LIQUEFIED PETROLEUM GAS (REGULATION OF SUPPLY AND
DISTRIBUTION) ORDER, 2000
PREAMBLE
In exercise of the
powers conferred by Section 3 of the Essential Commodities
Act, 1955 (10 of 1955), the Central Government hereby makes
the following Order, namely :
Order - 1. Short title and commencement.
(1) This Order may
be called the Liquefied Petroleum Gas (Regulation of Supply and
Distribution) Order, 2000.
(2) It extends to the
whole of India.
(3) It shall come
into force on the date of its publication in the Official Gazette.
Order - 2. Definitions.
In this Order,
unless the context otherwise requires,
(a) "Chief
Controller of Explosives" shall have the same meaning assigned
to it in the Explosives Act, 1884 (4 of 1884);
(b) "consumer" means
a registered person, firm, company, insitutjpn, association of persons,
co-operative society or organisation, who has been granted liquefied petroleum
gas connection or supply, either in bulk or in cylinder, by a distributor or a
Government oil company or a parallel marketeer;
(c) "cylinder" means
a metal container utilized for storing liquefied petroleum gas conforming
to the specifications laid down in Schedules II and III; "
(d) "delivery
person" means a person engaged by a distributor of a Government Oil
Company or a parallel marketeer to deliver liquefied petroleum gas in cylinder
to consumers;
(e) "distributor" means
a person, firm, association of persons, company, institution, organisation or a
co-operative society appointed by a Government Oil Company or parallel
marketeer and engaged in the business of purchase, sale or storage for sale of
liquefied petroleum gas in cylinders to consumers on the basis of an agreement
with a Government Oil Company or a parallel marketeer, as the case may be;
(f) "gas cylinder
valve" means a valve which is fitted to a cylinder;
(g) "Government Oil
Company" means,
(1) Bharat Petroleum
Corporation Limited;
(2) Bongagaigaon Refinery
and Petrochemicals Limited;
(3) Cochin Refineries
Limited;
(4) Gas Authority of
India Limited;
(5) Hindustan Petroleum
Corporation Limited;
(6) Indian Oil
Corporation Limited;
(7) Indo-Burma Petroleum
Company Limited;
(8) Chennai Petroleum
Company Limited;
(9) Numaligarh Refinery
Limited;
(10) Oil India Limited;
(11) Oil and Natural
Gas Corporation Limited; or
(12) any other Government
Company or a statutory body or a company or a firm, declared as such by
notification in the Official Gazette, to be a "Government Oil
Company" by the Central Government, for the purposes of this Order;
[(gg)
"household" means a family consisting of husband, wife, unmarried
children and dependent parents living together in a dwelling unit having common
kitchen :
Provided that a
Liquefied Petroleum Gas connection shall be issued only in the name of any
adult member of the household by a Government oil company under the public
distribution system;]
(h) "Indian
Standard" shall have the same meaning as assigned to it in
clause (g) of Section 2 of the Bureau of Indian Standards
Act, 1986 (63 of 1986);
(i) "liquefied
petroleum gas (or LPG)" means a mixture of light hydrocarbons which
may include propane, isobutane, normal butane, butylenes etc., which are
gaseous at normal ambient temperature and atmospheric pressure but may be
condensed to liquid state at normal ambient temperature by the application of
pressure and which conforms to Indian Standard Specification Number
IS 4576;
[(ia) "LPG
rubber hose" means the flexible tubing used for connecting the gas
cylinder with burner which is not subjected to full cylinder pressure;]
(j) "parallel
marketeer" means any person, firm, company, institution, association
of persons, co-operative society or organisation carrying on any or all of the
business of importing, storing, bottling, marketing, distributing and/or selling
liquefied petroleum gas under the parallel marketing system;
(k) "parallel
marketing system" means the system other than the public
distribution system, under which a parallel marketeer carries on any or all of
the business of importing, storing, bottling, distribution or selling in bulk
or in retail, packed or filled in cylinder, liquefied petroleum gas
under his own arrangement;
(l) "public
distribution system" means the system of distribution, marketing or
selling of liquefied petroleum gas by a Government Oil Company at the
Government controlled or declared price through a distribution system approved
by the Central or a State Government;
(m) "pressure
regulator" means the equipment used for regulating the flow and
pressure of liquefied petroleum gas from a cylinder to a gas stove;
3['(mm) "piped
natural gas supplying company" means any company or a body of a firm
existing or authorized by Petroleum and Natural Gas Regulatory Board for the
marketing or distribution or both of gas for supply to consumers, whether
household or commercial or Industrial establishments.
