The Petroleum Ministry has increased the commission of LPG distributors, increasing their earnings. This increase has been made by Rs 8.24 per cylinder. Last year, in the month of May, the government had increased the commission of distributors to Rs 64.84. At present it has increased to Rs 73.08 per cylinder. In a letter sent to oil marketing companies (OMCs) on October 3, the ministry said that there will be no change in the retail prices of LPG due to the change in the commission of distributors. According to the PPAC report, the number of LPG distributors in the country by the year 2022 is 25192.
How much did the shirt increase?
In the letter issued by the government, it has been said that the government has approved change in the commission of distributors to Rs 73.08 per 14.2 kg cylinder. Distributors' commission includes establishment charge of Rs 39.65 and delivery charge of Rs 33.43 per cylinder. On the other hand, the government has increased the commission on 5 kg cylinder to Rs 36.54 per 5 kg cylinder. In which establishment charge of Rs 19.82 and delivery charge of Rs 16.72 per cylinder has been approved. In May last year, the ministry had fixed the commission for a 14.2 kg domestic cylinder at Rs 64.84.
The notification issued by the government said that the ministry has also approved the conduct of a new study to recommend a revised policy for determination of distribution commission for domestic LPG. This amendment comes at a time when the government is trying to curb LPG prices in view of high inflation and upcoming state elections.
Recently gas cylinder became cheaper
The Union Cabinet on October 4 approved additional subsidy of Rs 100 on LPG for beneficiaries of Pradhan Mantri Ujjwala Yojana (PMUY). Due to which the total subsidy for more than 95 million beneficiaries became Rs 300. Apart from this, last month the cabinet had approved a cut in LPG prices by Rs 200 per cylinder. PMUY beneficiaries will have to pay Rs 603 per cylinder of LPG. However, at present non-Ujjwala scheme customers are paying Rs 903 in Delhi.
On September 13, the Cabinet approved the expansion of PMUY to release 75 lakh LPG connections over three years from FY 2023-24 to 2025-26, a move that is expected to take the total number of PMUY beneficiaries to 103.5 million. Is. Under PMUY, the government bears the cost of safety deposit of the cylinder up to Rs 1600 per connection along with other charges.
Hope arose in petrol pump union also
Representatives of petrol pump associations said that this increase in LPG distributor commission has raised hopes among petrol pump dealers to increase their commission. Anurag Narayan, former president of Delhi Petrol Dealers Association, said that the margins of petrol dealers have not been increased for the last 6 years and the cost of running petrol pumps has skyrocketed since 2017. Petroleum dealers are expecting a similar increase soon.
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