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LPG Sales Guide: Key Insights and Updates

The LPG Sales Guide by Bharat Petroleum Corporation Limited, updated in July 2023, serves as a comprehensive resource for sales representatives, addressing the evolving processes and challenges in the LPG business. It includes insights on safety, operational procedures, customer-centric initiatives, and governance, aimed at enhancing knowledge and efficiency in sales roles. The guide emphasizes the importance of safety, trust, and customer service in promoting the 'Bharatgas' brand.

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Avesh Ansari
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0% found this document useful (0 votes)
1K views415 pages

LPG Sales Guide: Key Insights and Updates

The LPG Sales Guide by Bharat Petroleum Corporation Limited, updated in July 2023, serves as a comprehensive resource for sales representatives, addressing the evolving processes and challenges in the LPG business. It includes insights on safety, operational procedures, customer-centric initiatives, and governance, aimed at enhancing knowledge and efficiency in sales roles. The guide emphasizes the importance of safety, trust, and customer service in promoting the 'Bharatgas' brand.

Uploaded by

Avesh Ansari
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
You are on page 1/ 415

Guide to LPG Sales

BHARAT PETROLEUM CORPORATION LIMITED

Version: July’2023
I|Page Guide to LPG Sales, June 2023
Preface
Dear Collaborators,

With the fast-changing times and demands of the LPG Business we need to equally keep up
pace with the enhancement and upgradation of the processes, guidelines, statutes and learn-
ings. To formalize the learnings and abridging the legacy with the present nuances of the LPG
business a latest version of the LPG Sales Guide has been meticulously prepared by a Task
force – the members representing all 4 Regions, duly proofed by HQ Role holders. Due care
has been taken to encompass the latest changes in it so as it comprehensively covers all the
Sales aspects of LPG Business. This LPG Sales Guide is an upgrade of its last version of
June’2023.

As a Business Head I understand the challenges faced by the sales team in the market, social
media world and expectations of the Customers & Stakeholders; with ever-changing & evolv-
ing processes to address the nuances in the dynamic canvas of the LPG Business. The LPG
Sales manual has been made to simplify the complex processes, provide insights and serve as
immediate help available on hand with its further derivatives to the various topics for detailed
overview. This will help the Sales representatives to take measured & calculated action with a
guiding principle, as laid out in the various topics of the manual. Whether you are experienced
or new in the Sales role, this guide will be a trusted companion and support along your way.
This Sales guide will also give a glimpse, strengthen & brush up knowledge for those who are
in Operations and other Businesses.

I would like to express my heartfelt gratitude to each member of the Taskforce, facilitating
members of HQ who have put in their hard work and experience in bringing an updated ver-
sion of the Sales guide to reality. Meticulous planning has been done to ensure that the best
and the latest comes out in the Sales Guide and due care has been taken so that the past is also
bridged to understand the transition in the LPG Business. The insights from the Sales guide
will reduce the chances of errors by the Sales representatives.

Finally, I would like to emphasize that the Sales guide is a reflection of our shared vision of
Safety, Trust and Convenience with unwavering commitment to their Safety & Health and
delivering the customers committed “services and values” to register “Bharatgas” Brand in
their mind as a differentiator. Your Role as a Sales Professional is crucial in fostering strong
relationships with our valued stakeholders including our valued customers.

I encourage you all to embrace the latest version of the Sales Guide as a powerful and resource-
ful tool to enhance/upgrade your knowledge, fueling your commitment and passion towards
excellence, growth and zeal to be a differentiator.

Wishing you all a very Happy learning and All the Best in your future endeavors!

Sincerely Yours,

T.V. Pandian
Business Head – LPG

II | P a g e Guide to LPG Sales, June 2023


Contents
Chapter 1: Introduction to LPG ............................................................... 5
a) Brief History of LPG Marketing in India ............................................ 5
b) Reforms in LPG business in the last few years: - ................................6
c) Specifications of LPG # ......................................................................9
d) Significant Characteristics of LPG ....................................................11
e) Selling Points in Favour of LPG ....................................................... 12
f) Comparison With Other Fuels ......................................................... 13
g) Energy comparison chart of LPG with other Fuels: .......................... 16
h) Common Questions on LPG And Their Answers .............................. 16
i) LPG Equipment ............................................................................... 19
j) Material Safety Data Sheet # ............................................................ 21
Chapter 2: Safety in LPG ....................................................................... 26
a) Safety in Transit .......................................... Error! Bookmark not defined.
b) Safety at Godown ......................................... Error! Bookmark not defined.
c) Domestic LPG Installation ........................... Error! Bookmark not defined.
d) Safety at Customer Premises ....................... Error! Bookmark not defined.
e) Mandatory Inspections ................................ Error! Bookmark not defined.
f) Emergency Service Cell ............................... Error! Bookmark not defined.
g) Safety Awareness Through Safety Clinics .... Error! Bookmark not defined.
h) Do’s and Do Not’s in Case of LPG Leakage ... Error! Bookmark not defined.
Chapter 3: Network Expansion ............................................................. 34
a) Network Expansion- Domestic ........................................................ 34
b) Distributorship Appointment Process ............................................. 35
c) Type of Distributorships:................................................................. 38
d) RTKM Verification Process ............................................................. 39
e) Pre-Commissioning Procedure ....................................................... 40
f) Distributorship Agreement: - .......................................................... 42
g) Service Level Agreement: # ............................................................. 43
h) Reconstitution ................................................................................. 47
i) Restructuring of Distributorship: .................................................... 51
j) Showroom / Godown Change: ......................................................... 52
Chapter 4: Distributors Operation and Administration ......................... 55

III | P a g e Guide to LPG Sales, June 2023


a) Econnect Portal: .............................................................................. 55
b) Customer acquisition: ................................. Error! Bookmark not defined.
c) Types of Connections ................................... Error! Bookmark not defined.
d) Exempted Category Connection ................... Error! Bookmark not defined.
e) Refill order cycle: - ...................................... Error! Bookmark not defined.
f) Discount Masters / GST/ PAN ...................... Error! Bookmark not defined.
g) Customer Transfer Procedures: .................. Error! Bookmark not defined.
h) DBC/Additional cylinder: ............................ Error! Bookmark not defined.
i) Day End: ...................................................... Error! Bookmark not defined.
j) Customer Profile Change:............................ Error! Bookmark not defined.
k) BPCL Transaction- Invoice/ERV: ................. Error! Bookmark not defined.
l) Bank master's and Account: ........................ Error! Bookmark not defined.
m) Reports in LPGNext: .................................... Error! Bookmark not defined.
n) BDA /Urja Devi ............................................ Error! Bookmark not defined.
o) Licenses and Records .................................. Error! Bookmark not defined.
p) VM Standards: ............................................ Error! Bookmark not defined.
q) D-Infomat- .................................................. Error! Bookmark not defined.
Chapter 5: Administration at Distributorship ..................................... 104
a) Marketing / Trading Area: ............................................................. 104
b) Extension of Trading Area ............................................................. 104
c) Revival of Distributorship: - .......................................................... 106
d) Resitement of Distributorship: - .................................................... 106
e) Restructuring of Distributorship ................. Error! Bookmark not defined.
f) Bharat Arogya Yojana (BAY): ........................................................ 106
g) Ex-Gratia Initiative:....................................................................... 107
h) Documentation at DISTRIBUTORSHIP ......................................... 107
i) Document Retention at Distributorship #....................................... 114
j) Do’s FOR DISTRIBUTORS .............................................................. 114
k) eDFS Policy# .................................................................................. 116
Chapter 6: Micro Distributorships ...................................................... 122
a) BDA -Bharatgas Delivery Assistant# .............................................. 122
b) UD (Urja Devi): ............................................................................. 124
Chapter 7: Allied Business ................................................................... 122

IV | P a g e Guide to LPG Sales, June 2023


a) Beyond LPG ................................................................................... 129
b) Energy Efficient Hotplate (EEHP) .................................................. 131
c) LPG In&Out Store/Dark Stores ...................................................... 133
Chapter 8: Customer Centric Initiatives ............ Error! Bookmark not defined.
a) Transparency Portal: ................................... Error! Bookmark not defined.
b) Portability: # ............................................... Error! Bookmark not defined.
c) PAHAL (MDBTL) # ...................................... Error! Bookmark not defined.
d) PMUY: # ...................................................... Error! Bookmark not defined.
e) SAHAJ: # ..................................................... Error! Bookmark not defined.
f) Umang......................................................... Error! Bookmark not defined.
g) e-KYC# ........................................................ Error! Bookmark not defined.
h) Bharatgas Customer Community (BCC) ....... Error! Bookmark not defined.
i) Smart Line .................................................. Error! Bookmark not defined.
j) LPG Emergency Services-1906..................... Error! Bookmark not defined.
k) Give it Up #.................................................. Error! Bookmark not defined.
l) PFMS........................................................... Error! Bookmark not defined.
m) Digital: ........................................................ Error! Bookmark not defined.
n) Pradhan Mantri LPG Panchayat .................. Error! Bookmark not defined.
o) PM LPG Panchayat ...................................... Error! Bookmark not defined.
Chapter 9: Complaint Management ..................................................... 169
a) Complaint Management .............................. Error! Bookmark not defined.
b) Modes of Contact / Complaint ..................... Error! Bookmark not defined.
c) PG Complaints # .......................................... Error! Bookmark not defined.
d) Social Media Feedbacks ............................... Error! Bookmark not defined.
e) VIP References ............................................ Error! Bookmark not defined.
f) F. RTI Queries and Standard Replies ........... Error! Bookmark not defined.
g) 1906 ............................................................ Error! Bookmark not defined.
Chapter 10: Governance .................................... Error! Bookmark not defined.
a) Segmentation: -# ........................................................................... 187
b) Process AUDIT# ......................................... Error! Bookmark not defined.
c) Showroom & Godown Inspection# ................................................. 191
d) Stock Check# of Corporation’s Equipment .................................... 192
e) SENIOR LEVEL INSPECTION#...................................................... 195