(mmm)
"domestic reticulated system" means a system of distribution of
Liquefied Petroleum Gas from a bank of cylinders or centralized bulk Liquefied
Petroleum Gas storage tank or both through a network of pipelines to different
houses within the same high-rise or multistorey building or group of houses for
domestic purpose only'.]
(n) "Schedule"
means a Schedule appended to this Order;
(o) "seal"
means seal put on the cap of the valve of the cylinder for the purpose of
sealing a cylinder after it has been filled with liquefied petroleum gas;
(p) "storage
point" means the premises licensed by the Chief Controller of
Explosives;
(q) "transporter" means
a person authorised by a Government Oil Company, parallel marketeer or a
distributor for transportation of LPG in bulk or in cylinders and also of empty
or defective cylinders.
[(r) "Unique
Identification Number (Aadhaar)" means a unique identification number
issued by the Unique Identification Authority of India;
(s)
"authentication of biometric" means verifying the unique
identification number against the biometric of the person through methods
devised and deployed by the Government Oil Marketing Company or the State
Government or the Union Territory Administration or both;
[(t) "other
modes of authentication" means verifying the unique identification number
through any other methods devised by Unique Identification Authority of India
and accepted by Ministry of Petroleum and Natural Gas, in case customer is not
able to complete biometric authentication,]
(u)
"notified area" means an area covered under Aadhaar enrolment by
Unique Identification Authority of India as notified by the Ministry of
Petroleum and Natural Gas in this regard from time to time.]
[(v) "Know Your
Customer" means various details about the customer in electronic and/ or
paper format and as mandated from time to time.]
Order - 3. Restriction on unauthorised possession, supply and consumption of liquefied petroleum gas.
(1) A [person
or a household] having a connection for liquefied petroleum gas under the
public distribution system, shall not
(a) possess more than one
connection of liquefied petroleum gas granted under the public distribution
system:
Provided that the
Central Government or the Chief Executive Officer of a Government Oil Company,
may sanction more than one connection of liquefied petroleum gas under the
public distribution system in favour of any [person
or household], keeping in view the difficulty and hardship experienced by
such [person
or household] in obtaining supplies of the LPG;
(b) possess or use
liquefied petroleum gas filled in cylinder or in bulk, unless he has received
the supply from a Government Oil Company or a distributor authorised by such
Company;
(c) use liquefied
petroleum gas for any purpose other than for which the consumer is
registered with the distributor of a Government Oil Company:
Provided that the
Central Government may by a general or special order permit the use of
liquefied petroleum gas for such other purposes as, it may,
by order, specify.
[(d) possess
liquefied petroleum gas filled in cylinder unless the person in whose name gas
connection has been issued, obtains Aadhaar Number within three months from the
date of notification of such area if that household is located in the notified
area;";
(e)
possess liquefied petroleum gas filled
in cylinder unless the person in whose name gas connection has been issued,
provides the "Know Your Customer" details.]
[(1A) If any [person
or household] continues to have domestic Liquefied Petroleum Gas connection
taken under public distribution system from a Government Oil Company beyond
sixty days of obtaining a piped natural gas connection from any company, public
or private, a Government Oil Company shall have the power to cancel domestic
Liquefied Petroleum Gas connection of such piped natural gas consumer after
sixty days from the date of its obtaining piped natural gas connection by
giving a notice to the domestic Liquefied Petroleum Gas consumer in writing by
registered post.]
[(2) The supply of
liquefied petroleum gas to domestic category consumers shall be made in 5 Kg
and 14.2 Kg capacity cylinder and to those falling under non-domestic category
shall be made in 19 Kg, 35 Kg and 47.5 Kg capacity cylinder, or in such
capacity cylinders as may be notified, by the Central Government from time to
time.]
