Tuesday, January 13, 2015

Option to Opt Out of LPG Subsidy-Wouldn't You Like to Be in the Scroll of Honor?

The Central Government of India recently has initiated a campaign to involve all those well-to-do citizens of India to voluntarily opt out of the subsidy they enjoy for purchasing Liquefied Petroleum Gas (LPG) cylinders for domestic consumption.

The government could have well done this by an administrative order by refusing subsidized domestic LPG to all citizens who are above some prescribed income strata. But that would have definitely incurred peoples' wrath in some way. People would have taken such a step as bullying by the government.

But the Narendra Modi government came up with a novel idea which is indeed a welcome step and a good sign of good democratic governance. The government has made arrangements for all existing domestic LPG consumers to voluntarily opt out of the subsidy price regime.

The existing three major public sector LPG supply companies have initiated a call to all consumers to voluntarily opt out of availing the LPG price subsidy. The companies have done this, under the guidance of the government.

The names of those who opt out would be listed in the 'scroll of honour' in the common website of the companies called mylpg.in.

This same mylpg website can be used for exercising the opting out option. When you click this site you land on the introductory page which gives the option to enter the page of your own gas supplier, namely, Indane, Bharatgas or HPgas. 

Clicking on the image of the gas cylinder of your gas supplier you enter the relevant site of your gas supplier.

The various options and information that you are required to know as a domestic LPG user are given on the top of the page as scrolling icons. Here one would also see the icon for opting out of the subsidy regime.

For exercising this option, one needs to be a registered user of mylpg site. The instructions are self explanatory and one can easily do it within a few minutes.

Why burden the government for a couple of thousands of rupees in an year for availing the gas subsidy when that amount is too insignificant for you? Let us voluntarily come out of it if we could afford it. 

The price of a non-subsidized domestic LPG cylinder having 14.2 kg gas  now cost only about Rs.752/-. That is approximately Rs.50/- a kg. On the other hand, the subsidized cylinder costs about Rs.417/- or about Rs.30/- per kg. 

A nuclear family of India with 2 adults and one or two children hardly consumes 6 cylinders of gas in an year. The amount such a family is to spend extra for the non-subsidized LPG is hardly Rs.2000/- per year or about Rs.170/- in a month. That is a very insignificant money for most of the tax paying middle class and the non-tax paying well-to-do's of India.

In my opinion, such citizens should cooperate with the government and say no to the present fuel subsidy, voluntarily. Earlier there was no option to exercise this option by the individuals. But now there is an option. Let the subsidy be availed by those who really need it. Let the government be freed of its subsidy liabilities to some extent and let the government use that money for some other plans beneficial for the under privileged.

LPG consumers can also say good bye to the subsidized price system by giving an application to their retail gas agency.

So, say good bye to the peanuts of LPG subsidy and buy gas at full market price, if you can afford it.

Let us consciously and voluntarily denounce all those insignificant freebies dolled out by the government. Let the freebies go to those who really need it!


  1. This is the need of the hour. Do It By HEART, not by applying numbers in the Mind!!!

  2. Hi,
    It is really a great decision governments has took.
    LPG Gas suppliers


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