V|Page Guide to LPG Sales, June 2023


f) REFILL AUDIT .............................................................................. 196
g) 3rd PARTY AUDITS ....................................................................... 197
h) Types of Irregularity by LPG Distributors ...................................... 199
Chapter 11: Suspension and Termination ........................................... 210
a) Suspension / Termination of Distributorship ................................ 210
b) Some scenarios which may form the basis of suspension: -............ 210
c) The step-by-step procedure for suspension is detailed below: -...... 210
d) Other Essential information on Termination / Suspension. ............ 211
Chapter 12: Non Domestic LPG ........................................................... 217
a) Introduction to Packed commercial LPG ....................................... 217
b) ND distributorship appointment ................................................... 220
c) BA policy ....................................................................................... 224
d) Type of Packed Commercial Customers ......................................... 226
e) Potential Assessment..................................................................... 227
f) Package Sizes ................................................................................ 228
g) Packed Installation ........................................................................ 228
h) Strategy for Enhancement of Business........................................... 231
i) Rental Policy ................................................................................. 233
j) Hippo Cylinder .............................................................................. 235
k) Deposit Free Connections .............................................................. 236
l) Direct commercial customer ......................................................... 237
m) Reconstitution of Non-Domestic (Nd) Distributorship .................. 238
n) EX MI vs. Delivery Assistance Supplies .......................................... 238
o) Deodorized packed LPG ................................................................ 239
Chapter 13: BMCG ............................................. Error! Bookmark not defined.
a) INTRODUCTION ........................................................................... 242
b) Comparison of BMCG and DA and Technical Specification ............ 245
c) Approvals & accreditations ............................................................ 248
d) Associated Equipment ................................................................... 248
e) BMCG TRIAL ................................................................................. 255
Chapter 14: Bulk LPG .......................................................................... 261
a) Introduction to BULK LPG Business .............................................. 261
b) Potential Assessment..................................................................... 261

VI | P a g e Guide to LPG Sales, June 2023


c) Various applications where bulk LPG / Propane is used ................ 262
d) Bulk LPG Storage and Installation # .............................................. 262
e) Marketing of Propane and Butane ................................................. 267
Chapter 15: Reticulated LPG.............................. Error! Bookmark not defined.
a) Definition .................................................... Error! Bookmark not defined.
b) Process and Procedure ................................ Error! Bookmark not defined.
c) Pipeline and Installation: ............................ Error! Bookmark not defined.
d) Commissioning of the System ...................... Error! Bookmark not defined.
e) Operation & Maintenance ............................ Error! Bookmark not defined.
Chapter 16: Free Trade LPG ................................................................ 276
a) Introduction .................................................................................. 276
b) Modes of Sales ............................................................................... 276
c) POS Modalities .............................................................................. 277
d) Process in Econnect....................................................................... 279
e) Documentation POS Mode ............................................................. 279
Chapter 17: Pricing .............................................................................. 281
a) Pricing Policy Framework ............................................................. 281
b) Concept of pricing ......................................................................... 282
c) Pricing for Distributorship and direct customers ..........................288
d) Differential Reference Code used in Pricing (DRC) ........................290
Chapter 18: Transaction systems for TM / SO .... Error! Bookmark not defined.
a) Overview of myPortal: ................................. Error! Bookmark not defined.
b) Lisa: ............................................................ Error! Bookmark not defined.
c) Analytics ..................................................... Error! Bookmark not defined.
d) BI (Business Intelligence) Reports .............. Error! Bookmark not defined.
e) Accident Reporting & Insurance Claim ........ Error! Bookmark not defined.
f) CRM – SalesBuddy ...................................... Error! Bookmark not defined.
Chapter 19: Sales Officers Roles and Responsibilities ......................... 342
a) LPG Sales Officer: Roles & Responsibilities Expectations .............. 342
b) Do’s and Dont’s for Sales Officers .................................................. 346
c) An Introduction To Salesmanship ................................................. 347
d) Handling Objections ...................................................................... 353
e) The Close of Sale............................................................................ 357

VII | P a g e Guide to LPG Sales, June 2023


Chapter 20: Statutory Bodies and Statutes ........ Error! Bookmark not defined.
a) LPG Order 2000 .......................................... Error! Bookmark not defined.
b) The Essential Commodities Act, 1955 ........... Error! Bookmark not defined.
c) Code of Criminal Procedure, 1973 Section 100 ........ Error! Bookmark not
defined.
d) LPG Control Order – Search & Seizure – Filing of FIR ..Error! Bookmark
not defined.
e) Gas Cylinders Rules, 2016 ........................... Error! Bookmark not defined.
f) Legal Metrology ........................................... Error! Bookmark not defined.
g) Provident Fund and ESI .............................. Error! Bookmark not defined.
h) BIS Standards ............................................. Error! Bookmark not defined.

VIII | P a g e Guide to LPG Sales, June 2023


Terminology

Term Description
ACTC Aadhar Cash Transfer Compliant
ASP Alternate Supply Plant
BCTC Bank Cash Transfer Compliant
BLPG Beyond LPG
BCC Bharat Gas Customer Community
BMCG Bharat Metal Cutting Gas
BUD Bharat Gas Urja Devi
BDA Bharatgas Delivery Assistant
BLEVE Boiling Liquid Expanding Vapor Explosion
BAS Booking after SMS
C&C Cash and Carry
CTC Cash Transfer Compliant
CLEM Central LPG Equipment Manager
CPO Central Procurement Office
CCOE Chief Controller of Explosive
CR Cold Repair
CLDB Common LPG Database
CAG Comptroller and Auditor General
CCS Customer Care System
CRC Customer Relations Centre
CRC Customer Relationship Centre
CRM Customer Relationship Management
CSC Customer Service Centre
DBTL Direct Benefit Transfer of LPG
DMS Distributor Management System
DSO District Supply Officer
DGCC Domestic Gas Consumer Card
DPR Domestic Pressure Regulator
DBC Double Bottle Connection
DKV Durgam Kshetriya Vitrak
EEHP Energy Efficient Hot Plate

1|Page Guide to LPG Sales, June 2023


ERV Equipment Return Voucher
FTL Free Trade LPG
GST Goods and Service Tax
HEL Higher Explosive Limit
HR Hot Repair
ITR Inventory Turnaround Ratio
KYC Know Your Customer
LMA Last Mile Application
LoA Letter of Appointment
LoI Letter of Intent
LPG Liquefied Petroleum Gas
LOT Liquid off Take
LEH Lower Explosive Limit
LERC LPG Equipment Research Centre
LISA LPG Indenting and Supply chain Automation
MSP Main Supply Plant
MIS Management Information System
MDG Marketing Disciplinary Guidelines
MTA Mass Transfer Advice
MOP&NG Ministry of Petroleum & Natural Gas
MDBTL Modified Benefit Transfer for LPG Customer
NIC National Informatics Centre
NPCI National Payments Corporation of India
NBI New Business Initiative
ND Non-Domestic
NDNE Non-Domestic Non-Exempted
NPMUY Non PMUY
OMC Oil Marketing Company
ORC Overriding Commission
PCC Per capita Consumption
PCRA Petroleum Conservation and Research Asso-
ciation
PPAC Petroleum Planning and Analysis Cell