[[(3)
No distributor of a Government Oil Company shall supply Liquefied Petroleum Gas
filled in cylinder to any person or household unless the person of such
household in whose name domestic connection has been issued]-
(a) has been registered
and granted a connection for liquefied petroleum gas under the public
distribution system, or
(b) holds a valid
authorization from the Government Oil Marketing Company; and
(c) furnishes the Aadhaar
Number and completes biometric or other modes of authentication at the
distributorship from whom he or she has obtained the domestic liquefied
petroleum gas connection, within three months from the date of notification of
such area, provided the household is located in the notified area; and
(d) completes the
"Know Your Customer" within the time and format as notified from time
to time.]
(4)
No distributor of a Government Oil
Company or a parallel marketer [or
a piped natural gas supplying company], as the case may be, shall commit
or cause to commit any of the activities prohibited herein including those
specified in Schedule I.
Order - 4. Restriction on storage and transport of liquefied petroleum gas.
(1) No person shall
(a) fill any cylinder
with liquefied petroleum gas or transfer liquefied petroleum gas from one
cylinder to another cylinder or from one container
to another container unless authorised by the Chief Controller of
Explosives;
(b) transport or store a
cylinder filled with liquefied petroleum gas except in an upright position;
(c) store or use or cause
to be stored or used a cylinder filled with the liquefied petroleum gas except
in a cool, dry, well-ventilated and accessible place under cover, away
from boilers, open flames, steam pipes or any potential source of heat;
(d) remove the seal prior
to use of the cylinder:
Provided that the
distributor or his authorised representative or the delivery person may
remove such seal in the presence of the consumer either for testing, checking
or installation of the cylinder;
[(e) use cylinder,
pressure regulator, gas cylinder valve and LPG rubber hose other than those
specified in Schedule II and Schedule III.]
(2) No transporter or
delivery person shall deliver or cause to deliver liquefied petroleum gas
either in cylinder or in bulk to any person other than the consumer
or distributor.
Order - 5. Restriction on sale or distribution of liquefied petroleum gas below or in excess of the standard weight.
No Government Oil
Company, distributor or parallel marketeer shall supply, sell or
distribute to a consumer liquefied petroleum gas in cylinders which contains
less than or in excess of the weight of liquefied petroleum gas specified in
the Schedules II and III or as indicated on the cylinder.
Order - 6. Prohibition on carrying unauthorised business of selling LPG.
No
person other than a Government Oil Company, a parallel marketeer or a
distributor shall be engaged in the business of selling liquefied petroleum
gas to the consumer.
Order - 7. Possession, supply or sale of liquefied petroleum gas equipments.
(1) No person shall
(a) supply or sell filled
or empty cylinder, gas cylinder valve and pressure regulator to any
person other than a Government Oil Company or a parallel marketeer;
(b) unless authorised by
a Government Oil Company or a parallel marketeer, supply or sell filled or
empty cylinder, gas cylinder valve and pressure regulator to any
person other than a consumer;
(c) possess filled or
empty cylinder, gas cylinder valve or pressure regulator, unless he is a
distributor or a consumer.
(2) Every manufacturer of
cylinder, gas cylinder valve and pressure regulator shall destroy by
crushing those cylinders, cylinder valves and pressure regulators which do not
conform to the Indian Standards specifications.
Order - 8. Display of sTock and price of liquefied petroleum gas.
Every
distributor shall prominently display the sTock and price of the liquefied
petroleum gas at a conspicuous place of the business premises including the
storage point, showing
(i)
the
opening balance of filled, empty and defective cylinders and regulators;
(ii)
the
backlog of preceding working day of the filled cylinders to be supplied.
Order - 9. Procurement, storage and sale of liquefied petroleum gas by a distributor.
(a) No distributor having
sTock of liquefied petroleum gas at the business premises, including storage
point, shall, unless otherwise directed by a Government Oil Company
or a parallel marketeer, refuse to sell LPG on any working day during working
hours, to the consumer registered with that distributor.
(b) No
distributor shall keep his business premises including the storage
point closed during working hours on any working day without the prior written
permission of the Government Oil Company or the parallel marketeer.
Explanation. For the purposes
of sub-clauses (a) and (b), the expression 'working
hours' means the working hours fixed by the concerned Government Oil
Company or the parallel marketeer in accordance with the provisions of
the Shops and Establishments Act and the rules made thereunder, as in
force in the respective States or the Union territories, as the case may be.
