Integrated E-Bill System for Fertiliser Subsidies

Integrated E-bill System For Fertiliser Subsidies

January 2, 2026

Kamaraj IAS Academy

Prelims Plus

News Context: On January 1, 2026, the Union Government launched a digital platform to process an annual subsidy outlay of ₹2 lakh crore.

Operational Architecture & Reforms

System-to-System Workflow: The platform integrates the Integrated Financial Management System (iFMS) with the Public Financial Management System (PFMS). It eliminates physical bill movement between companies (like IFFCO/KRIBHCO) and the Ministry.
FIFO (First-In-First-Out) Logic: Automated processing ensures that bills are handled chronologically, removing "administrative discretion" and reducing delays that previously stressed the working capital of fertilizer companies.
Transparency & Auditability: Every transaction creates a Tamper-proof Digital Trail, preventing the diversion of subsidized urea for industrial purposes (e.g., in the plywood or milk adulteration industry).