Note ban: Petrol, diesel to be cheaper in e-payment; Rs 10 lakh insurance for online railway tickets booking, says FM Jaitley

New Delhi: In the wake of the demonetisation move taken by the government and to promote cashless transaction, Finance Minister Arun Jaitley on Thursday announced a list of sops for digitals users such as Rs 10 lakh insurance for railway tickets books online, Rupay Kisan cards for farmers and 0.75 percent discount in fuel e-payment among various others.

Addressing media on the eve of first month of note ban, Jaitley said that a substantial boost was witnessed in the first month of demonetisation.

Supporting his statement of digital payments, Jaitley said 4.5 crore consumers buy petrol and diesel worth Rs 1,800 cr daily and in one month, digital payments have doubled to 40 percent.

He said that Reserve Bank of India has been releasing currency on schedule and added that dealing with cash has economic as well as in-built cost in a democratic set-up.

He announced these sops for payments made on digital mode.

Sops for digital users

1) Fuel cheaper on digital payment with 0.75 percent discount in fuel e-payment

2) 2 POS machines to villages with 10K population, 1 lakh villages to be selected

3) Farmers to get Rupay Kisan cards. NABARD will give Rupay card to people who have Kisan Credit Card 

4) Monthly, seasonal suburban railway tickets purchased through digital mode to get 0.5 percent discount effective January 1

5) Rs 10 lakh insurance for railway ticket booked online

6) 10 percent discount for toll Smart Cards

7) Payments through digital mode for railways catering, accommodation, retiring room to get 5 percent discount

8) Buying general, life insurance policies from PSU insurers' websites and premium to get 10 percent and 8 percent discount, respectively

9) Govt depts, PSUs to ensure transaction fee, MDR charges are not borne by customers for public dealings

10) Digital transactions of up to Rs 2,000 will be exempted from service tax