2|Page Guide to LPG Sales, June 2023


PMUY Pradhan Mantri Ujjwala Yojana
PMUY Pradhan Mantri Ujjwala Yojana
PAHAL Pratayaksh Hastantrit Laabh
PDC Pre-Delivery Check
PDI Pre-Delivery Inspection
PDP Pre-Dispatch Plan
PTD Preferred Time Delivery
PMC Private Marketing Company
PMIS Program Management Information System
PFMS Public Finance Management System
PG Public Grievance
RGGLV Rajiv Gandhi Gramin Vitrak
RLM Regional LPG Manager
RTKM Return Trip Kilo Meter
RTI Right to Information
SRN Sales Return Note
SRN Sales Return Note
SCV Self-Closing Valve
SLA Service Level Agreement
SCN Show Cause Notice
SBC Single Bottle Connection
SPOC Single Point of Contact
SOP Standard Operating Procedure
SOA Statement of Account
SQC Statistical Quality Control
SV Subscription Voucher
SCM Supply Chain Management
SAP Systems, Applications, and Products in Data
Processing
TDT Target Delivery Time
TST Target Supply Time
TV Termination Voucher
TDT Territory Manager

3|Page Guide to LPG Sales, June 2023


TA Transfer Advice
UMANG Unified Mobile Application for New-age Gov-
ernance
USG Unified Selection Guidelines
UIDAI Unique Identification Authority of India
VAT Value Added Tax
VP RING Valve Protection Ring
VOT Vapor Offtake
VLE Village Level Entrepreneur
Abridged Household List Temporary Identifica-
AHL TIN tion Number
BPL Below Poverty Line
CSR Corporate Social Responsibility
EKYC Electronic Know Your Customer
EPMUY Extended Pradhan Mantri Ujjwala Yojana
ISI Indian Standard Institute
MDG Marketing Disciplinary Guidelines
MI Mandatory Inspection
PoI Proof of Identity
POA Proof of Address
SECC Socio Economic & Caste Census
SLC State Level Coordinator
TMTPA Thousand Metric Tonnes per Annum
TMT Thousand Metric Tonnes
DNO District Nodal Officer
VBSY Viksit Bharat Sankalp Yatra
PMUY Pradhan Mantri Ujjwala Yojana
DUC District Ujjwala Committee
NCTC Non Cash Transfer Complaint
LDM Lead District Manager

4|Page Guide to LPG Sales, June 2023


1. Introduction to LPG

Chapter: Introduction to LPG

Brief History of LPG Marketing in India


History of LPG and Oil Marketing Companies in India

The marketing of LPG (liquefied petroleum gas) in India began with the establishment
of the Oil Coordination Committee (OCC) in 1973, which was later replaced by the Oil
and Natural Gas Commission (ONGC). LPG was initially used for industrial and com-
mercial purposes, but its popularity grew rapidly for domestic cooking due to its con-
venience, cleanliness, and efficiency. The government launched the "Purvanchal" pro-
ject in 1975 to introduce LPG in rural areas, leading to the establishment of the LPG
marketing division within the ONGC. In 1977, the government initiated the LPG Dis-
tributorship Scheme, which appointed authorized LPG distributors to cater to the
growing demand for domestic LPG cylinders. These distributors played a crucial role
in delivering LPG cylinders to households.

The Oil Marketing Companies were then formed to oversee the marketing of petro-
leum products, including LPG. Over the years, the government took steps to promote
LPG usage, such as subsidy schemes, safety regulations, and measures to curb black
marketing and adulteration. In 2016, the Pradhan Mantri Ujjwala Yojana (PMUY) was
launched to provide free LPG connections to households below the poverty line. This
program has further accelerated the growth of LPG usage in India, bringing clean
cooking fuel to millions of households.

LPG marketing in India is a regulated industry that produces, bottles, distributes, and
markets LPG cylinders, contributing to improved health, hygiene, and quality of life
for millions of households.

Major competitors for LPG and for Bharat Petroleum are HPC, IOC, Total Gas, Reli-
ance Gas, Gogas, electricity, and Piped gas is picking up as fierce competition for LPG.

Presently, in India LPG is marketed in six major categories:

• Domestic LPG: For residential requirements, Domestic LPG connection


with Subsidy in 14.2 kg cylinders, 5 kg cylinders.

• Exempted LPG: Domestic LPG connection with subsidy for specified pur-
pose such as Charitable institutions, Mid-Day Meals schools, etc. Primarily
in package size of 14.2 kg (Other package size is provided on case-to-case
basis)

5|Page Guide to LPG Sales, June’2023


1. Introduction to LPG

• Reticulated LPG Connection: For Gated housing societies. Domestic LPG


Connections with subsidy. Primarily in package size 14.2 kg (Other package
size is provided on case-to-case basis)

• Non-Domestic Non-Exempted LPG (Commercial LPG/ND): LPG Connec-


tions for Industries / Hotels / Other institutions. In package size ranging
from 19 kg, 35 kg Vapor Offtake (VOT) / Liquid Off take (LOT), 47.5 kg
VOT/LOT, 422 kg.

• Free Trade LPG (FTL): This is designed for people with low refill consump-
tion and for people without any organized residential status. Package sizes
are 2 kg FTL / 5kg FTL.

• Bulk LPG: This is presently with the I&C SBU (for BPCL), and LPG is dis-
patched in Tank Truck for Industrial installations with LPG Storage facili-
ties.
History of LPG Marketing specific to BPC

Bharat Petroleum Corporation Limited (BPCL) has a significant presence in the LPG
(liquefied petroleum gas) business in India. In 1955, BPCL's entry into LPG began with
the commissioning of its first LPG bottling plant in Mumbai. In 1976-1980, BPCL ex-
panded its LPG business by establishing additional bottling plants in various parts of
the country. In 1980-1991, BPCL established the LPG Regional Headquarters in Mum-
bai to oversee the marketing and distribution of LPG. In 1992-2000, BPCL focused on
improving customer service and ensuring safety in LPG operations.

In 2000-2010, BPCL implemented advanced technology and automation in LPG bot-


tling plants for improved efficiency. In 2010, BPCL has been actively involved in ex-
panding its LPG business through various government initiatives. As on date, i.e.,
June’2023 BPC is looking forward to implementing Salesforce for its value chain and
for its entire base of customer of over 8 Cr. LPG consumers. Today, BPCL's LPG busi-
ness unit operates through a widespread network of LPG bottling plants, distributors,
and dealers across the country, playing a crucial role in meeting the increasing demand
for domestic LPG cylinders and ensuring safe and reliable LPG supply to millions of
households in India.

Reforms in LPG business in the last few years: -

Increase in LPG Connections: The Pradhan Mantri Ujjwala Yojana (PMUY) was
launched in 2016 to provide free LPG connections to households below the poverty
line. This initiative led to a significant increase in LPG connections, especially in rural
areas, improving access to clean cooking fuel.

6|Page Guide to LPG Sales, June’2023


1. Introduction to LPG

Rise in LPG Consumption: The implementation of PMUY and other government initi-
atives resulted in a substantial growth in LPG consumption in India. More households
have shifted from traditional cooking fuels, such as wood or kerosene, to LPG for cook-
ing purposes.

Expansion of LPG Infrastructure: To meet the growing demand for LPG, there has
been a significant expansion of infrastructure including LPG bottling plants, storage
facilities, and distribution networks across the country. This has helped improve ac-
cessibility and ensure a steady supply of LPG cylinders.

Digital Transformation: LPG companies and distributors have embraced digital tech-
nologies to streamline operations and enhance customer services. Online booking
platforms, mobile apps, and digital payment recently launched OTP based delivery,
aadhar based authentication (eKYC) options have been introduced to facilitate LPG
cylinder booking and delivery processes.

Subsidy Reforms: The government has made efforts to rationalize LPG subsidies by
introducing the "Give it Up" campaign, mandatory "Give it Up" for higher income
groups thus encouraging affluent households to voluntarily surrender their LPG sub-
sidy, enabling the subsidy to reach those in need.

Safety Measures: Stringent safety measures and regulations have been implemented
to ensure the safe handling, transportation, and usage of LPG. Initiatives like the in-
stallation of tamper-proof seals, Mandatory inspections, Bharatgas Safety Day, safety
training programs, and awareness campaigns have been introduced to promote safe
practices.

EMPOWERING LPG CONSUMERS AND IMPROVE SERVICES

Several Consumer Empowering Initiatives in LPG Marketing Project “Lakshya” were


launched with a view to improving the LPG supply chain.

1. MyLPG.in

It provides online sales and distribution of 3-million-cylinder delivery data to 15


crore Consumers, with features such as LPG usage, booking status, refill history,
request for surrender of connection, subsidy availed and transferred, rating of dis-
tributors by cylinder delivery time, and Aadhaar Linking Status.

2. PAHAL Scheme

7|Page Guide to LPG Sales, June’2023


1. Introduction to LPG

In line with the recommendation of Task Force on direct Subsidy, Government of India
launched the PAHAL Scheme for consumer in their Aadhaar enabled bank accounts. The
first phase of the Scheme was launched in 18 districts on 01.06.2013. Later DBTL scheme
was expanded to 291 districts in 6 phases by 01.01.2014.
3. Rating of Distributors based on several Performance Parameters

Rating model of LPG Distributors started in 2012, during when the distributors
were classified as star rating from 1 star to 5 star based on his delivery timings. The
star rating model was later updated into Silver, Gold, and Platinum category. Sev-
eral parameters are considered in rating the distributor for e.g., Delivery timings,
Refill PCC, Digital transactions, complaint redressal etc.

