New Delhi: The Central Government has put a cap on usage of subsidized LPG cylinders restricting the number of subsidized cylinders to 6 per family annually. Now the oil companies are planning to stop the delivery of cylinders at the doorsteps of the consumers. The move is expected to create more holes in the pockets of consumers.

The price of subsidized cylinder in Delhi is Rs 399 and it goes up to Rs 750 without subsidy. On top of it, the distributors are now planning to stop the service of dropping the cylinders at doorsteps of the consumers. The service is prevalent all across the country and most of the people are dependent on it.
The distributors are expressing anger over oil companies taking booking process in their hands. They have announced strike on October 1 to protest against the move.

LPG distributors association president Pratap Doshi has said that before announcing the cap on number of subsidized cylinders, the government should have tighten up the LPG distribution network.
He also stressed that there is a need to fight against policies of the government. We don’t have any problem with decisions on subsidy, but the government should consult us before taking any step on it added Doshi.

Wrong decisions may provoke black marketing. Both the distributors as well as consumers are facing problems due to current decision.

According to Dr M S Kamat, honorary secretary of the Consumer Guidance Society of India, on delivery of cylinders at doorstep, the deliveryman gets Rs 5 per cylinder. LPG distributors are also perplexed over the meager commission of Rs 25. 83 per cylinder to be given by oil companies.
The consumers were booking for cylinders on the website of oil companies or through Electronic Voice Recording System (EVRS) on telephone. Along with that, the distributors were also doing booking on their own level.

With the new arrangement, the consumers will not be able to book through distributors. Oil companies have reasoned that with the new system, there will be no hassles in tracking the booking.
The distributors will not be allowed to take advantage of loopholes in the system. Distributors used to have access to all consumer numbers and they come to know about LPG usage of everyone and they could have taken advantage through distribution rotation.


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