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'Keep benefits of fuel subsidy limited to target class'

Former chairman of Petroleum & Natural Gas Regulatory Board said that higher class has a tendency to use subsidised cheaper fuel more.

'Keep benefits of fuel subsidy limited to target class'

Benefits of the fuel subsidy should remain limited to a target class, as higher class has a tendency to use subsidised cheaper fuel more, former chairman of Petroleum & Natural Gas Regulatory Board (PNGRB), L Mansingh, said here today.

"In India, 30 per cent of the total population does not have access to commercial energy, while 33 per cent even don't use energy, which is against the principle of equitable distribution of energy," Mansingh said, at a symposium on 'National Energy Security' at the Institute of Management, Nirma University (IMNU).

Terming the government's fuel pricing policy and selling of subsidised fuel as "not proper", he said, "Nowadays, sale of diesel vehicles is on the rise, despite the fact that they are costlier than petrol vehicles."

"This is because of the tendency of higher class to use cheaper fuel. Therefore, we should have a system, so that, benefits of the subsidy remains limited to a target class," Mansingh said, in his key-note address.

He said that energy security was critical for India, if it wanted to realise its dreams and hence it should take integrated view of the energy scenario in the country and promote use of all kind of energy resources.

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