Low Aadhaar penetration hits DBT scheme in Karnataka

BANGALORE, INDIA: Oil Marketing Companies (OMCs) have been concerned over the low penetration of the Aadhaar numbers in the bank accounts of beneficiaries.

The Direct Benefit Transfer (DBT) scheme which is to be implemented from June 1 has been witnessing low penetration of seeding of Aadhaar numbers.

The DBT scheme is expected to cover 20 districts in Karnataka in the initial phase. In Tumkur and Mysore, where the UIDAI registered 99 percent success has witnessed poor response from LPG customers in terms of Aadhaar penetration.

Authorities are finding it difficult to release the subsidy as only 50 per cent of the beneficiaries have given their details to LPG companies.

Core banking facility is required for money transfer but many LPG consumers do not have accounts in nationalised banks. OMCs like Bharat Petroleum Corporation limited (BPCL) will be taking initiatives to ensure 100 percent Aadhaar seeding in the state.

George Paul, executive director of BPCL has assured the LPG customers that they can still provide their UID number and the bank account number till August 31. Until then, LPG customers will get their LPG cylinders delivered under subsidized price of Rs. 420.