Sunday, March 3, 2013

LPG cap confusion

If you remember, the Government introduced cap and dual pricing for domestic LPG cylinders last year. The initial ruling was that every household will be allowed only 6 subsidized cans per year. After that each can will cost around 2.5 times the normal price. Because this announcement came in the middle of the Financial year, they also announced that for the rest of the year (till March 2013), 3 will be available at a subsidized rate.


In our family, one cylinder lasts for around 30-40 days. 3 for the rest of the year was over in a jiffy and when we ordered the 4th one, we had to pay nearly Rs. 1000.
 As luck would have it, then a ruling came that the cap has been increased to 9 per year and 5 for the rest of 2013. This led to a lot of chaos as described in the article linked. The agencies refused to refund the extra amount for the cylinder that was provided at non-subsidized rate. Even if they don't refund the amount for the 4th cylinder, they should be giving the next 2 at a subsidized rate. Wonder how their software will determine the price considering this will actually be our 5th and 6th for this year (1 more than the new limit). I couldn't find any definite answers. Hopefully we won't be needing a 6th one before March.
Budget problem, big problem!

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