(a) the item-wise amount of funds spent on subsidy during the last three years and the current year;
(b) the items of expenditure covered under subsidy to be released during the said period of time;
(c) whether any steps have been taken to streamline the subsidy, control the expenditure on all the subsidies and reduce the fiscal deficit; and
(d) if so, the details thereof ?
(a) to (b). Item-wise subsidy expenditure is detailed
below:
(In crores of Rupees)
Actuals Actuals Revised Budget
2013-14 2014-15 2015-16 2016-17
Major
Subsidies
244717 249016 241857 231782
Fertilizer 67339 71076 72438 70000
Food 92000 117671 139419 134835
Petroleum 85378 60269 30000 26947
Interest 8137 7632 13808 15523
Other 1778 1610 2136 3128
Total -
Subsidies
254632 258258 257801 250433
(c) & (D) The government is committed to progressively
pursuing subsidy reforms in a manner that will ensure
efficient and better targeting of subsidies to the poor and
needy, while also saving scarce financial resources for
investment in infrastructure and pursuit of new development
programs announced by the government. Some of the
major steps taken are given below:
i. The steps taken by the Government to deregulate petrol
and diesel prices, and to boost direct benefit transfer of
subsidy for domestic LPG, along with decline in global
crude oil prices, have helped in containing the petroleum
subsidy bill.
ii. The significantly positive response to the call to give up
LPG subsidy under the “give-it-up” campaign has
created some fiscal space and facilitated provision of
LPG connections to the poor.
iii. The rationalization and reprioritization of subsidies
through better targeting plays a vital role in fiscal
consolidation and in targeting expenditure more towards
inclusive development.
iv. The Government has also launched a dedicated scheme
for end-to-end computerization of Public Distribution
System throughout the country. 15 States have already
joined the National Food Security Act (NFSA)
framework. The Government has launched a drive to
ensure universal coverage of Aadhaar throughout the
country. End-to-end computerization, combined with
Aadhaar coverage to improve the targeting efficiency of
PDS system in the country.
v. 100% neem coating of indigenous production of
subsidized urea has been made compulsory from
25.05.2015 to help prevent its diversion for industrial
use.
vi. Cash transfer of Food Subsidy Rules, 2015 which was
notified on 21.8.2015 under the National Food Security
Act, 2013 is currently being implemented on a pilot basis
in Union Territories of Chandigarh and Puducherry w.e.f.
September, 2015.