What Public Distribution System Network Means

The Planning Commission Task Force has suggested an IT strategy for PDS reform and direct transfer of subsidies on kerosene, LPG, and fertiliser to the intended beneficiaries

Last Updated: Mar 16, 2012, 13:49 IST1 min

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The Recommendations:

1. Set up a strong, robust IT infrastructure backbone to reform the functioning of PDS which will be an incentive-based system for all stakeholders.
2. End-to-end computerisation of PDS across the country and provision of a token-agnostic technology solution that can accept physical coupons, smartcards, electronic coupons, and facilitate direct cash transfers.
3. PDS Network, as the National Information Utility (NIU) to be the common software platform for all States, to implement and operate the IT infrastructure for PDS. PDSN as the technology back office would manage all IT operations related to PDS with focus on supply chain management to address leakages, real time fraud analytics, entitlement portability and transparent grievance redressal channel.
4. Aadhaar to be used in PDS to simplify ration card registration, cleaning up the beneficiary database State Governments can use Aadhaar Payments Bridge and Aadhaar Enabled Payments Systems to channel subsidy funds for approved commodities to Aadhaar-enabled Bank Accounts.
5. Provision of maximum choice to the beneficiaries in terms of location, mix of commodities, convenient quantities and in any number of installments and choice to purchase commodities or receive a direct transfer of subsidy.

First Published: Mar 16, 2012, 13:49