Sunday, March 12, 2017

Consumer body flays decision to hike cooking gas price

Consumer rights activists today urged the government to roll back its recent decision to hike price of cooking gas. Submitting a memorandum ot the Prime Minister Puspa Kamal Dahal at his office, National Consumers Forum (NCF) has also condemned the decision to hike price of liquefied petroleum gas (LPG), popularly known as cooking gas.
The forum has demanded that the government rollback the decision immediately. "The decision has hit consumers hard as the price of cooking gas has been increased twice in the past one and half months," it said in a press note. The government fuel monopoly has jacked up the price of cooking gas by Rs 25 per cylinder on Friday citing price hike in the international market.
The country is observing the World Consumer Rights Day on February 15. And the government and various organisations working for consumer rights have announced series of programmes to mark the World Consumer Rights Day.
But on one hand, the government talks about safeguarding the rights of the consumers and on the other hand it increases price of essentials like cooking gas when the World Consumer Rights Day is just around the corner, the consumer right activists blamed.
According to president of National Consumer Forum (NCF) Prem Lal Maharjan, the government should review its decision before announcing any awareness programmes targeting the World Consumer Rights Day.
He also threatened the government that consumer rights activists would boycott all government events to mark the World Consumer Rights Day, if the Supplies Ministry does not bring down the price of cooking gas as soon as possible.
As NOC has been logging profit in recent months, the decision to increase price cannot be justified,” the memorandum to the premier reads.
The forum has also argued that the intention behind increasing price of cooking gas is to fleece consumers.
Cooking gas now costs Rs 1,375 per cylinder.
The NOC had claimed that the price of cooking gas was increased because its sole supplier – Indian Oil Corporation (IOC) – increased price of the cooking gas. "NOC will suffer loss of Rs 291.50 per cylinder even after the fresh adjustment in price," according ot the corporation.
According to the new rates forwarded by IOC, the corporation would have suffered loss of Rs 313.51 per cylinder, had it not hiked the price.
NOC, however, has kept the price of diesel, petrol and kerosene unchanged. Earlier in February also the NOC had increased the price of cooking gas by Rs 25 per cylinder, citing price hike in the international market. The NOC is logging profits in sale of petrol, kerosene and aviation turbine fuel, while it is suffering loss in diesel and cooking gas, it claimed.
The corporation however has been selling petrol at a profit of Rs 1.23 per liter in March, while it has been facing loss of Rs 4.07 per liter in diesel. NOC has also claimed that it will suffer a loss of Rs 414.4 million in March.

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