(c) Every
distributor shall take steps to ensure that sTocks of liquefied petroleum
gas are available at the business premises, including the storage point, at all
times.
(d) No
distributor shall sell liquefied petroleum gas at a higher price than
that fixed by the Government Oil Company or the parallel marketeer.
(e) No
distributor shall, without prior written permission of the concerned
Government Oil Company, refuse to make home delivery at the address of the
consumer, as registered with the distributor:
Provided that the
State Government may, fix additional charges for home delivery of LPG cylinders
to the consumers, as it may deem necessary in view of the geographical terrain
and/or the distance in the area of distribution.
(f) Every
distributor shall display the working hours prominently at the place of
business including the place of storage on a conspicuous place.
Order - 10. Maintenance of register, account books by a distributor.
(a) Every
distributor shall maintain proper accounts of daily purchase, sale and
storage of liquefied petroleum gas at the business premises indicating therein,
(i) the opening sTock of
the filled, empty and defective cylinders;
(ii) the number of filled,
empty and defective cylinders received during the day;
(iii) the number of filled,
empty and defective cylinders sold, delivered or otherwise disposed of
during the day;
(iv) the closing sTock of
the filled, empty and defective cylinders;
(v) such other relevant
particulars as the concerned Government Oil Company or the parallel marketeer
may by order in writing, specify.
(b) The
distributor shall maintain a register giving the details of names and
addresses of persons registered for obtaining liquefied petroleum gas connection.
Order - 11. Assessment and Certification Rating of parallel marketeers.
(1) (a) No parallel
marketeer shall commence any activity, such as importing, storing,
transporting, bottling, marketing, distribution, sale or any activity
incidental thereto, relating to the business of liquefied petroleum gas without
obtaining a rating certificate, for his capability, infrastructure network
and readiness to carry out professed business and deliver goods and services
promised, provision for adequate safety backup for transportation, accident
relief during transportation, and attending to emergency complaints of
consumers by an agency given in Schedule IV, on the basis of its evaluation and
rating.
(b) The rating
certificate shall be issued in the format as specified in Schedule V, and
as per the forwarding letter given in Schedule VI.
(c) The rating
certificate shall,
(i) be valid for a period
of two years in case of 'good' and 'satisfactory' rating and one year in case
of other ratings from the date of its issue, and
(ii) require renewal by
the rating agency.
(2) Every parallel
marketeer announcing details of his activity or inviting offers of any
kind in the field of import, transport, marketing, bottling, distribution or
sale of liquefied petroleum gas, either in a newspaper, handout, pamphlet,
leaflet or by any other means of communication or
advertising shall indicate the rating awarded to him in words i.e.
Good, Satisfactory, Low-risk, High risk, whichever is applicable, and
prominently publish the rating certificate, as given by the rating agency.
(3) There shall be
paid in respect of every application to a rating agency
(i) for the rating
certificate awarded to the parallel marketeer, a fee at the rate of 0.05%
of the project cost, subject to a minimum of rupees fifty thousand and
maximum of rupees ten lakhs; and
(ii) for the renewal of
the rating certificate by the parallel marketeer, a fee of one-tenth of that
required to be paid for such a certificate;
(iii) The renewal of rating
certificate by the parallel marketeer shall be as per the following
periodicity, namely :
(a) once in two years,
for those having 'good' and 'satisfactory' rating certificate in the previous
year;
(b) once in a year for
those having rating certificate other than 'good' and 'satisfactory'
in the previous year.
(4) The agencies given in
Schedule IV for the purpose of evaluation shall, on payment of fee by the
parallel marketeer, evaluate the parallel marketeer whose case is either
referred to it or who approaches it, on the basis of the parameters indicated
and the information provided by such parallel marketeer in the format as
specified in Schedule VII or such other information as may be
required by the rating agency.
(5) Every parallel
marketeer shall file a certified true copy of the certificate of rating
with the Ministry of Petroleum and Natural Gas, Oil Co-ordination Committee,
Ministry of Food and Civil Supplies of the Central and the State Government and
Collector of the District in which he imports, transports, bottles, markets,
distributes or sells liquefied petroleum gas.
(6) All letter-heads or
communications of a parallel marketeer shall have the following
description of rating :
(i) Name of the rating
agency,
(ii) Rating awarded
to him, and
(iii) Date of Issue.
