Oil ministry mulling new LPG connections on EMIs: Pradhan

Targeting to add 100 million new liquefied petroleum gas (LPG) connections in three years, Union Minister for Petroleum and Natural Gas Dharmendra Pradhan on Sunday said oil marketing companies (OMCs) were mulling to sell new cooking gas on an equated monthly instalment (EMI) basis, just like for other consumer durables.

"We want to sell new LPG connections which cost up to Rs 3,400 on an EMI basis. The amount can be spread over 24 installments and the OMCs are speaking to banks on this," Pradhan said at an event here.

He was speaking after launching an online payment facility for refilling LPG cylinders, through which people can book cylinders round the clock and it can be delivered in their absence as well because the payment is already done.

He said till now, consumer durable items have been sold using EMI, and making such a facility available will incentivise more people to switch over to LPG. Pradhan, said at present below poverty line families get 50 per cent rebate on new connections and EMI will be helpful for those who are not covered under it.

He said a slew of efforts are being undertaken to make people switch to LPG.

In 2016, the ministry aims to appoint 10,000 new LPG distributors, he said, adding that all members of Parliament have been asked to suggest potential locations in their constituencies where the distribution needs to be strengthened.

He was speaking after launching an online payment facility for refilling LPG cylinders, through which people can book the cylinder around the clock and it can be delivered in their absence as well because the payment is already done.

Plans are also underway to install touch screen devices at prominent locations like airports, railway stations etc where consumers can book for their LPG refills, he said.