Agitating transporters have refused to carry LPG to the Northeast since September 9
Kohima, Sep. 13 (EMN): The fear of a possible shortage in supply of Liquefied Petroleum Gas (LPG) has sent residents of Kohima town into panic mode even as the Northeastern Packed LPG Transporters Association has stopped transportation of cylinders to LPG agencies across the Northeast since September 9.
Subsequently, the All Indane Distributors Association of Kohima had on September 11 informed that there will be no supply of LPG cylinders due to the ongoing indefinite strike by the association.
The association had stopped transportation of cylinders to the LPG agencies across the Northeast since September 9 protesting the alleged alterations in the terms and conditions of the tendering process by the Indian Oil Corporation Ltd authorities and subsequent reduction of profit margin by 20% besides alleged shifting of the operations of the IOCL head office from Guwahati to Kolkatta.
Speaking to Eastern Mirror, Kuolacalie Seyie, advisor of All Indane Distributors Association of Kohima while admitting the thinning of LPG stock in Kohima, also said there is not a single filled-cylinder in Kohima as the transporters have stopped transporting the cylinders to the agencies across Northeast, including Nagaland.
He informed that the association and the IOC officials were yet to arrive at an agreement. According to him, the demand of the association was genuine and transportation expense has become very high with the hike in fuel prices, and GST levy.
Seyie said the present rate the transporters were getting was not sufficient and not enough to cover fuel expense, taxes and wages.
While the transporters association is demanding 50% hike, Seyie said that the Kohima distributors wants more than 50% hike: “we want 80-90% hike”. Citing some examples, he said the cost of loading and unloading cargo at Dimapur costs INR 900, Kohima INR 1500 and in Jakhama INR 1500-2000.
The total cost of transporting LPG cylinders from bottling plant to Kohima covering a distance of 140 km (back and forth) comes to about INR 25,000 including fuel, labour charge etc., but the amount of INR 7900 the transporters get was not sufficient, he explained.
Once the IOC officials agree to increase the profit margin by 50% as demanded by the association, Seyie claimed, everything would go back to normal.