(7) No parallel
marketeer shall either give incomplete, incorrect, misleading, vague
information in the newspaper, handout, pamphlet, leaflet or advertisement
or submit such information to the rating agency:
Provided that a
parallel marketeer carrying on the business of transportation, marketing,
distribution or selling of liquefied petroleum gas as an agent
of another parallel marketeer, who has obtained a rating
certificate, shall not be required to obtain a rating certificate.
Explanation. For the purpose of
this clause, a parallel marketeer shall be regarded as an agent
of another parallel marketeer if the former is appointed an agent for
the above purposes by the latter through a legal instrument.
Order - 12. Maintenance of records and furnishing of information by parallel marketeer.
(a) Every parallel
marketeer before commencing the import, transportation, bottling, marketing,
distribution or sale of liquefied petroleum gas shall intimate to the
Ministry of Petroleum and Naural Gas all or any of the above activities which
he intends to undertake, specifying therein capability to do so, and
any other relevant particulars.
(b) The parallel
marketeer shall ensure that the quality checks are carried out and the
liquefied petroleum gas meets the BIS Specification No. IS 4576,
in all respects before the imported liquefied petroleum gas is discharged into
the storage infrastructure at the port.
(c) The parallel
marketeer shall ensure that the liquefied petroleum gas meets
the BIS Specification No. IS 4576 before it is sold to
any consumer.
(d) The parallel
marketeer of liquefied petroleum gas shall submit a monthly return
before the 15th day of the following month giving details of liquefied
petroleum gas produced and or imported port-wise, to the Ministry of Petroleum
and Natural Gas.
(e) The parallel
marketeer shall furnish to the Ministry of Petroleum and Natural Gas, or
to such authority as may be specified by the Central Government, such
information as may be required.
Order - 13. Power of entry, search and seizure.
(1) Any Officer of the
Central or the State Government not below the rank of Inspector duly authorised
by a general or a special order, by the Central Government or the State
Government, as the case may be or any officer of a Government Oil Company not
below the rank of Sales Officer, authorised by the Central Government, may,
with a view to securing due compliance of this Order or any other
order made thereunder:
(a) stop and search any
vessel or vehicle used or capable of being used for the transport or storage of
any petroleum product,
(b) enter and search any
place,
(c) seize sTocks of
liquefied petroleum gas along with container and/or equipments, such as
cylinders, gas cylinder valves, 22[pressure regulators, LPG
rubber hose] and seals in respect of which he has reason to believe that a
contravention of this Order has been, or is being, or is about to be made.
(2) The sales officer of
a Government Oil Company shall be authorised to secure compliance of
this Order by the distributors appointed under the public distribution
system and or by the consumer registered by them.
Order - 14. Overriding effect of theOrder.
The provisions of
this Order shall have overriding effect nothwithstanding anything
contained in any Order made by a State Government or a Union Territory
Administration.
Order - 15. Power to exempt.
The Central
Government may, if it considers necessary, for avoiding any hardship or in
consideration of the public interest, by a notification in the Official
Gazette, exempt any person or class of persons from all or any of the
provisions of this Order, either generally or for any specific purpose,
and subject to such conditions as may be specified in the notification.
Order - 16. Repeal and savings.
The Liquefied
Petroleum Gas (Regulation of Supply and
Distribution) Order, 1993 is hereby repealed: Provided that such
repeal shall not effect:
(a) the previous
operation of the said Order or anything duly done or suffered therein; or
(b) any right, privilege,
obligation or liability acquired, accrued or incurred under the
said Order; or
(c) any penalty,
forfeiture or punishment incurred in respect of any offence committed against
the said Order; or
(d) any investigation,
legal proceedings or remedy in respect of any such right, privilege,
obligation, liability, penalty, forfeiture or punishment as aforesaid, and any
such investigation, legal proceeding or remedy may be instituted, continued or
enforced and any such penalty, forfeiture or punishment may be imposed as if
the said Order had not been repealed.
SCHEDULE 1
[See Clause 3(4)]
Prohibited Activities
(for Government Oil Companies)
(1) Forced sale of
Stove/Hotplates to the consumers.
(2) Recovery of
unauthorised charges from applicant at the time of registration/ release of new
connection.
