MINISTER OF STATE IN THE MINISTRY OF PETROLEUM & NATURAL GAS
(SHRI R.P.N.SINGH)
(a) to (e): A statement is laid on the Table of the House.
STATEMENT REFERRED TO IN REPLY TO PARTS (a) TO (e) OF THE LOK SABHA STARRED
QUESTION NO. 43 BY SHRI SUDARSHAN BHAGAT AND SHRI BRIJBHUSHAN SHARAN
SINGH TO BE ANSWERED ON 15TH MARCH, 2012 REGARDING SHORTAGE OF COOKING GAS.
(a) : The Public Sector Oil Marketing Companies (OMCs) namely, Indian Oil Corporation
Limited (IOC), Bharat Petroleum Corporation Limited (BPCL) and Hindustan Petroleum
Corporation Limited (HPCL) have prescribed a norm to their LPG distributors to effect
the delivery of the refill LPG cylinder ordinarily within two working days of the
booking. However, due to factors such as product supply constraints, strikes, road
breaches, floods, unplanned shutdown, natural calamities alongwith huge growth of
demand, it has been seen that the distributors are taking upto 15 days to deliver
refill LPG cylinder.
Based on the established complaints of delay in supplies of LPG refills, action
has been taken in 285 cases, including 77 cases of BPCL, against erring LPG
distributors during the last three years and the period April, 2011 to January,
2012 under the provisions of MDG/Distributorship Agreement.
(b): OMCs have reported that they have supplied 10,982.83 Thousand Metric Tonne
(TMT) of domestic LPG in the country during the period April, 2011 to January, 2012
as against 10,149.84 TMT of domestic LPG during the corresponding period of last year,
showing a growth rate of 8.21%. As on 12.03.2012, the stock of LPG on all India basis,
including stock on wheels, is about 264 TMT, which is equivalent to 6 days cover.
The backlog as on 12.03.2012 in various States is 47.37 TMT. Currently, the OMCs are
operating 11,215 LPG distributorships including 942 Rajiv Gandhi Gramin LPG Vitaran
(RGGLV) distributorships in the country. The State-wise details are at Annex.
(c) & (d): To check blackmarketing of LPG, OMCs carry out regular surprise inspections
at distributorsâ premises, conduct refill audits, surprise checks at customersâ premises,
en-route checking of delivery vehicles etc., and action, where-ever necessary, is taken
in accordance with the provisions of the MDG.
Based on the established complaints of blackmarketing of LPG, action has been taken in
756 cases against the erring LPG distributors during last three years and the period April,
2011 to January, 2012 under the provisions of MDG. The Company-wise details are as under :-
Name of OMC Action taken
IOC 340
BPCL 188
HPCL 228
In order to check blackmarketing/ diversion of domestic LPG cylinders, the
Government has brought out the âLiquefied Petroleum Gas (Regulation of Supply and
Distribution) Order, 2000â and formulated âMarketing Discipline Guidelines, 2001â
which provide for penal action against LPG distributors indulging in blackmarketing
/diversion of LPG.
MDG, inter-alia, provide for following action against an errant distributor:-
# Fine of ` 20,000 plus the price of LPG diverted at commercial rates for 1st offence.
# Fine of ` 50,000 plus the price of LPG diverted at commercial rates for 2nd offence.
# Termination of the distributorship for 3rd offence.
(e): 34.65% of the total LPG consumption in the country i.e. 4.295 Million Metric Tonne
Per Annum (MMTPA) is required to be imported, mainly from the countries such as Saudi
Arabia, Qatar, Kuwait, Abu Dhabi and Malyasia. Necessary steps are taken on a continuous
basis by the OMCs to ensure supply and distribution chain of LPG is maintained. As and
when a backlog occurs, there are standing instructions of the Government for operating
the OMCs bottling plants on holidays and running them on extended hours.