IANS. We have to consider either to continue with the existing subsidy or we move towards Direct Benefit Transfer, to make agriculture more competitive.” Although DBT and income support mechanisms for farmers have been widely implemented in various states, there is lack of empirical research on the experience of designing and implementation of DBT programs. Under the direct benefit transfer scheme for cooking fuel, LPG cylinders are sold at market rates after which bank accounts of the consumers eligible for subsidy are credited with the amount of subsidy. The DBT is still evolving and has many lacunae which needs to be eliminated. Options for Direct Benefit Transfer For a customer to receive LPG subsidy in his/her bank account, the government has devised two methods – with and without the customer’s Aadhaar card. One more intuition behind subsidies : * They are given on a particular good or service or anything. Discuss.. Answer: Direct Benefit Transfer is a method of economic security where the government transfers a certain amount directly to the bank accounts of the beneficiaries without having to provide individual subsidies on products and services. Direct Benefit Transfer scheme - Incentives for Private Providers & Informants. The DBT is based on the ‘Fome Zero Program’ of Brazil. The DBT eliminates intermediaries in delivering services to the poor and reduces burden on the exchequer. The Direct Benefit Transfer Scheme aims to transfer subsidies, welfare benefits and scholarships directly to the people through their bank accounts. Direct benefit transfer can cut clean from all the abuses of the public distribution system, but it creates a new, and problematic, dependence on the banking system Photo: Pradeep Gaur/Mint Indian government will no longer pay out direct benefit transfer for cooking gas — subsidy eliminated as oil prices fall . Sep 1, 2020, 18:07 IST. Private providers are people such as Private Practioners, Hospitals, Laboratories or Chemists, who notify TB patients to the NTEP (previously the RNTCP) on Niskshay.An informant is any person who refers a presumptive TB case to a public sector health facility, and on testing they are found to have active TB disease. To avail the subsidy that would be transferred to one’s bank account, in the first option, the CTC (Cash transfer compliant) has to link his/her Aadhaar card to his/her bank account. "Currently, subsidy is calculated as the difference between energy sold and amount collected. Question: In what way could replacement of price subsidy with direct benefit Transfer (DBT) change the scenario of subsidies in India? There are a lot of extentions of this topic, but I am presenting a basic economic difference: You know about subsidies.

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