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High refill and deposit costs deter Karnataka consumers from 10 kg LPG cylinders

Oil companies are promoting 10 kg LPG cylinders in Karnataka as new 14.2 kg connections remain pending, but high refill and deposit costs have led to a poor response.

State-owned oil marketing companies are steering consumers in Karnataka towards 10 kg LPG cylinders as applications for new 14.2 kg domestic connections remain stuck, but the smaller variant is finding few takers because it costs far more per kilogram.

Hindustan Petroleum Corporation Limited has introduced HP Navya, Indian Oil Corporation Limited has rolled out Indane Xtralite, and Bharat Petroleum Corporation Limited has launched Bharatgas Lite ZIP. Gas agencies are promoting these variants to consumers who apply for new 14.2 kg connections.

Distributors, however, report a tepid response. The refill for a 14.2 kg cylinder is priced at ₹945, while a 10 kg refill costs between ₹1,700 and ₹1,800 depending on the distributor and agency. The security deposit is also higher at ₹3,000, against ₹2,200 for a 14.2 kg cylinder.

Kumar L.G., Secretary of the All-India Distributors LPG Federation (Karnataka Circle), said the 10 kg cylinders fall under the Free Trade LPG category, like 5 kg cylinders, and are priced at market rates without government subsidy. The manufacturing technology involved also adds to the cost. He noted that consumers effectively pay about ₹180 per kg for the smaller cylinder against ₹67 per kg for the 14.2 kg option.

He added that oil marketing companies were earlier losing ₹650 on each LPG cylinder due to import and logistics costs, a loss that has now narrowed to ₹188 per cylinder.

According to the Department of Food, Civil Supplies and Consumer Affairs, more than 36,000 applications for new LPG connections are pending across Karnataka. Distributor Harish said the 10 kg option comes with no cap on the number of cylinders a consumer can buy, and a connection can be established within four hours of paying the deposit and submitting an application. The cylinder is lightweight, compact and made of a three-layer composite material combining high-density plastic and fibreglass, and it indicates the level of LPG remaining.

Jyothi, manager of a private HP Gas agency in Jayamahal, said the agency had stopped accepting applications for new 14.2 kg connections because of the backlog, and there is no assurance that normal supplies will resume. Of about 30,000 consumers using 14.2 kg LPG, only a few hundred have bought the 10 kg option, she said.

Consumer Ashwal Gowda, who applied for a new connection in May after moving to Bengaluru from Tumakuru for work, said the delay has forced him to pay more in both deposit and refill charges for a 10 kg cylinder.

With domestic connections delayed, distributors and agencies said many consumers are turning to induction stoves, particularly those benefiting from the Gruha Jyothi scheme. Arif Khan, manager of an electronics retail chain, said the initial rush to buy induction stoves when the West Asia war began has eased, though purchases continue through online platforms, with prices ranging from ₹1,500 to ₹5,000.