(3) Supply of partially
used cylinder/pilfering product from cylinder/cylinders with pilfered product
to LPG consumer.
(4) Unauthorised and/or
out of turn release of new LPG connections.
(5) Unauthorised
diversion of domestic cylinder for non-domestic use of LPG.
(6) Acceptance of fake
documents including Termination Vouchers and Transfer Termination Vouchers.
(7) Possession of
spurious LPG equipment.
(8) Induction of spurious
LPG equipment and/or replacement by a spurious equipment.
(9) Manipulation of
mandatory records.
(10) Non-home delivery of
LPG refill supplies to consumer and/or not giving rebate on non-home delivery
to LPG consumer.
(11) Overcharging by
distributor on LPG refill supplies, installation charges, mechanic charges
and/or any other charges authorised by the Government Oil Company.
(12) Refusal to register
requests for new connection and/or double bottle connection.
(13) 14[Providing domestic
Liquefied Petroleum Gas connection to a consumer who is already owning a Piped
Natural Gas connection.
Prohibited Activities
(for
Piped natural Gas providing companies)
(1) Providing piped
Natural Gas connection to an existing consumer of domestic Liquefied Petroleum
Gas of a Government oil Company, without obtaining an undertaking to surrender
or to keep in safe custody the Liquefied Petroleum Gas connection within sixty
days from the date of obtaining Piped Natural Gas connection.
(2) Continue to supply
piped natural gas to an existing consumer of domestic Liquefied Petroleum Gas
of a Government Oil Company who has not surrendered or kept in safe custody the
domestic Liquefied Petroleum Gas connection after sixty days from the date of
obtaining Piped Natural Gas connection.
(14) Issue liquefied
Petroleum Gas Connection to any household located in the notified area and not
possessing the Unique identification Number and/or without biometric or
other modes of authentication of the Unique Identification Number and without
providing "Know Your Customer"]
Prohibited Activities
(for Parallel Marketeers)
(1) Forced sale of
Stove/Hotplates to the consumers.
(2) Supply of partially
used cylinder/pilfering product from cylinder/cylinder with pilfered product to
LPG consumer.
(3) Possession of
spurious LPG equipment.
(4) Induction of spurious
LPG equipment and/or replacement by a spurious equipment.
(5) Manipulation of
mandatory records.
(15) [Providing domestic
Liquefied Petroleum Gas connection under Public Distribution System to a
consumer who is already owing a Piped Natural Gas connection.
Prohibited Activities
(for
Piped Natural Gas providing companies)
(1) Providing Piped
Natural Gas connection to an existing consumer of domestic Liquefied Petroleum
Gas of a Government oil Company under the Public Distribution System, without
obtaining an undertaking to surrender or to keep in safe custody such domestic
Liquefied Petroleum Gas connection within sixty days from the date of obtaining
Piped Natural Gas connection.
(2) Continue to supply
Piped Natural Gas to an existing consumer of domestic Liquefied Petroleum Gas
of a Government Oil Company under the Public Distribution System, who has not
surrendered or kept in safe custody the domestic Liquefied Petroleum Gas
connection after sixty days from the date of obtaining Piped Natural Gas
connection.]
[SCHEDULE
II
[see
clauses 4(1) (e) and 5]
Applicable
to distributors of a Government Oil Company
Standard size and
specification of Liquefied Petroleum Gas Cylinders shall conform to IS 3196
(Part I), 1992 Colour code specification IS 4379 and the following:
|
|
Internal diameter of cylinder in mm
|
Net weight of liquefied petroleum gas
in the cylinder
|
|
|
270 mm + 1%
|
5 kg + 50 gms
|
|
|
0%
|
|
|
|
314 mm + 1%
|
14.2 kg + 150 gms
|
|
|
0%
|
|
|
|
330.1 mm + 2%
|
19 kg + 1.0%
|
|
|
0%
|
|
|
|
365.0 mm +1%
|
35 kg + 1.0%
|
|
|
0%
|
|
|
|
368.3 mm +1%
|
47.5 kg + 1.0%
|
|
|
0%
|
|
|
|
|
(+,
indicate the variations on either side)]
|
|
Note:
(1) Standard size and
specification of Gas Cylinder Valve under the public distribution system shall
conform to IS 8737 Part II specifications having an outlet collar diameter of
25.6 mm.
