Government plans pilot project on alternative PDS for direct transfer of subsidy
31 Oct 2012
The centre will launch a pilot project across six union territories, from January 2013, on direct transfer of food subsidy to ration card-holders, in an effort to curb leakages of foodgrains meant for public distribution system (PDS).
The pilot project will be launched in the six union territories of Chandigarh, Puduchery, Andaman and Nicobar, Lakshadweep, Dadra and Nagar Haveli and Daman and Diu, in order to assess the efficacy of the alternative model.
''To check leakages and diversion, an alternate model of direct transfer of food subsidy is being considered,'' minister of food and public distribution K V Thomas said at the end of a 2-day meeting of state food ministers and food secretaries in New Delhi.
The alternative model involves distribution of foodgrains at the rate closer to the market prices through PDS and transfer of food subsidy to the beneficiaries' bank accounts.
The ministry of consumer affairs also launched a National Transparency Portal for public distribution system (PDS) as the first step towards direct transfer of food subsidies.
The portal will provide all PDS-related information through a single platform in the public domain. The portal contains information relating to fair price shops (FPSs) and ration cards attached to the FPSs.
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