Pradhan Mantri Ujjwala Yojana

In News

• Recently, the Union Government admitted that over 9 million beneficiaries did not refill cylinders last year due to high prices of LPG.

About the recent data

• Beneficiaries:
  • 16.5 million Beneficiaries took 0-1 refills in 2017-18, 41.4 million in 2018-19.
  • 32.4 million In 2019-20 and 7.7 million in 2020-21. 
  • The number of beneficiaries who did not take any refill remained the highest in 2019-20.
  • These figures show that the intention with which PMUY was launched is not being fulfilled.
• Subsidy:
  • Because of the declining interest in the scheme the Centre has announced a subsidy of Rs 200 per cylinder for up to 12 cylinders for 2022-23.
• Consumption pattern:
  • Consumption of LPG depended on many factors like eating habits, size of households, cooking habits, prices and availability of alternative fuels.
  • The biggest reason for not refilling LPG cylinders is said to be its high price.
  • There has been a major decline in the subsidy for LPG cylinders through direct benefit transfer (DBT).
• COVID effect: 
  • These figures should also take into account the fact that during the COVID-19 pandemic, the government provided up to three free of cost LPG refills to PMUY beneficiaries from April 1, 2020, and this was extended up to December 31, 2020.

PM Ujjwala Scheme

• It is a scheme of the Ministry of Petroleum & Natural Gas for providing LPG connections to women from Below Poverty Line (BPL) households. 
• The scheme was originally launched on May 1, 2016, in Ballia, Uttar Pradesh by the Prime Minister of India with a target of releasing 8 crore connections by March 2020.
• During Ujjwala 1.0, a target was set to provide LPG connections to 5 crore women members of BPL households.
• Subsequently, the scheme was expanded in April 2018 to include women beneficiaries from seven more categories (SC/ST, PMAY, AAY, Most backward classes, tea garden, forest dwellers, Islands).
• Also, the target was revised to 8 Crore LPG connections.
  • So far over 9 crores of connections under Pradhan Mantri Ujjwala Yojana have been released.  
• This target was achieved in August 2019, seven months ahead of the target date. 
• The PMUY 2.0 was launched in the financial year 2021-22 making a provision for the release of additional one crore connections.

PMUY 2.0

• In the Union budget for FY 21-22, provision for an additional one crore LPG connection under the PMUY scheme was announced. 
• This one crore additional PMUY connections (under Ujjwala 2.0) aim to provide deposit-free LPG connections to those low-income families who could not be covered under the earlier phase of PMUY.
• Other Benefits: 
  • It will provide the first refill and hotplate free of cost to the beneficiaries. 
  • The enrolment procedure will require minimal paperwork.
  • In it,, migrants will not be required to submit ration cards or address proof.
  • A self-declaration for both ‘family declaration’ and a ‘proof of address will suffice. 
  • It will help achieve the Prime Minister’s vision of universal access to LPG.

Objectives & significance

• Health Benefits: ↓ health hazards associated with cooking based on fossil fuel.
  • WHO estimates: About 5 lakh deaths in India due to unclean cooking fuels. 
• Women Empowerment: Women are saved from the danger of collecting firewood by hiking long distances.
• Socio-Economic Benefits: Productive activities, & connection on Women’s name.
• Environment: Less pollution due to fuel burning.

Challenges

• High Initial Cost: No support by the government at the refiling stage forces the poor to pay more.
• Administrative concerns: For example, Data discrepancies in Aadhar. 
• Logistics: Lack of last-mile connectivity & filling plants in rural areas.
• Behavioural concerns: Despite having LPG, people still use wood to save costs.

Way Ahead

• Strengthening the supply chain, Ensuring affordability, availability, and accountability.

Source: DTE