4. Consumer Relationship Management through Mobile Platform

Over 90% of LPG customers have registered their mobile numbers correctly
mapped with OMCs and on present date, registration of consumers mobile number
is mandatory while enrolment of the consumer. All Bharatgas consumers are pro-
vided with Hello BPCL app on which they can get services such as scheduling a
mechanic service request, booking an LPG refill etc.

5. LPG Distributor Portability

An LPG consumer has been given the choice to switch from his old distributor to
another better star rating distributor within the cluster as per his choice within or
across the OMCs. The objective of introducing portability was to provide custom-
ers with greater choice to select their distributor and to bring competition amongst
distributors.

These consumer empowering E-initiatives in LPG marketing were recognized, and


Ministry of Petroleum & Natural Gas won the CSI Nihilent e-Governance (2012-
13) Award of Excellence for its entry titled “Empowering Consumers: Transparent
Supply Chain and Efficient Subsidy Administration” during 48th Annual Conven-
tion of Computer Society of India (CSI- 2013) at Vishakhapatnam. OMCs are also
working out on intercompany portability over click of mobile.

6. Free trade LPG (5/2 kg)

To facilitate quick release of LPG connection for people with low requirement and
availability at vicinity, BPCL produced 5/2 kg Free Trade LPG scheme in 2016. FTL

8|Page Guide to LPG Sales, June’2023


1. Introduction to LPG

is allowed for consumers across the counter with limited documentation and with-
out any necessity of payment of deposit of cylinders.

7. A new feedback process for LPG cylinder deliveries.

This initiative is designed to enhance customer service and ensure a seamless ex-
perience for our valued customers. Customers can rate the delivery process on a 1-
5 scale.

8. LPG ATM launched at few selected places for the convenience of consumers.
9. Other Services:

• 24 hours Smart-line – Contact centre for customer support and for raising
consumer grievances,

• 24 hours 1906 for emergency leakage complaints,

• BCC – Bharatgas consumer community interaction program,

• Composite cylinders – Light weight and study cylinder,

• TDT – Target delivery timing for better delivery timings of refill cylinders,
CRM Portal – Under development (As in June’23)

• Several Modes of booking and payment such as eBharatgas portal, Mobile


app, Amazon, and other UPI applications.

Specifications of LPG #

Liquefied Petroleum gas may be defined as hydrocarbons which are in the gaseous
state at normal atmospheric pressure but can be liquefied by application of moderate
pressure at normal ambient temperature. This range includes Propane, Propylene,
ISO-Butane, N-Butane and Butylene. Oil Industry in India, markets commercial Bu-
tane/Propane mixture and commercial Butane which conforms to ISI specification
(IS:4576), the specifications of which are reproduced below:

9|Page Guide to LPG Sales, June’2023


1. Introduction to LPG

Require-
ment of
Method of
Com- Commer- Commer-
Sr. Test. Ref.
Characteristic mercial cial Bu- cial
No. To (P) of
Butane tane/Pro- Propane
IS:1448*
pane Mix-
ture
Vapour pressure at 65oC,
1. 10 Max 16.87 Max 26 Max P:71+
kgf/cm2 gauge
Volatility: Evaporation
temperature in 0°C for 95
2. 2 2 -38 P:72+
percent by volume at 760
mm HG pressure, Max.
Total volatile sulphur
3. 0.02 0.02 0.02 P:34(1966)
percent by weight, Max.
Not worse
4. Copper Strip corrosion than P:15(1960)
No.1
5. Hydrogen sulphide Absent Absent Absent P:73+
No free No free en-
Shall pass
6. Dryness entrained trained wa- P:74+
the test
water ter
7. Odour Level 2 Level 2 Level 2 P:75+

TYPICAL PROPERTIES AND CHARACTERISTICS #

The important typical properties and characteristics of LPG currently marketed are: -

1) Specific Gravity of liquid at 15oC (water =1) 0.54 - 0.57


2. Specific volume of Gas at 15oC 760 mm Hg

- liter/g of gas 0.44


- ft3/lb of gas 7.1
- gm/lit of gas 2.26

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1. Introduction to LPG

3. Typical composition of *(by volume) of LPG presently filled in cylinders ex-few re-
fineries.

Mumbai (Bom-
Material Barauni Koyali
bay)
Ethane & Ethylene 0.5 0.8 1.7
Propane & Propylene 28.6 32.6 23.0
Normal Butane & ISO-Butane
and 70.4 66.6 75.3
Butylene
Pentane & Higher 0.5 Traces Traces
100.00 100.00 100.00

4. Whereas LPG marketed would conform to IS:4576, the composition is not guaran-
teed since the %age varies for different crude and even for same crude from batch
to batch processed. The composition should, therefore, be taken only as a general
guide:
5. Boiling Point: 0oF (-18oC) approx. 32oF (0oC) approx.
6. Gross calorific value of LPG (Typical figures)

BTU/lb 21,300 Kcal/lb 5,368


BTU/kg 46,800 Kcal/kg 11,800
BTU/scft 3,200 Kcal/scft 806
BTU/litre 122 Kcal/litre 308
Kcal/Nm3 30,600

7. Limit of Inflammability Lower 1.8% (gas in air/gas mixture) Upper 9.0%


8. Dry air required for complete combustion (cft/cft) 31
9. Theoretical Maximum Flame Temperature in air 0°C 2000
10. Theoretical Maximum Flame Temperature in Oxygen oC 2850
11. Minimum Ignition Temperature oC 890

Significant Characteristics of LPG


1) LPG can be compressed at 1:1270 ratio. This property enables LPG to be marketed
in portable container for use as an ideal fuel.

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1. Introduction to LPG

2. A combustible mixture is formed only if the gas/air ratio is between 1.8% to 9%


concentrations.
3. LPG is odourless and colourless, but a mild odorant Ethyl Mercaptan is added to
produce odour for detection in case of leakage and the smell is detectable in air at
concentrations lower than the explosive limit.
4. LPG in gaseous state is twice as heavier as air and in case of leakage tends to settle
down at floor level, particularly in depressions, pits, drains, etc. Therefore, from
the safety point of view ground level ventilation is important.
5. At temperature near Oo C or subzero, the pressure inside the container will be al-
most equal to the atmospheric pressure and therefore the product cannot be used
at such low temperature locations.
6. LPG contains no toxic components but causes stomach upsets and headache when
high concentrations are breathed in sufficient quantities over a period.

Selling Points in Favour of LPG

The advantages of using LPG:

• It is extremely easy to light the flame in an LPG appliance. Just light a match
and turn on the tap. No tedious preparation is required.

• LPG gives instant heat. There is no need to nurse the fire or wait for the
appliance to warm up.

• The blue flame is visible, and its size is easily controllable to give the amount
of heat required.

• Most appliance taps have a positive stop ‘simmer’ position for ease of select-
ing the flame.

• The size of the flame remains constant for as long as it is required without
any effort on the part of the user.

• No soot is formed. The bottoms of the pans stay clean and so does the
kitchen.

• The LPG appliance is neat, attractive, and easy to clean. It requires little
maintenance and will last for many years. It is a worthwhile investment.

• There is no problem about storing LPG. The cylinder is clean and takes up
little space in the kitchen.

• Whenever a refill cylinder is required, free home delivery is given. The cus-
tomer has just to telephone or send a message to the Distributor’s shop and
the cylinder is delivered within the shortest time possible.

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1. Introduction to LPG

• If the appliance needs attention, the Distributor provides servicing and the
only charge made is for spare parts, if required and a very nominal service
charge.

• LP Gas is backed by the extensive marketing experience of the Oil Corpora-


tions.

