Oil firms to sell 5-kg LPG cylinders

Soon, you would be able to buy five-kg LPG cylinders, termed free trade LPG, from company-owned retail outlets of state-run oil marketing companies. OMCs will offer an insurance policy, too, by providing cover for loss of life and property in case of an LPG accident at the customer’s premises.  

M Veerappa Moily, the minister for petroleum and natural gas, has cleared a proposal to launch the scheme on pilot basis in Delhi, Mumbai, Chennai, Kolkata and Bangalore for selling 5 kg LPG cylinders with or without domestic pressure regulator (DPR). This would be sold through company owned retail outlets (COCO) by OMCs.

“This decision has been taken in view of the fact that over the years, a new category of consumers have emerged especially in big cities, who are mobile and thus do not want a permanent LPG connection but still require LPG for their needs.  Such customers need flexibility for getting the LPG cylinders as per their convenience and their needs can also be fulfilled by smaller quantities of LPG,” the ministry said in a statement today. 

At the time of first sale cost of equipment (DPR plus cylinder), cost of  product at  prevailing Non- domestic 5kg cylinders price and administrative charges will be payable.  At the time of subsequent refill only the cost of product will be payable.

The prospective customer at the time of first sale would only be required to give a copy of Voter I-Card, Driving license, Pan Card, Aadhaar Card, Bank Pass book, Employees ID, Passport, Student ID or any other such document that can act as a proof of identity.

The companies would also keep a demo kit of an ideal kitchen and explain the cylinder connection or disconnection procedure at the time of first sale. Though an insurance cover would be provided at customers’ premises, in-transit insurance cover will not be available. 'The scheme is a step towards beginning of free trade of LPG and would make LPG available for wider use especially for those citizens who are always on the move due to their professional needs,' the statement added.