PAHAL (DBTL) Scheme: Objectives, Benefits, Subsidy Amount, How to Apply Online

The PAHAL (Direct Benefit Transfer for LPG) scheme is India’s flagship initiative for transferring LPG subsidies directly into the bank accounts of eligible consumers. This scheme ensures transparency and eliminates intermediaries in the subsidy disbursement process. It covers over 17 crore LPG consumers nationwide, making it the largest cash transfer program globally.

This article will guide you through how PAHAL works, who can register, how to check your status, and everything else you need to take advantage of this benefit.

Key Highlights of PAHAL Scheme

What is PAHAL Scheme?

PAHAL, or the Pratyaksh Hanstantrit Labh scheme, is India’s Direct Benefit Transfer (DBT) system for LPG subsidies. Instead of subsidized cylinders being delivered directly, the consumer pays the full market price for LPG and the government transfers the subsidy amount to the registered bank account.

The scheme promotes financial inclusion, reduces subsidy leakages, and brings accountability by ensuring the benefit reaches the rightful consumer.

How Does PAHAL Yojana Work?

The working of the PAHAL scheme is simple and transparent:

• The consumer books a gas cylinder at the market price.
• Once delivered, the government credits the subsidy amount directly into the linked bank account of the consumer.
• To receive this benefit, the consumer must have:
  • An active Aadhaar card
  • A bank account
  • A valid LPG consumer number

There are two types of consumers in the scheme:

1. Primary Aadhaar-Based DBT (preferred): Aadhaar is linked with both LPG and bank account.
2. Alternative (Non-Aadhaar-Based): Bank account is linked directly with the LPG consumer number if Aadhaar linking is not available.

Objectives of PAHAL (DBTL) Scheme

The objectives of the PAHAL (DBTL) scheme are:

• Removing incentives for diversion.
• Protect the entitlement and ensure the payment of subsidy to the consumers.
• Improving the availability or delivery of LPG cylinders for genuine customers.
• Eliminating the fake or duplicate connections.
• Providing self-selection in subsidy.

How to Register for the PAHAL (DBTL) Scheme

To register under the PAHAL scheme and start receiving LPG subsidies, follow the steps below:

Step 1: You will first have to link your Aadhaar with your LPG connection. Visit your LPG distributor (Indane, HP Gas, or Bharat Gas) or use the official portal of your LPG provider. You can then submit your Aadhaar number through the online portal, SMS, mobile app, or by visiting the distributor’s office in person.

Step 2: You will then receive a confirmation from your LPG provider stating that your Aadhaar has been successfully linked with your LPG consumer number.

Step 3: Link the same Aadhaar number with your bank account. You can do this by visiting your bank branch with a self-attested copy of your Aadhaar card and filling out the Aadhaar seeding form. Alternatively, if supported, you may link it through net banking or mobile banking.

Step 4: You will then have to wait for a confirmation message from your bank confirming successful Aadhaar linkage. Once your Aadhaar is linked with both your LPG connection and bank account, the subsidy amount will be transferred automatically to your bank account after each gas refill.

Note:
Consumers who do not wish to follow the Aadhaar-based process can opt for the non-Aadhaar process. In this case, you must provide your 17-digit LPG consumer number and bank account details directly to your distributor to start receiving the subsidy.

How to Check Your PAHAL (DBTL) Status

You can easily verify if your LPG subsidy is being transferred under the PAHAL scheme. Here’s how:

Step 1: Visit the official DBTL portal of your LPG provider, such as Indane, Bharat Gas, or HP Gas.

Step 2: Enter your 17-digit LPG consumer number, registered mobile number or Aadhaar, and the captcha code.

Step 3: View the subsidy transfer status, including the last credited amount and transaction details.

Eligibility Criteria for PAHAL (DBTL) Scheme

To qualify for the LPG subsidy under the PAHAL scheme, the following criteria must be met:

• The applicant must be a domestic LPG consumer with an active LPG connection.
• According to the Income Tax Act, 1961, the consumer and their spouse should have a taxable income of less than Rs. 10 lakhs in the preceding financial year.
• From January 2016 onwards, consumers or spouses with taxable incomes above Rs. 10 lakhs are not eligible for the subsidy.
• The LPG connection must be linked with Aadhaar and a valid bank account for subsidy transfer.
• Aadhaar and bank account linkage are mandatory for seamless Direct Benefit Transfer (DBT) under PAHAL.
• Consumers without Aadhaar can still avail the subsidy by linking their bank account directly with the LPG consumer number, following the non-Aadhaar procedure.

Benefits of PAHAL (DBTL) Scheme

The PAHAL (DBTL) scheme has many benefits to the customers, the Government of India and the Oil Marketing Companies (OMC). The benefits are as follows:

Pricing Under PAHAL (DBTL) Scheme

Under the PAHAL scheme, domestic LPG cylinders are sold to registered customers, called Cash Transfer Compliant (CTC) consumers, at a market-driven price that excludes the subsidy. The subsidy amount is then directly transferred to their bank accounts.

Here’s how the pricing and subsidy transfer work:

• Amount Transferred: For each subsidised cylinder delivered (up to the entitlement cap), the full subsidy amount is credited directly to the CTC consumer’s bank account.
• Grace Period: Non-CTC customers get a 3-month grace period from the scheme launch date to become compliant. During this time, they can still buy cylinders at the subsidised retail price.
• Parking Period: After the grace period, non-CTC customers have an additional 3 months to transition. During this time, they must pay the full market price for cylinders, while the subsidy amount (based on their entitlement) is held by the Oil Marketing Companies (OMCs). Once they become CTC, this held subsidy amount is transferred to their bank accounts.
• Permanent Advance: Every CTC customer receives a one-time advance payment, updated periodically, to help cover the cost of their first cylinder at market price. This amount remains with the customer until their connection is terminated, at which point it is adjusted.

Options to Receive LPG Subsidy Under PAHAL (DBTL) Scheme

The CTC customers will receive subsidy in their bank accounts through the following two options:

• Option I (Primary): If the Aadhaar number is available, it will be the medium of cash transfer. Thus, an LPG customer must link an Aadhaar Number with the bank account number and the LPG consumer number.
• Option II (Secondary): If the LPG customer does not have an Aadhaar number, then he/she will directly receive the subsidy in his/her bank account without the need for an Aadhaar number. Under this option, the customer can give his/her bank information (account number/bank account holder name/IFSC code)  to the LPG distributor for capture in the LPG database or can give the LPG consumer information (17 digit LPG consumer ID) to his bank.

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