Comparison With Other Fuels


Charcoal,
Item LPG Coke, and Kerosene Electricity
Firewood
Availa- Must be
bility at Free home de- transported Conveniently Conveniently
the livery by the cus- available available
house tomer
Clean
leakproof cyl-
Bulky and
Storage inder which May smell Not applicable
dirty
occupies little
space
Effortless and
Trans-
controlled.
fer from Time consum-
Cylinder re- Inconvenient
storage ing. Danger of Not applicable
mains con- and dirty
to appli- spillage
nected to ap-
ance
pliance
Switching on is in-
Time con-
Lighting stantaneous, but
Easy and in- suming labo- Time consum-
the ap- there is delay
stantaneous rious and ing
pliance while the appli-
dirty
ance heats up

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1. Introduction to LPG

Charcoal,
Item LPG Coke, and Kerosene Electricity
Firewood
Pressure stoves
have to be
pumped up
Mainte- The fire must from time to
No attention No attention re-
nance of be tended time. Wick types
required quired
heat carefully may require
trimming/ ad-
justment/ clean-
ing
Heat output can
The flame is
be varied, but Three rates of heat
visible, and its
not to a signifi- output available
size is easily
Heat output cant extent. on better appli-
Control controlled over
cannot be Pressure stoves ances. Not always
of heat a wide range to
varied much are. too hot for possible to know
obtain the re-
simmering and whether appliance
quired rate of
wick stoves tend is on or off.
heating
to cook slowly
Sooty,
Smoky, and
toxic. Can be
May be sooty
Product dangerous if
Non-toxic. No when lighting
of com- flue arrange- Not applicable
soot up. May smell of
bustion ment and
kerosene
ventilation of
room inade-
quate
Effi- Minimum 58%
0.15 55% to 60% 0.65
ciency , Average 60%

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1. Introduction to LPG

Charcoal,
Item LPG Coke, and Kerosene Electricity
Firewood
of utili-
sation
of fuel
Pan bottoms
No blackening Pan bottoms
Cleanli- and kitchen ceil-
of pan bottoms and kitchen
ness of ing Clean
of kitchen ceil- blackened by
Use sometimes
ing soot
blackened
Fire cannot
Extin- be.
Instantaneous s,
guish- readily extin- Instantaneous
Instantaneous but heat wasted as
ing g ap- guished and s
appliance cools off
pliance fuel is always
wasted
Appear-
ance of Neat and at-
Unattractive Often attractive Good
Appli- tractive
ance
Very labori-
Clean- ous. Ashes Not difficult,
ing of must be re- Not typically but complicated
Easy
Appli- moved after easy by need to keep
ance every occa- wiring dry
sion of use
Vaporizers /
Mainte- Little attention
wicks need fre-
nance required and
Little re- quent replace- Cheaper hotplates
e of this is done by
quired ment on pres- burn out often
Appli- your distribu-
sure / wick
ance tor
types

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1. Introduction to LPG

Charcoal,
Item LPG Coke, and Kerosene Electricity
Firewood
All fuels can be
dangerous if
used with neg-
ligence. Using
ordinary care
and following
Safety the simple in-
structions
given, the dan-
ger in the case
of LPG is not
more than with
any other fuel

Energy comparison chart of LPG with other Fuels:


LP Elec- HS LD Kero-
Product FO NG
G tricity D O sene

Unit Kg Kwh Litre Litre Kg Litre SCM

Calorific Value in 1180 1050 1000 950 1000


860 10420
Kcal/Unit 0 0 0 0 0

Fuel Efficiency% 94 100 85 60 80 60 90

1109 892 600 760 900


Effective CV per unit 860 6252
2 5 0 0 0
0.80 0.54 0.68 0.81
Conversion factor 0.078 0.564
5 1 5 1

Common Questions on LPG And Their Answers

Why is LPG Liquefied?

At normal temperature and pressure LPG is a gas. It is compressed into a liquid by


application of moderate pressure. When this happens, the volume is reduced approx-
imately 240 times. When the pressure is released (by operating the regulator knob)
the liquid immediately becomes gas.

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1. Introduction to LPG

What is LPG used for?

As on 1.4.99 over 381 lakhs customers in India already use LPG for cooking and heat-
ing water. LPG can also be used for heating rooms, and as fuel for refrigerators. In
industry, LPG is widely used in workshops and laboratories, for metal cutting, non-
ferrous welding, brazing, and flame clearing, for generating special atmospheres re-
quired in heat treatment processes, textile industry, glass industry and for numerous
other industrial applications.

Why should I change to LPG? Look at the advantages LPG gives you:

1) LPG gives you an instant cooking flame. All you do is to light a match hold it over
the burner head and turn the tap.
2. LPG gives you instant heat. There is no need to nurse the fire or wait for the appli-
ance to warm up.
3. LPG gives you the correct amount of heat you require. The size of the blue flame is
easily controlled. In some appliances there is a ‘simmer’ position on the tap to help
select the correct flame.
4. LPG gives you constant heat for as long as you want, without effort.
5. LPG adds to your comfort because cooking is quick, and the kitchen does not get
heated as with other fuels like wood and charcoal.
6. LPG forms no soot or grime and keeps your kitchen clean.
7. The LPG appliance is neat, attractive, and easily cleaned. It lasts many years and
requires little maintenance. It is a worthwhile investment.
8. LPG is easy to store. The cylinder is clean and occupies extraordinarily little space.
9. Your LP Gas Distributor delivers a refill cylinder free of charge to your home. Just
telephone or send a message.
10. If your appliance needs attention, which will not be often, the Distributor will pro-
vide technical service. You will need to pay only for any replacement parts required
plus a nominal service charge.
11. LP Gas is backed by the extensive marketing experience of the Oil Corporations.

How much LPG will I get in a full cylinder? How long will it last?

You can be sure that every LPG cylinder normally contains 14.2 kg of gas, because the
Corporation weighs and seals each cylinder. How long a cylinder lasts will depend on
many things such as:

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1. Introduction to LPG

• The number of people in your household.

• How many meals you prepare a day.

• The type of cooking you do.

• How carefully you use the gas.


How can I tell when an LPG cylinder is about to finish?

Frankly, the only accurate method is to weigh the cylinder since it has not yet been
possible to evolve an apparatus that is sturdy, accurate and inexpensive. You will soon
judge by experience how long a cylinder will last in your own kitchen. The LPG Dis-
tributor makes every effort to deliver refill cylinders promptly to save you from incon-
venience. You can also take a 2nd cylinder facility to avoid dry outs.

Why can’t I buy a cylinder and pressure regulator?

It would not be to your advantage since these items cost far more than the deposit you
pay. Further the LPG Distributor ensures that all loaned equipment is delivered to you
in good condition. If there is any difficulty the Distributor changes the equipment free
of charge unless of course the loss or damage has been caused by you. This service
would not be possible if the equipment belonged to the customer.

Is it difficult to work in an LPG installation?

No, it is simple. When you open the regulator knob and the appliance tap, the pressure
inside the cylinder is reduced causing LPG liquid to vaporize into gas. This gas is forced
out of the open valve and through a pressure regulator and a rubber tube until it
reaches the appliance where it is mixed with air and burnt. As the gas flows out of the
cylinder, more liquid turns into gas and so on. This process goes on continuously till
you close the regulator knob, or the appliance tap.

Is LPG more dangerous than other fuels?

LPG is just as safe as any other fuel. In fact, it is safer than most, because neither LPG
itself nor the end- products produced by burning LPG in a suitable appliance, are poi-
sonous to breathe. Since LPG cannot burn without air, there can never be a ‘Flash-
back’ into the cylinder. You can feel safe with LPG. The most thorough precautions are
taken to ensure its safety. All you must do is to handle it according to the simple in-
structions given.

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1. Introduction to LPG

1) In normal use, an LPG cylinder can never shatter or burst into little pieces. The Oil
Companies with vast experience at its disposal, have laid down rigid specifications
for all LPG equipment. No item is put into service until it meets these specifica-
tions, which have been approved by Government Authorities concerned.
2. Every new cylinder is evaluated by an approved independent firm, or by represent-
atives of BIS at several times for the pressure it will normally have to contain. New
cylinders are evaluated every seven years after injection and in cycles of five years
thereafter.
3. The Corporation employs specially trained inspectors to ensure that the cylinder
valves/pressure regulators are manufactured to comply with rigid specifications.
4. The hotplate or cooker is of a type approved by ISI, to ensure that the customer
gets a safe and efficient appliance.
5. LPG sold as a cooking fuel has a distinctive smell that helps you to detect gas leak-
age at once. This smell disappears immediately the gas is burnt and is not imparted
to the food.
6. LPG Distributors and their staff are trained to be safety-conscious and to explain
very carefully to customers how they should use LPG.
7. An Instruction Card is given to each customer containing the simple rules to be
followed.

LPG Equipment

Cylinder: Currently we have standardized 2 kg, 5 kg, 14.2 kg ,19 kg, 35 kg, 47.5
kg, 422 kg, 5kg composite and 10 kg composite cylinders LPG cylinders for mar-
keting LPG. The LPG cylinders are manufactured under stringent quality control
meeting IS:3196 specifications using high quality steel that can withstand a pres-
sure up to 25-35 kgs/cm2. Under normal conditions, pressure inside the filled LPG
cylinder is 6-8 Kgs/Cm2.

All LPG cylinders are painted in signal colour as per our VM Standards applicable
of the product. The ownership of the cylinder is embossed on the foot ring of the
LPG cylinder and for easy identification the top of the BPC cylinder is painted yel-
low. All LPG cylinders are marked with a certain serial number, name of manufac-
turer, date of manufacturing, test date and the Indian Standards to which it con-
forms.

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1. Introduction to LPG

Cylinder Valve: Our domestic LPG cylinders are fitted with a SC (self-closing) type
of valve (SC) with is again manufactured to suit our ambitious standards. A self-
closing type of valve means that which will always remain closed unless forced
open by an external equipment (pressure regulator) fitted to it to open this valve.
The valve again closes by itself as soon as the external equipment is removed from
it (i.e., regulator knob is turned to the ‘OFF’ position). All cylinder valves are fitted
with safety cap which is tied to one of the stay plates of the cylinder. The cap pre-
vents dirt/dust going into the valve and arrests any leakage from it.

