Consequent upon
reduction in the LPG cylinder procurement cost, the Government
has instructed the oil marketing companies to reduce the rate
of security deposit on 14.2 kg LPG cylinder from Rs.700 per
cylinder to Rs.650 per cylinder for the new domestic LPG connections
with effect from March 3, 2003. For the northeast region, the
present rate of security deposit of Rs.500 per cylinder would
remain unchanged.
The security deposit
rates for LPG cylinders has progressively come down during last
one year due to reduction in procurement costs on account of
increased competition through open tendering process. Consequently
benefits have been passed on to the consumers. The security
deposits rates were earlier reduced from Rs.900 to Rs.700 per
cylinder with effect from February 1, 2002.
