Users may Get to Keep Both LPG, PNG Connections

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Publication: The Economic Times Mumbai;Date: Dec 26, 2013;Section: Economy;Page: 10

MARKET RATE FOR LPG WILL APPLY

Users may Get to Keep Both LPG, PNG Connections
RAJEEV JAYASWAL NEW DELHI
Customers of cooking gas cylinders will soon be able to get legitimate piped natural gas connections in their kitchens, with the
government readying to reverse the order that prohibits sale of cylinders to those who opt for piped gas and vice versa.
The move will particularly ease problems of tenants in metros such as Mumbai and Delhi who were forced to surrender their
subsidised liquefied petroleum gas (LPG) connections because their landlords opted for piped natural gas (PNG).
We have decided to permit consumers to have both PNG and LPG connections. But such consumers will have to pay market rates
for cooking gas cylinders, an oil ministry official said.
The law prohibits a PNG customer to keep an LPG connection, executives of city gas distribution firms such as Mahanagar Gas Ltd
(MGL) and Indraprastha Gas Ltd (IGL) said. More than 22 lakh customers have PNG connections while LPG users number more
than 14 crore.
If you do not surrender the LPG connection within 60 days after the PNG supply is started, MGL reserves the right to disconnect
the PNG supply, says the website of the company, which serves 6 lakh households.
IGL gives piped gas connection to a consumer only after taking written assurance that the person will surrender any LPG
connection taken in the name of any family member. The family members are defined as husband, wife, unmarried children and
dependent parents living together in a dwelling unit having common kitchen, IGL executives said. IGL supplies gas to more than
4.2 lakh households in Delhi and neighbouring Noida, Greater Noida and Ghaziabad.
IGL does not insist on surrendering LPG cylinders for taking its PNG supply. Customers have the option to keep their LPG
connections in safe custody of their respective gas agencies, an executive said.
This relaxation is possible because of successful implementation of direct transfer of cooking gas subsidies in beneficiaries
accounts, which has stopped diversion for commercial use, oil ministry officials said. The ministrys effort to identify genuine LPG
customers through the transparency portal is recognised by the Computer Society of India because we have blocked 67 lakh bogus
connections, thereby reducing the annual subsidy burden by . 2,000 crore, an oil ministry official said.
The direct transfer of cash subsidy for cooking gas will cover another 291 districts next month, increasing the total to 9.22 crore
consumers, oil minister Veerappa Moily said. The scheme has already covered 6.57 crore customers in 184 districts since June,
officials said.

12/26/2013 12:06 PM

Users may Get to Keep Both LPG, PNG Connections

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