Lok Sabha Question No. 3092 (UNSTARRED), answered on 2016-12-05
Subject: Irregularities in Supply of LPG Cylinders
Ministry: PETROLEUM AND NATURAL GAS
Asked by: DILIP KUMAR MANSUKHLAL GANDHI, HARIOM SINGH RATHORE, CHANDRAKANT BHAURAO KHAIRE, RAJU ALIAS DEVAPPA ANNA SHETTI, BAIJAYANT "JAY" PANDA, DEVUSINH JESINGBHAI CHAUHAN, PARASURAMAN K.

## LOK SABHA UNSTARRED QUESTION NO. 3092 TO BE ANSWERED ON 5 TH  DECEMBER 2016

## IRREGULARITIES IN SUPPLY OF LPG CYLINDERS

3092.  SHRI DILIPKUMAR MANSUKHLAL GANDHI: SHRI HARIOM SINGH RATHORE: SHRI CHANDRAKANT KHAIRE: SHRI RAJU SHETTY: SHRI BAIJAYANT JAY PANDA: SHRI DEVUSINH CHAUHAN: SHRI K. PARASURAMAN:

## पेट्रोलियम एवं प्राक ृ लिक गैस मंत्री

- Will the Minister of PETROLEUM AND NATURAL GAS be pleased to state : (a) the details of freight rate per cylinder being paid to gas agencies for delivering gas  cylinders  to  consumers  along  with  number  of  cases  identified  for  inadequate door to door service/irregular and delayed home delivery in the country particularly in Maharashtra and reasons therefor including action taken thereon, State/UT-wise; (b)  whether  the  Government  proposes  to  formulate  any  special  policy  to  provide efficient customer service to LPG consumers including online payment facility to refill LPG cylinders and if so, the details thereof, State/UT-wise; (c) whether  Oil Marketing Companies  proposes  to  explore the feasibility to install/provide multifunction regulator across the country and if so, the details thereof, State/UT-wise; (d) the details of LPG consumers who have voluntarily given up their LPG subsidy so far and whether any proposal is under consideration of the Government to do away LPG subsidy from rich/higher income bracket people and if so, the criteria fixed by
- the Government to determine the subsidy formula in this regard, State/ UT-wise;
- (e)  the  details  of  subsidy  saved  by  the  Government  after  'Give  it  up'  scheme  and expected  fund  likely  to  be  saved  on  withdrawal  of  LPG  subsidy  from  rich/higher income bracket people in the country; and

(f)  whether the Government/civil society members have observed/noticed any error in census data of BPL lists and if so, the details thereof along with steps taken by the Government to improve the infrastructure of distribution systems in rural areas and provide free LPG connections to the actual/intended beneficiary only? ANSWER पेट्रोलियम एवं प्राक ृ लिक गैस मंत्रािय में राज्य मंत्री ( स्विंत्र प्रभार ) ( श्री धमेन्द्र प्रधान ) MINISTER OF STATE (INDEPENDENT CHARGE) IN THE MINISTRY OF PETROLEUM & NATURAL GAS (SHRI DHARMENDRA PRADHAN) (a)  Currently,  the  Distributors'  Commission  for  a  14.2  kg  cylinder  is  Rs.  47.48 (Establishment charges - Rs. 28.48  and delivery charges - Rs. 19.0)  and for a 5.0 kg  cylinder is Rs. 23.74 (Establishment charges - Rs. 14.24 and delivery charges Rs. 9.50). Erstwhile, RGGLV LPG distributorships were not providing home delivery to their customers. Now, it has been decided that all existing RGGLV distributorships with  monthly  refill  sale  of  more  than  1500  will  be  treated  as  Gramin  Vitrak  in accordance with Unified Guidelines for Selection of LPG Distributorships 2016 and with  mandatory  home delivery  facility.  This  may  help  in  minimising  the  complaints relating to home delivery. (b)  As  a  part  of various  Digital  India  Initiatives,  Public  Sector  Oil  Marketing Companies (OMCs) have already launched the facility of portability, Sahaj (new LPG connection) through online mechanism and online refill payment for LPG cylinders in which customer has an option for making the online payments through Net banking & credit/debit  card.    As  on  28.11.2016, more  than  5.37 lakh  LPG  customers have made online payment for refill supply. (c) Public Sector Oil Marketing Companies have reported that currently there is no proposal under their consideration to install/provide multifunction regulator. (d) & (e) As on 29.11.2016, 1,05,73,413 LPG consumers have voluntarily given up/ surrendered LPG subsidy. The estimated annual subsidy savings is approximately ₹ 1131  crore,  assuming  an  average  subsidy  of  ₹  139  per  cylinder  for  7.7  domestic cylinders of 14.2 kg per annum (average national consumption) for the year 2015-16.

Further,  Government  has  taken  steps  to  rationalise  the  subsidy  outgo  by excluding such LPG consumers or his/her having spouse taxable income of above Rs 10 lakhs from availing LPG subsidy w.e.f. 1.1.2016. As on 28.11.2016, 7,92,658 LPG customers have been identified with the help of Income Tax Department under this  bracket  and  have  been  excluded  from  availing  LPG  subsidy.  The  estimated annual  subsidy  savings  is  approximately  ₹  84.84  crore,  assuming  an  average subsidy  of  ₹  139  per  cylinder  for  7.7  domestic  cylinders  of  14.2  kg  per  annum

(average national consumption) for the year 2015-16.

(f)  The Government with a view to increase LPG coverage to 75% by 2019 and to provide LPG connections to poor household, has  launched Pradhan Mantri Ujjwala Yojana (PMUY). Under PMUY, 5 crore new LPG connections to the BPL households identified through SECC data over a period of three years starting from 2016-17   are being released.

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