(2) Pressure regulator
shall conform to IS 9798 specification having an inlet diameter of 25.6 mm.
(3) [LPG rubber hose
should conform to the extant IS 9573 Type II specifications.]
SCHEDULE III
[See
Clauses 4(1)(e) and 5]
Applicable
to Parallel Marketing System
A parallel marketeer
under the parallel marketing system shall deal with and use :
(a) Cylinder of any
size, shape, design and weight other than those specified in
Schedule 'II' conforming to Indian Standard specifications.
(b) Gas cylinder valve
conforming to IS Specification 8737, Part II of any size having an outlet
collar diameter of 22.0 mm.
(c) Pressure regulator
conforming to IS Specification 9798 of any size and having an inlet
diameter other than of 22.0 mm.
[(d) LPG rubber hose
should conform to the extant IS:9573 Type II specifications.]
Note:
(1) The cylinder used by
a parallel marketeer shall be provided with a valve protection ring
different in shape from that in the cylinder used by a Government Oil
Company.
(2) The cylinder used by
a parallel marketeer shall be clearly marked with Colour Band and
Logo of their respective company, firm or person marketing liquefied petroleum
gas, as approved by the Chief Controller of Explosives.
(3) Maximum permissible
error on net quantities declared by weight or by volume shall be as below
:
|
Declared quantity
|
Maximum permissible error in excess
or in deficiency
|
|
gm or ml
|
%
|
gm or ml
|
|
1000-10000
|
1.5%
|
|
|
10000-15000
|
-
|
150
|
|
more than 15000
|
1.0%
|
|
SCHEDULE IV
[See
Clauses 11(1)(a) and (4)]
Name
and address of agencies for evaluation of a Parallel Marketeer
|
Name
|
Address
|
|
1. CRISIL
(The Credit Rating Information
Services of India Ltd.)
|
Nirlon House, 2nd Floor,
254-B, Annie Besant Road,
Worli, Bombay-400 025
|
|
2. CARE
(Credit Analysis and Research Ltd.)
|
RBC, Mahindra Towers,
5th Floor, Road No. 13, Worli,
Bombay 400 018
|
|
3. MDRA
(Marketing and Development Research
Associates)
|
Secular House, 9/1, Institutional
Area, Opp. JNU, N. Delhi-67
|
|
4. ICRA
(Investment Information Credit Rating
Agency of India Ltd.)
|
Kailash Building, 4th Floor,
26, Kasturba Gandhi Marg,
New Delhi - 1
|
SCHEDULE V
[See
Clause 11(1)(b)]
Rating
Certificate for the Parallel Marketeer
Date of Issue:…...................................
Name of Firm/Company
:
Registered Office
Address :
Name of Promoter/Chairman/Managing
Director:
Activities:
Particular
of Bankers:
Overall Rating…..........................
Rating Scale
Good
Satisfactory
Low Risk
High Risk
Signature and Seal of
the Rating Agency
SCHEDULE VI
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Forwarding
Letter for the Certificate of Rating
To
whomsoever it may concern
This is to certify
that we have made an evaluation of M/s
..........................................................................................................................................
for the purpose of issuing certificateand a rating to them in accordance with
the provisions of the Liquefied Petroleum Gas (Regulation of Supply and
Distribution) Order, 2000.
We have obtained all
the information and explanations which to the best of our knowledge and belief
were necessary for the purpose of issuing this certificate. The certificate
issued by us is as a result of our examination of the documents, records and assessment
of the information obtained by us and the evaluation of capability,
infrastructure network and readiness to carry out professed business, deliver
good and services promised by the parallel marketeer. We are satisfied that the
information and particulars received and collected by us are sufficient enough
to enable us to evaluate
M/s ..................................................................**..............................................
providing the rating as specified.
M/s ............................................**
....................................... are awarded................... rating.
Salient facts about
M/s ..........................................**
............................................ are as
follows:
(1) Total investment
planned.
(2) Total investment made
up to date.
(3) Promoter's equity.
(4) Proposed/likely date
of commissioning.
**Name of the
parallel marketeer to be indicated.
