Schools may get relief on LPG cylinder cap

Non-commercial and non-domestic entities like schools, colleges and universities, hospitals, defence services staff canteens and mess and religious institutions may get some relief from the Centre’s move last month to cap the supply of liquefied petroleum gas (LPG) cylinders to six a year.

The UPA government is expected to come up with a decision on increasing the number of subsidised LPG cylinders for these entities in a week’s time. They have been getting subsidised supplies on priority basis, but came under the six-cylinder cap when the government announced the cap last month.

“The issue is under consideration and there will be clarity on the government’s decision on non-domestic, non-commercial LPG cylinder supplies by next week,” a petroleum ministry official told Deccan Herald.

Apart from the institutions in this no-profit category, several distributors also have complained about the lack of clarity in the government’s decision in this regard.

The national federation of LPG distributors has said it is yet to receive any written communication from the government on the market price to be charged of the non-subsidised LPG cylinders. The issue came up before the government as some of the institutions, including Shiromani Gurudwara Prabandhak Committee, which runs community kitchen in gurudwaras, wrote to petroleum and natural gas minister Jaipal Reddy, seeking exemption from the cap. 

Currently, there are four different pricing system for LPG. One for the subsidised cylinder, another for extra bottles that a household may buy after exhausting the entitlement of six subsidised cylinders, a third one for charitable and other institutions, and the fourth is the commercial pricing for LPG used in establishments like hotels. However, LPG distributors have complained about lack of clarity on these prices in the absence of a written communication from the government.