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New LPG rules leave both dealers

By Sumit Kumar, Section News
Posted on Thu Dec 21, 2006 at 12:59:29 AM EST

The two new rules initiated by the Indian Oil Corporation (IOC) related to the supply of LPG has invited flak from both dealers as well as customers. The impact of the changes that were put into effect before the Pujas is now being felt as customers face a severe shortage and dealers are left with a mounting backlog.

Earlier, a dealer would get cylinders depending on the number of customers that he supplied. But now, the IOC has stated that the dealers should be supplied cylinders on the basis of 9 kg LPG per subscriber one cylinder contains 14.2 kg of LPG. This means that the total number of cylinders supplied to the dealers will ultimately be reduced.

Another rule that is creating problems for both distributors and customers is that there has to be a minimum gap of 21 days in between fresh bookings for cylinders. Unlike earlier, when a person could book a cylinder as and when he needed it, he can now only place a booking 21 days after booking the previous cylinder.

These two new rules have created a furore among the dealers and customers. The former are not able to cater to the latter's demands because of the reduced supply of cylinders from the plant.

Sumit Dutta, a dealer from Birati, said: "We are suffering huge losses and not being able to meet the demands of the customers. Not every household can make do with one cylinder for 21 days. That means they need more cylinders within 21 days. Earlier, we used to get cylinders based on the number of customers. But due to the present rule, we get less cylinders. If there is an increased demand, we face a severe backlog of 10 to 15 days."

Moreover, there is an increased demand during festivals. "Christmas is round the corner and we will be having guests regularly. But the supply of cylinders is now restricted, and I will have to be doubly cautious. This new system is a big problem," said Lipika Gomes, a customer.

The recent spate of bandhs in the city have added to the dealers' woes. "The recent bandhs ensured that the plants were closed and there was no supply of cylinders. We have been sending regular letters to the IOC, but all to no avail. The two rules should be obviated because it will lead to more chaos," said Dutta.

However, IOC officials are confident that the new system is foolproof. A C Dey, DGM of LPG, Indian Oil Corporation, said that no household can require more than one cylinder in a month. Hence, they have enough time to book the next cylinder even while the old one is still in use.

"This is based on extensive calculations. The complaints of the dealers are unfounded. There was no backlog last year, and this year too, there shouldn't be any. If there is an increased demand we try to fill in the gap," he said.

(Source-Indian Express,21/12/06)

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