000 crore of subsidy saved through the campaign is being used to provide LPG connection to the poor.
Maharashtra, Uttar Pradesh, Delhi, Karnataka and Tamil Nadu — accounted for roughly half the people who have given up the LPG subsidy.