Agriculture Minister is not in favour of DCT scheme

While attending a rally held by NCP, agriculture minister Sharad Pawar cleared his thoughts regarding the Aadhar card based Direct Cash Transfer scheme from the central government all set to be launched from New Year. The Union Minister said that he is not in favour of this implementation though his party is providing a strong support to the central government, he mentioned his views against the scheme for the very first time till now. He added that we will not be together if a large section of the poor people of this country are getting no gain from it. There are also some organizations operational for deprived people who are finding it of no use for the really needy people. The opposition from NCP might affect the UPA in the 2014 general elections.

However, R S Butola, chairman and managing director, Indian Oil Corporation feels that the Aadhaar based DCT scheme will provide a better marketing functions.  He is happy with the decision of the central government regarding fixing the number of subsidized LPG cylinders per year. Mr. Butola thinks that this way of transferring the subsidized benefits directly into the bank accounts is a good idea as it will check the leakages involved in the middle layer.

While preparations are underway for opening up of bank accounts and linking with them the Aadhaar numbers of the beneficiaries, there is also a planning to set up as maximum ATMs as possible and the expected figure is to reach close to 2000 ATMs in different regions in the country. The setup of ATMs reduces a lot burden from the banks as all the transactions are done automatically. The government was earlier planning to install ATMs mostly in the rural areas to provide better facilities to people. The new ATMs deployed will be integrated with regional or local languages to make the job for the user easier and familiar. According to the sources, RBI is also planning to provide ATM card to every beneficiary of the Aadhaar based DCT scheme. There are presently about 1 lakh ATMs in the country and these figures are expected to go up to 1.75 lakh ATMs by the end of the fiscal year 2016.

The food ministry has said that they will use DCT and not subsidized food transfer. This implementation will be first deployed in 5 Union Territories on a pilot basis from 1st April 2013. The governments’ first phase DCT scheme excludes food subsidy and it will be included in the scheme only after the successful execution of the DCT launch.

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