Pressure Regulator: This regulates the pressure of LPG and maintains the pressure
in the range of 11”-13” water column irrespective of the pressure inside the cylin-
der. The pressure regulator used in ‘Domestic’ installations is manufactured to
rigid specification (IS:9798). A regulator is fitted to the valve and locked. Presently
multi-point locking type (SIERRA) regulator is used on LPG cylinders. This regu-
lator has additional inbuilt safety features which ensures that gas is not allowed to
escape into the atmosphere in case of leakage from the valve or leakage due to
damaged ‘O’ ring.

Composite cylinder has a three-layered construction. It is made up of a blow-


moulded High-Density Polyethylene (HDPE) inner liner, covered with a composite
layer of polymer-wrapped fibre glass and fitted with a HDPE outer jacket.

The composite cylinders are available in 5 kg and 10 kg sizes for domestic segment.

Presently composite cylinders can be issued as Domestic Non-Subsidized connec-


tions only (Subsidy transfer process is not applicable to composite cylinder con-
nections). There will be no mixed package available for any customers.

Advantages:

i. These new age composite cylinders have multiple advantages over the exist-
ing steel cylinders:
ii. They are light weight: the tare weight of a composite cylinder is half of its
steel counterpart.
iii. They have a translucent Body which helps customers to accurately check the
LPG level against light. This will help customers plan their next refill easily.
iv. They are rust-free. This reduces the chances of leaving stains and marks on
surfaces.
v. They are aesthetically designed which makes them visually appealing and
ideal for modern kitchens of today.

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1. Introduction to LPG

vi. They are explosion proof.

Following Material codes exist in system-

Material
Description
Code
5280 5Kg non-Subsidized domestic- Filled Cylinder
BPC050C 5Kg non-Subsidized domestic- Empty Cylinder
5880 10Kg non-Subsidized domestic -Filled Cylinder
BPC100C 10Kg non-Subsidized domestic- Empty Cylinder

The details of Deposit and Penal rate applicable as on date is below:

Pack-
Deposit Tariff Penal
age Description
rate rate rate
code
BPC10 10Kg non-Subsidized domes-
3350 4050 5400
0C tic- Empty Cylinder
BPC05 5Kg non-Subsidized domestic-
2150 2650 3450
0C Empty Cylinder

Material Safety Data Sheet #

LIQUEFIED PETROLEUM GAS

1 – Chemical Identity

Chemical Name: Liquefied Petroleum Gas (LPG)

Chemical Formula: Mixture of C H and C H


3 8 4 10

Synonyms: LPG, Gas

General Use: Domestic fuel, Motor fuel

C A S No.: 68476 – 85 – 7

U N No.: 1075

Regulated Identification: Shipping Name: Liquefied Petroleum Gas,Hazchem Code: 2 WE

2 – Hazards Identification

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1. Introduction to LPG

Primary Entry Routes: Inhalation, skin

Acute Effects: Inhalation: Concentration in air greater than 10% causes


dizziness in few minutes. 1% conc. gives the same symp-
toms in 10 mts. High concentration causes asphyxiation.
Skin irritant: Liquid on skin causes frostbite.

Carcinogenicity: Not listed as carcinogenic

Chronic Effects: No data available

3 – First Aid Measures

Eyes: Flush with water for 15 min. Get medical attention.


Skin: Frost bite can occur and appropriate treatment for it to be
given. Remove the wetted clothes. Wash with warm water
& soap.
Inhalation: Remove to fresh air. Consult a physician if irritation persists.

4 – Fire Fighting Measures

Flash Point: Very inflammable


Auto ignition Temperature: 426 °C
LEL: 1.9 %
UEL: 9.5 %
Flammability Classification: Flammable
Extinguishing Media: Foam, Dry Chemical Powder, CO2
Unusual Fire or Explosion Heat produces vapours and can cause violent rupture of

Hazards: containers. Tanks can explode due to BLEVE effect. Be-

ing heavier than air vapours may travel long distance and

flash back.

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1. Introduction to LPG

Static electricity generation highly

possible. Hazardous Combustion Carbon di

oxide, carbon mono oxide, Products:

Fire-Fighting Instructions: Fires should not be extinguished until flow of LPG is not
stopped. Shut off gas and allow the product to burn. Cool
the surroundings with water spray. Fire fighters should
wear self-breathing apparatus while fighting fire

5 – Accidental Release Measures

Small Shut off leaks if safe to do so. Disperse vapours with wa-
Spills: ter spray. Isolate area and take a gas test before entering.
Warn everyone that the mixture is explosive.

Contain- Prevent spillage from entering drains or water sources


ment:

Cleanup: As the product vaporizes clean up not necessary.

6 – Handling and Storage

Handling Precautions: Do not use/store near heat/open flame. Avoid contact with liq-
uid as frost bites can occur. Use gumboots, gloves while man-
aging the product. Do not inhale. Stay upwind while managing
the product. Tanks and dispensing equipment should be
grounded to reduce static charge fires. It should be stored in
closed containers away from heat & source of ignition. Avoid
contact with skin and eyes. Wash thoroughly after handling

Storage Requirements: Do not use/store near heat/open flame/water/acids. Stenched


with mercaptans for easy identification during leaks

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1. Introduction to LPG

7 – Exposure Controls / Personal Protection

Engineering Controls: Provide proper ventilation for environment to be below Time


Weighted Average
(TWA). Use explosion proof electrical fittings in classified ar-
eas.
Respiratory Protection: Use respiratory protection if ventilation is improper

Protective Clothing / Use face shield, PVC gloves, safety boots while handling.
Equipment: Contaminated clothing to be immediately removed

8 – Protection Physical and Chemical Properties

Physical State: Gas at 15oC & 1atm. pressure. Managed as liquid in com-
pressed stage

Appearance and Odour: Colourless gas with mercaptan odour

Vapor Pressure: < 152 psi at 38 °C (RVP)

Specific Gravity: 0.55 gm / cc at 15 °C

Water Solubility: Insoluble

Boiling Point: > - 40 °C

Freezing Point: - 77 °C

Vapour Density: 1.5 (Air = 1)

9 – Stability and Reactivity

Stability: Chemically stable.

Chemical Incompatibili- Incompatible with oxidizing agents.


ties:

Conditions to Avoid: Avoid elevated temperatures and ignition sources including


static electricity

Hazardous Decomposi- Carbon di oxide, carbon mono oxide,


tion Products:

10 – Toxicological Information

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1. Introduction to LPG

ACIGH TLV TWA: LPG – 1000 ppm

Toxicity Data: LD50 (Oral-Rat) Not listed

Acute Inhalation Effects: Concentration in air greater than 10% causes dizziness in
few minutes. 1% conc. gives the same symptoms in 10
minutes. High concentration causes asphyxiation.

11 – Ecological Information

Prevent spillage from entering drains or water sources. After spills wash area with
soap and water preventing runoff from entering drains. Can burn with lot of heat
producing CO2 and CO.

12 – Disposal Considerations

Disposal: Allow gas to burn under controlled conditions

13 – Transport Information

Shipping Name: Liquefied Petroleum Gas

14 – Regulatory Information

Non – Toxic / Highly Flammable Substance

* American Institutional Conference for Industrial & Govt. Hygienist (AICIGH)

* Threshold Limit Value (TLV)

* Time Waited Average (TWA)

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2.Safety in LPG

Chapter: Safety in LPG

a) Safety in Transit – From Plant till Godown


1) Cleaner or second crew should always be present from plant till godown.
2) At the time of unloading of trucks adequate care to be taken in managing the cyl-
inders. Cylinder should not be thrown from the truck on the floor level, unloading
boys to pick up cylinder from truck and should rest them on the rubber mat and
then should carry the cylinders on their shoulder till the stacking point inside the
Godown building.
1. At the time of unloading, Sample 10% cylinders should be evaluated for Seal,
Weight, Body leaks, DPT (Pressure Testing Date) and same should be recorded in
the SQC Register (annexure)
2. If any leaky cylinder is found to be leaky or underweight or DPT Due, same should
be returned to the Bottling Plant in the same truck with proper remarks on the ERV
Paper and procedure as per the Market Return Policy (Detailed in subsequent
chapter)
b) Safety in transit – From Godown till Customer Premises

1. As per Gas Cylinders rule 2016, Schedule VI clause 1,

Transport of cylinders by vehicles: —

a) The cylinders filled with any compressed gas shall not be transported by a bicycle
or any other two wheeled mechanically propelled vehicle.
b) The cylinders shall be so transported as not to project in the horizontal plane be-
yond the sides or ends of the vehicle by which they are transported.
c) There shall be no sharp projections on the inside of the vehicle.
d) The cylinders shall be adequately secured to prevent their falling off the vehicle and
being subjected to rough handling, excessive shocks or local stresses.
e) The cylinders transported in vehicles shall be blocked or braced and be so secured
to prevent movement, striking each other or falling down.

