Around 37 lakh rice-drawing ration cardholders are estimated to benefit from the State government’s decision to extend the cash component of ₹1,000 to all such ration cards, free of stipulations, under the Pongal gift hamper.
As a result of the latest move, an expense of approximately ₹370 crore more would have to be incurred by the government.
Originally, the authorities had decided to exclude those beneficiaries of the public distribution system (PDS) who were income tax payers and employees of the Centre, State government and public sector enterprises. This stipulation was introduced at the time of disbursal of relief amount of ₹6,000 each to residents of Chennai and neighbouring districts affected by Cyclone Michaung last month. An official in the government confirmed the removal of the stipulation for Pongal.