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Business Economy


Domestic LPG cylinder refills capped to stop diversion for commercial use, RS told

New Delhi, March 27 (UNI) Public sector oil marketing companies (OMCs) have put a cap of 15 refills of 14.2 kg cylinders in a financial year to curb diversion of domestic LPG cylinders for commercial usages, Minister of State for Petroleum and Natural Gas (MoPNG) Rameswar Teli told Rajya Sabha on Monday.
"However, the domestic LPG customers can avail subsequent refills beyond the refill cap by submitting request with justification at their respective LPG distributorships," the Minister said in written reply to a question in the Upper House.
The Minister said that OMCs carry out surprise inspections at distributors premises, surprise check at customer’s premises, en-route checking of delivery vehicles etc. to prevent the diversion of domestic LPG.
He noted that there is adequate availability of domestic LPG in the country.
"OMCs import LPG to meet the LPG demand in the country and maintain smooth supply of LPG. The supply demand scenario is monitored on regular basis and additional imports are tied up as and when required," Teli stated.
In response to another query, the Minister informed the House that Goods and Services Tax (GST) rates for commercial LPG and domestic LPG are 18% and 5% respectively.
Accordingly, the retail selling price of Rs 1,103 for 14.2 kg domestic LPG cylinder includes a GST of Rs 52.53. The commercial LPG ( 19 kg cylinder) is priced at Rs 2,119 with a GST component of Rs 323.35.
India imports more than 60% of its domestic LPG consumption.
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