AHMEDABAD, June 23: Supply of Liquefied Petroleum Gas (LPG) is likely be affected in north India in the next couple of months as cooking-gas import, storage and distribution facilities at Kandla port, which was devastated by the June 9 cyclone, will take at least 45 more days to restore.Of the other two main LPG import, storage and distribution centres in the country, Vizag refinery is yet to become operational after it was badly damaged by fire last September. With only Mangalore station beingfunctional, it will not be able to fulfil the demand of the whole country.
Besides the shortage of cooking gas, the central government will face a major problem in releasing quota for gas connection this year. About seven lakh homes in Gujarat alone will be deprived of gas connection as the Government has not released the quota of oil companies to enrol new consumers. Although the government should have released the quota on April 1, this year it has been inordinately delayed.
Besides the general connection, the double-cylinder connection and priority connection has also been suspended.
However, according to sources, the supply of high-speed diesel (HSD) and kerosene might not be affected as three oil jetties at Old Kandla would be fully operational to receive bigger oil tankers in the next two days.
Captain A.N.M. Kishore, chairman of Kandla Port Trust (KPT), said: ``We are currently engaged in laying buoys to mark our navigational channel to berth oil tankers whose handling is our top priority.''
Three oil companies Indian Oil Corporation Ltd (IOC), Hindustan Petroleum Ltd (HP) and Bharat Petroleum Ltd (BP) -- had commissioned 30 distributors in 1997-98 and about 5 in the current financial year but all of them are generally sitting idle in the want of customers.
The distributors when contacted said that they were only undertaking the refilling work and that too for a handful of consumers. They said that they were eagerly waiting for the government to release the quota so that their business picked up fast.
In 1996-97, while IOC, HP and BP had released 1.35 lakh gas connections to the State, last year they had to release 1.65 lakh connections in the State to clear waiting list upto December 31, 1990 as directed by the then Union Petroleum minister T R Balu. But a chunk of those who had booked cylinder prior to this date will have to wait till the Government comes out with the new enrollment plan.
In the absence of the public sector oil companies, the private companies are eating into their market. Taking advantage of the situation, Reliance Gas has started LPG distribution in Saurashtra region in a big way and is planning to expand its operation in other parts of the State.
Even Super Gas and Gujarat Gas have launched vigorous campaign to enroll more and more customers. Sources in one of the public sector companies said that the private companies have already made a dent in their market.
Together, the three public sector oil companies have about 400 LPG distributors in the State which cater to the needs of 24 lakh customers. Out of the quota released by the Government to IOC, HP and BP units in the State, 50 per cent is allocated to IOC and 25 per cent each to HP and BP.
This year IBP has also been allocated 4 per cent of the quota with 48 per cent going to IOC and 24 per cent each to HP and BP.
But since IBP is yet to appoint any distributor, sources say it won't be able to launch LPG distribution services this year. In the event, IBP's share might be reallocated to the other three companies.
But while these allocations and reallocations just look beautiful on paper, the people will suffer and the public sector companies will lose if the Government doesn't take some urgent steps to restore the supply of LPG and release quota immediately.
Copyright © 1998 Indian Express Newspapers (Bombay) Ltd.