(Signature and Seal
of the Rating Agency)
SCHEDULE VII
[See
Clause 11 (4)]
Pro
forma of information to be submitted by the Parallel Marketeer for
Evaluation/Rating by the Rating Agency
PARAMETERS
DETAILS*
1. Market
Standing of the Company:
(A) Constitution of the
firm
(B) Registered office
(C) Location and
Addresses of existing business
(D) Name of Promoters/Directors/Partners
(E) Background and full
anticidents of promoters/directors/partners
(F) Networth of
Promoters/Directors/Partners
(G) Current activity
(H) Details of existing
operations of the Parallel Marketeer and/or his group of companies
(I) Audited A/cs for
three years of the promoter firm and group concerns with details of promoters
constitution
(J) Working Capital
requirement for new Business pertaining to Parallel Marketing with resume
of proposed scheme
(K) Implementation record
of typical projects already undertaken, in terms of cost, time, nature of
projects and technology involved
(L) Business plans and
projected cash flows
(M) Sourcing of funds for
existing and proposed business
(N) Performance of
Parallel Marketeer in his other group companies for last three
years with income tax clearance certificate
2. Marketing
Plans for Liquefied Petroleum Gas:
2.1 Infrastructure
for Liquefied Petroleum Gas Sourcing/Handling:
(A) Import locations
identified
(B) Proposed size of
import parcels
(C) Status of approvals (ports/Statutory/State
Government/Chief Controller of Explosives/Environment/Milestoneachieved with
squared network-local authorities)
(D) Status of progress
(E) Details of
technological tie ups, if any
(F) Business
proposals/Project feasibility report, Financial Details and Financial risk
analysis
2.2 Commercial
arrangements and/or consortium for Liquefied Petroleum Gas (if own facilities
are not planned):
(A) Any tie up
arrangement finalized with importer
(B) The supporting
agreements/documents for such tie up
(C) The quantum of
product to be imported with minimum
Guarantee
(D) Details of Storage
and Handling of product at the import location/tie up agreement
(E) Fall back arrangement
to meet the shortfall in case the tie up arrangement does not
materialise
3. Storage and Distribution
arrangement for Liquefied Petroleum Gas planned:
(A) Details of Storage
facilities of Depots/Bottling plants with their capacities
(B) Status of progress on
items mentioned above
(C) Plant & Equipment/Technological
details
(D) Details of manpower
and the arrangement to handle the product
(E) Details of designs
and standards to be followed for construction and operation of these facilities
(F) Status of approvals
for the facilities
(G) Details of
arrangements for procurement of Cylinders/ Valves/Regulators
(H) Whether the bottling
plants are as per safety standardsOil Industry Safety Directorate 144/169
4. Arrangements
planned to reach the product to consumption Centres/Markets:
(A) Details of
distributor network planned/already appointed
(B) Details of the basis
for distributors appointment
(C) Details
of showroom/sales room/office and godown planned/existing along with
status of approvals
(D) Details of
Distribution arrangement between the distributors godown and the consumer
5. Product
Familiarity Training and Provision for Safety:
(A) Operational knowledge
of product (Liquefied Petroleum Gas) and its handling
(B) The capability and
preparedness to meet the safety requirement in Liquefied Petroleum Gas,
its transportation and accident relief during transportation
(C) Plans for training
the staff and the consumer on safe handling of equipment/product
(D) Recruitment policy
and standards for the staff
(E) Familiarity with Gas
Control Orders, Explosives Rules and other applicable local acts
(F) Details for
arrangement for attending emergency complaints of consumers
6. Marketing
Discipline and Guidelines proposed to be adopted:
(A) Code of conduct for
distributors and delivery men
(B) System to monitor,
and control adulteration and unauthorised diversion of products
7. Organisation
in place/proposed for the parallel marketing of Liquefied Petroleum Gas:
(A) Details of
Organizational Structure
(B) Level of managerial
involvement of the promoter
(C) Source of financing
the Liquefied Petroleum Gas parallel marketing including the infrastructure D. Any other relevant
details which the parallel marketer would like to provide
8. Financial
commitment:
(A) Total estimated
project cost
(B) Planned (phase-wise)
resource mobilization
(C) Resources arranged
and investment made as on date...
(D) Proof of
A, B and C above.
*Extra sheets
may be used, if required.
Date
....................................
Signature
...............................................
M/s........................................................
(Parallel Marketeer)
Address.................................................