Raipur:
Chhattisgarh does not favour the Centre's plan to dole out subsidies to beneficiaries by direct cash transfer, the state's chief minister Raman Singh has told the Prime Minister.
In a letter to Dr Manmohan Singh and Union Food Minister KV Thomas, the chief minister said limitations in banking and information technology would make it difficult for Chhattisgarh to implement the scheme.
He said Public Distribution System (PDS) outlets were the most effective way of providing foodgrains to the poor in the rural areas.
The UPA government has announced direct cash transfer of subsidies from January 1 for several items. Finance Minister P Chidamabarm said the system would be highly efficient.
The scheme will begin in 51 districts from January 1, extend to 18 states from April and cover the entire country by the end of 2013.
The direct cash transfer scheme will send money straight to the bank accounts of beneficiaries, instead of them getting subsidised foodgrains, kerosene and fertilizer from PDS.