3. All delivery vehicles, to be provided with an iron cage to transfer cylinders safely.
4. Cylinder to be loaded in the delivery vehicle after proper PDC checks and after en-
try of the details of the check and cylinder movement in the PDC register # and
movement register #.

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2.Safety in LPG

5. Cylinders shall be loaded transported for delivery in compliance with the MV act
#. Not more than 25 (14.2 Kg.) cylinders (350 Kg.) of LPG cylinders can be trans-
ported at a time in a vehicle which does not conform to the rules laid down by the
Chief Controller of Explosives, PESO. and Gas cylinder Rules, 2016.
6. A valid FC, RC, Insurance documents must be carried along with LPG delivery ve-
hicles.
7. The driver should carry a valid driving license along with Hazardous training en-
dorsement.
8. Portable fire extinguishers of capacity not less than 2 kg of DCP type to be posi-
tioned in delivery vehicles.
9. Rubber mat to be provided on iron platform of the delivery vehicles.
10. Emergency contact details to be painted on body of the delivery vehicles. #
11. Delivery boy to carry along with him Festo make PDI Kits or LERC approved PDI
Kits # for Quality check and Weigh scale with valid W&M certificate for weighment
check.
12. All drivers must be professionally trained & should have adequate knowledge of
LPG safety & capable of handling emergency condition.

c) Safety at Godown
1) Godown to always comply with the Godown Plan # and PESO Guidelines #
13. No alterations to be conducted in storage shed or surroundings without written
permission from PESO / CCOE.
14. Safety norms of PESO: Mastic flooring inside the Godown and pathway leading to
the Godown, Fire Extinguishers (DCP TYPE) – 2 nos. of BIS approved, Sand and
Water buckets – 4 Nos. each. Cross ventilation at floor and roof level, fitted with
brass mesh.
15. Regular checks as per SOP to be carried out for Fire extinguishers, so it is in oper-
ative condition at the time of exigency.
16. Rubber mat to be provided in sufficient numbers for safe unloading of cylinders
from the packed truck and for de stacking activities inside the Godown.
17. The storage shed and area surrounding should be kept clean and free from all flam-
mable materials, waste vegetation and rubbish.
18. Dimensions of Wicket Gate, Godown Boundary wall, Ventilators, Godown build-
ing, and all other structures in the Godown to match the Godown plan.

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2.Safety in LPG

19. No person should smoke or use mobile phones, carry match box, fuses within the
licensed premises of LPG Godown. The same should be painted on Godown walls
permanently in English and local language. #
20. Filled cylinders shall be stored vertically and not to be stacked more than 2 high.
21. Empty cylinders if stacked vertically, shall not be stacked more than 3 high and if
stacked horizontally shall not be stacked more than 5 high. All empty Cylinders
should have their safety caps properly fitted in godown.
22. At least 60 centimetres gangway to permit access and manoeuvring of cylinders
shall be left between stacks of single or double rows and between stacks and walls.
23. Any accident, explosion or untoward incident occurred within the licensed prem-
ises shall be immediately reported to CCOE, District Magistrate and nearest police
station.
24. Handling of LPG Cylinders at LPG Godown shall not be permitted between sunset
to sunrise, unless approved FLP electrical lighting is provided.
25. Defective, leaky cylinders to be segregated and stored separately with clear label-
ling. All such cylinders to be sent back to LPG plant immediately as per Market
Return procedure.
26. Approved Godown drawing, FORM-F from PESO, Insurance copy and Weights and
Measures stamping certificate for Weigh scale and dead weights to be framed and
displayed in Godown.
27. Soap water, Brass brush to be provided in Godown to check leaks.
28. Registers to be maintained at Godown: SQC Register, Godown Equipment Move-
ment Register, PDC Register, and Daily Stock Register (annexure)
29. Dead Weights with valid certificates and 10 grams least count electronic Platform
type weigh scale with valid certificate to be available at the Godown.
30. Always vents to be maintained clean and clear to allow free air circulation.
31. At any given time, empty or full cylinders not to be stored outside the licensed
premises.
32. Electrical or Telephone connections are not allowed at Godown, if necessary, they
need to be provided as per approved FLP fittings.
33. In case any cylinder is found to be body leak at the time of unloading, the cylinder
should be returned to the plant in the very next load with adequate safety and in-
formation to the driver to manage the cylinder safely.

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2.Safety in LPG

d) Domestic LPG Installation


1) All new LPG connections need to be installed at customer premises only by a
trained mechanic who has undergone Mechanic Training as defined in the me-
chanic training module #. Should never handover the LPG equipment to customer
and allow him to install on his own.
34. Prior to the installation of the connection, the mechanic should check the premises
as per the Pre-Installation Checklist # for safety. (annexure)
35. LPG NC Installation should be done in compliance with the pointers mentioned in
the LPG Installation Checklist #
36. A copy of installation checklist to be handed over to customer. The balance copy to
be filed in distributorship for future reference purpose.
37. Instruction Card (annexure) for safe usage of LPG Connection to be handed over
at the time of Installation of the connection.
38. Kids and elderly person should stay away while doing installation for safety rea-
sons.

e) Safety at Customer Premises

1. Pre-Delivery Inspection (PDI) for Cylinder Refill


a) Quantity & Quality Check- At the time of refill delivery at customer premises,
the delivery staff should conduct pre delivery inspection (PDI) # to ensure
proper quantity and quality. (Weight of the cylinder, DPT check O ring leak,
Valve leak, Bung Leak, Body leak, DPR functioning to be checked)
b) Cylinder Placement and Handling-
1.Cylinder to be placed in well-ventilated area inside the kitchen. Always keep away
from flammable material.
39. Always cylinder to be positioned vertically. Hot plate to be provided one foot above
the cylinder’s height. Never to use cylinder in horizontal position as there is a
chance of liquid LPG gushing out.
40. Place the Delrin cap on empty or full spare cylinder, when not connected to DPR.
c) Usage guidelines:
41. Never attempt to repair LPG cylinder or DPR at any point of time. Consumer must
contact 1906 in case of any leakage related matter.

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2.Safety in LPG

42. After completion of cooking activities and during night times, regulator (DPR)
knob must be switched off.
43. Loose clothes must not be worn while cooking. Customers should be also advised
to wear safety non-flammable apron during cooking.
44. Hot plate must not be placed at place, where wind flow is directed on to burners.
Flame may put off and can lead to accumulation of the diffused LPG, resulting into
an accident.
45. Always insist to use only Suraksha hose, to avoid LPG leakages.
d) LPG Leakage Protocol
46. Switch off regulator in case of LPG leakage.
47. In case of LPG Leak, please put off all open / naked flames like, sigree, agarbattis.
48. Please do not put off or put on electrical switches in case of LPG leak, which may
generate spark, and lead to explosion.
49. Customers must be advised to keep all windows and doors open in case of LPG leak
to clear the LPG vapours.
50. Customer must be educated on Suraksha ke panchmantra #

f) Mandatory Inspections / Safety Checks


1) A mandatory inspection # of every domestic LPG installation must be conducted
once in every five years as per the recommendation of the Sudha Joshi Committee
to ensure safety of Domestic LPG Installation or as per the guidelines/instructions
in vogue.
51. The mechanic shall reach customers premise as per appointment and shall follow
the below procedure for conducting the mandatory inspection.

i. Knock the door & greet the customer with “Namaste Bharatgas” and show
his Identity Card/Letter from Distributor
ii. Conduct inspection of the installation as per standard checklist & discuss
about the shortcomings with the consumer / family member.
iii. On customer’s permission, conduct necessary repairs if any. Ensure the
shortcoming is addressed before leaving customer’s premises.
iv. Replace Suraksha hose if due. Replace green rubber tube or other non-
standard tube with Suraksha hose.
v. Conduct Safety Training as per the NC Instructions Card.

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2.Safety in LPG

vi. Fill up the format & obtain the signatures.


vii. Place Safety Sticker #
viii. Take a photograph of the Domestic Installation
ix. Prepare bill for mandatory inspection & other charges, if any & obtain the
signature of the consumer / family member.
x. Collect payment & return change (if applicable).
xi. Handover copy of inspection report & bill to the consumer / family member.

