New domestic LPG connections turn dearer

Security deposit for cylinder, pressure regulator increased; customers need to set aside ₹850 more

June 16, 2022 11:26 pm | Updated June 17, 2022 09:53 am IST - HYDERABAD

A delivery man carries LPG gas cylinders in Tiruchi city. File .

A delivery man carries LPG gas cylinders in Tiruchi city. File . | Photo Credit: M. Moorthy

New domestic liquefied petroleum gas (LPG) connections now cost an additional ₹850 with national oil marketing corporations Indian Oil, Bharat Petroleum and Hindustan Petroleum, effective June 16, increasing the one-time security deposit households need to pay towards the cylinder and pressure regulator.

The deposit has been increased from ₹1,450 to ₹2,200 for the cylinder (single bottle 14.2 kg connection), while for the pressure regulator it has been raised to ₹250 from existing ₹150. For customers in north-eastern States, it has been revised to ₹2,000 (₹1,150) for the cylinder and ₹200 (₹100) towards pressure regulator.

Households opting for double bottle connections (DBC) will have to pay an additional security deposit, of the same amount, towards the second cylinder. There is no change in the security deposit (borne by the oil companies) for Prime Minister Ujjwala Yojana customers. However, if the PMUY customers opt for DBC they need to pay as per the revised charges, according to an official communication on the new rates to LPG distributors.

Penal charges up

The oil companies have also increased the security deposit for customers registering for 5-kg cylinder connection. Consequently, penal charges households need to pay in the event of losing the equipment and the tariff applicable, for damage, has also been raised,

The increase in the security deposit, which was revised last in October 2012 and undertaken now in the wake of higher steel prices, is bound to raise hackles as it comes in the backdrop of a series of upward revision in the LPG price since December. Though the security deposit paid is refundable, in many households the connection is passed down generations. Many households retain the LPG connections, as a standby, even after switching to piped natural gas, sources said.

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