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Cap on LPG cylinders fuel black marketing

Ever since the central government decided to cap the availability of subusidised cooking cylinders to six in a financial year, the black-marketing of cylinders have increased manifold.
By Amit Khajuria | Hindustan Times, Jammu
UPDATED ON NOV 28, 2012 07:19 PM IST

Ever since the central government decided to cap the availability of subusidised cooking cylinders to six in a financial year, the black-marketing of cylinders have increased manifold.


As the limit of subsidised LPG cylinders has been fixed to six per family and all extra
connections have been cancelled in the state, many consumers are forced to get the LPG in black and the black marketers have raised the LPG price up to Rs 1,300 per cylinder.

More than 1,50,000 LPG connections of people enjoying double connection have been cancelled in Jammu since the verification of documents 'Know Your Customer' (KYC) started in the state.

Many people in Jammu who required more cylinders due to big families or some outsiders who don't have any LPG connection are forced to get the LPG cylinder at Rs 1,200 to Rs1,300.

Alok Prasad, an IT engineer from Lucknow, residing in the state for the past two years, but doesn't have an LPG connection, says, "I use to get the LPG cylinder from the delivery boy of LPG dealer by paying him some extra amount."

"Earlier, he gave me a cylinder at Rs 500 but after the cap on LPG, he has raised it to Rs 1,300 per cylinder. However, after negotiations he had agreed to give it to me for Rs 1200," he added.

A Ladhakhi Girl working in a private firm in Jammu, said the delivery boy came in her colony asked people, if they wanted cylinder at Rs 1,300.

"I don't have any LPG connection in Jammu. I have to buy it in black which is not difficult to get and is easily available at my doorstep," she added.

A consumer is entitled to six LPG cylinders a year at the subsidized rate of Rs 412 per cylinder, he would have to pay Rs 961 for any extra cylinder.

CAPD director Parvez Malik said, "We have directed the LPG dealers to provide cylinder to the consumers who do not have connection papers, but have their Ration Card with them, at non-domestic rates."

"I don't have any idea if someone is selling it in black, because I didn't get any complaint regarding this issue," he added.

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