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Resource centre on India's rural distress
 
 

5-kg LPG cylinder to be sold beyond metros-Sujay Mehdudia

-The Hindu

 

 

Petroleum Ministry targets BPO, IT professionals and migratory population

Seeking to target the new emerging segment of consumers such as IT professionals, BPO employees, migratory population and students who want LPG cylinder for their use but unable to provide proper proof of address (POA), the Petroleum Ministry has decided to focus on the sale of non-subsidised 5 kg LPG cylinders from petrol pumps beyond metro cities and extend it to Tier 1 and Tier II cities in phases.

Similarly, it was felt that for some consumers, the need is in small parcels or arises at odd times of the day when distributors may be closed.

In view of this, the Petroleum and Natural Gas Minister, Veerappa Moily, has given the go ahead to extend the scope of the scheme for sale of non-subsidised 5 kg LPG cylinders from petrol pumps/retail outlets of state-run oil marketing companies (OMCs) in other parts of the country. This will be subject to the Election Commission's Model Code of Conduct.

The scheme launched on October 5 at Bangalore, is also available at select OMC petrol pumps in Mumbai, Kolkata, and Chennai. Further, OMCs have been allowed to include petrol stations other than company-owned outlets, subject to the statutory clearances of Oil Industry Safety Directorate/Petroleum Explosive and Safety organisations.

This scheme is expected to be a boon to migratory population and persons with odd duty timings as it would provide them the flexibility to pick up cylinders and obtain subsequent refills at time of their choice as petrol stations are open for longer hours.

This initiative allows sale of 5 kg LPG cylinders at market price with merely any Proof of Identity (POI) through petrol stations to attend to demand of such consumers. The sale of the cylinders will be done (Equipment + Product) at non domestic rates with/without regulator for the first time by charging Rs. 1000/- plus applicable taxes for the cylinder and Rs. 250/- plus applicable taxes for regulator. The cost of product and refills will be as per non domestic rates applicable in the market.