52. If the inspection is conducted using the LMA App / SalesBuddy, date should be
correctly uploaded on the Application.
53. The hard copy of the Mandatory Inspection and the cash memo should be handed
over by the mechanic to the office and the office staff must give the input in the
Econnect Portal. Office staff to file the Mandatory Inspection Forms and the Cash
memo for future verification.

g) Emergency Service Cell


1) Presently two emergency contact numbers are available Smartline number (1800
224 344) and 1906. Complaints filed on these numbers are taken forward for com-
plete closure by the call centre agents.
54. The process flow of the ESC / 1906 is as under: -

i. Upon receipt of the Leakage complaint, the Agent creates a Complaint ID


ii. The Agent then connects with the Mechanic. In case the mechanic does not
take call, the Agent tries the next mechanic, Distributor, Sales Officer, Ter-
ritory Manager in sequence.
iii. The complaint must be attended by and closed in 30 minutes.
iv. After 30 minutes the Agent again cross checks the closure with the con-
sumer.
v. In case the agent does not get a successful closure, the agent repeats the loop
as stated in point b above.

vi. Distributor emergency contact no can be updated from SAP – ZCMA or


econnect portal.

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2.Safety in LPG

55. Emergency service cell details to be displayed in LPG Showroom / DGCC / Cash
Memo / Delivery Vehicles
56. Sales officer to ensure that mobile numbers of Mechanics, Distributors, Sales of-
ficer is properly mapped in in 1906 and Smartline (1800 224 344). Procedure of
mapping mobile numbers of Mechanic / Distributors / Officers refer (Refer ESC
for procedure to update the phone numbers)

h) Safety Awareness Through Safety Clinics


1) The purpose of Safety Clinics is to educate the new and existing LPG consumers on
safe practices of LPG usage dos and Do nots, emergency preparedness in case of
LPG leak at customer premises. Conservative Tips on LPG usage also can be part
of safety clinic.
57. Safety clinic to be conducted every month by distributors. Preferably at different
location each month with separate set of participants. It is expected that at least 30
participants attend the safety clinic. Model LPG Installation to be displayed at the
safety clinic.
58. Safety clinics to be conducted so that 4% of the consumers gets covered in a year
or as directed by competent authority.
59. All the safety clinics conducted by the distributors to be recorded in Sales Buddy so
that proper documentation for future reference may be generated.
60. All distributors observe 'Bharatgas Safety Day' on the 21st of every month to pro-
mote safety awareness among their customers apart from the Distributor, Sales Of-
ficer to also attend one safety clinic in each month. It is preferable that the Safety
Clinic in which the SO participates should be organized in an improved organized
manner. It should have – seating arrangement, tents, AV equipment, HOT Plate
demonstration setup, demo cut cylinder, SC Valve, transparent jar connected with
DPR and Suraksha hose.
61. Topics to cover in safety clinic: -

i. Brief about Bharat Petroleum and Bharatgas


ii. LPG properties
iii. ICE (In Case of Emergency) - Suraksha ke Panch Mantra
iv. Demo of proper installation of LPG cylinder and HOT plate.
v. Handover safety instruction cards to all the participants

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2.Safety in LPG

62. Conduct a small quiz program to assess the learning by the audience. Reward them
with small gifts.
63. Each distributor to maintain the details of the safety clinics conducted in a safety
clinic register.
64. Each distributor has to go to their econnect portal, access option of Safety Clinic
under My applications and update safety clinic details along with photograph.

65. Further sales officer approves in Sales buddy portal under LPG events.

Sales buddy > LPG Event for SO

Econnect portal > my application > safety clinic for Distributors

i) Do’s and Do Not’s in Case of LPG Leakage


1) Switch off regulator and Hot plate knob.
66. Put off all live / naked flames in House.
67. Do not Touch electrical switches and appliances.

68. Body leak of cylinder can be identified by Ice formation / Sweating


or hissing sound in case of leakage from valve or bung of cylinder.
69. Open to doors and windows to dissipate LPG vapours (Do not open Doors with
electrical / remote operating mechanisms)
70. Do not carry any repairs of Hotplate / Cylinder on own.
71. Contact emergency service cell 1906 immediately and wait for further assistance.
72. Assigned / Allocated mechanic to visit the consumer within 30 minutes time to
attend the LPG leakage complaint.
73. If you suspect a major leak or smell gas, evacuate the area immediately and stay
outside until professionals arrive to assess and fix the situation.
74. Alert family members or anyone nearby about the leak and evacuate the premises
calmly to avoid any harm or confusion.
75. In case of any accident, it must be immediately reported in writing by the distribu-
tor to the sales officer. Refer procedure on Accident handling in subsequent Chap-
ters

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3. Network Expansion

Chapter: Network Expansion

Network Expansion- Domestic

Network (LPG Distributorship) expansion for the corporation is required for several
reasons:

1) Business Expansion: LPG companies appoint distributors to expand their busi-


ness reach and increase distribution coverage. By appointing distributors, they can
serve a larger customer base and reach remote or underserved areas.
2. Efficient Supply Chain: Distributors play a crucial role in the LPG supply chain.
They ensure smooth and timely distribution of LPG cylinders to consumers, busi-
nesses, and other end-users. The appointment process ensures that distributors
are selected based on their capabilities, infrastructure, and ability to efficiently
manage and distribute LPG.
3. Regulatory Compliance: The appointment process ensures that distributors
comply with applicable laws, regulations, and safety standards. It helps confirm
that the distributors have the necessary licenses, permits, and certifications re-
quired to operate an LPG distribution business. This ensures the safety of both the
distributor and the end-users.
4. Branding and Marketing: OMCs appoint distributors to represent their brand
and promote their products in specific territories. The appointment process in-
cludes discussing marketing strategies, promotional activities, and brand guide-
lines to ensure consistent branding and messaging across various locations.
5. Financial Stability: The appointment process helps OMCs assess the financial
stability and capability of potential distributors. This is important to ensure that
the distributor has the necessary financial resources to invest in infrastructure,
equipment, and workforce required to operate efficiently.
6. Business Partnership: The appointment process is an opportunity for both the
OMCs and the distributor to establish a mutually beneficial business relationship.
It allows for discussions on terms, conditions, expectations, and any specific re-
quirements from either party.
7. Overall, the appointment process exists to ensure effective and responsible distri-
bution of LPG cylinders, maintain compliance with regulations, and foster a suc-
cessful partnership between the OMCs and the distributor.

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3. Network Expansion

Distributorship Appointment Process

Some aspects of the distributor selection process are reproduced here for general in-
formation. For specific information or when carrying out Distributor selection / Ap-
pointment, please refer to USG #.

1) IDENTIFICATION OF LOCATIONS

New distributorship locations for setting up of LPG distributorships (Sheheri


Vitrak, Rurban Vitrak, Gramin Vitrak and Durgam Kshetriya Vitrak) will be iden-
tified based on the available refill sale potential (for 14.2 kg cylinders) that can
sustain economically viable operations of LPG distributorships that will also be
based on data mining involving features of a particular geographical area and its
demographic profile.

The refill sale potential will be based on several factors including population, pop-
ulation growth rate, economic prosperity of the location, proposal of PNG in that
GA (Geographical Area) and the distance from the existing nearest distributor.

In selecting locations, input will also be taken from State Governments/ Local Ad-
ministration/ Public Representatives. To the extent possible new LPG Distributor-
ships must be planned in Locations either of a virgin market or an existing market.
For Finalizing the locations, all the OMCs area officers prepare feasibility of the
locations as per the Feasibility Report Format #. If found feasible the locations are
reviewed by Territory Managers and sent for Rostering.

2. ROSTERING OF LOCATIONS

For each State three rosters shall be prepared - one for Sheheri Vitrak and Rurban
Vitrak, one for Gramin Vitrak and one for Durgam Kshetriya Vitrak (DKV)

3. COMMON ELIGIBILITY CRITERIA


4. Eligibility criteria to be confirmed from USG applicable at that time. ADVERTISE-
MENT

Selection for LPG Distributorship will be done by inviting applications through


capsule advertisements. Capsule advertisements should be published in three
Daily newspapers, one having highest circulation in the state and two having high-
est circulation in the district or as advised by competent authority.

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3. Network Expansion

5. APPLICATION

All the applications will be accepted through online mode.

6. DRAW OF LOTS
Currently, draw of lots is through online mode, however it is subjected to USG/in-
structions from competent authority.

vii.

7. FIELD VERIFICATION OF CREDENTIALS (FVC) #


FVC to be strictly carried out as per USG, various IRN, DRA applicable and various
instructions given by competent authority.
8. LETTER OF INTENT (LOI)

LOI to be issued to the selected candidate based on FVC as per DRA applicable.

Extension of LOI: Field Officer should maintain a constant follow up with


the selected applicant for timely commissioning of the LPG Distributorship
and provide guidance to complete the formalities as stipulated in the LOI. If
no progress is made by the distributor select within the period of 4 months,
action should be taken to withdraw the LOI as per procedure, however let-
ters must be issued by the territory before withdrawal. In case where the
Distributor select has made sufficient progress but due to certain genuine
difficulties it has not been possible for him/her to fulfil the conditions laid
down in the LOI within 4 months, in such cases Territory to act as per DRA
applicable .Withdrawal of LOI: In cases selected candidate is unable to
develop facilities within the specified time or due to nonfulfillment of terms
& conditions of LOI by the LOI holder, or is not available or not responding,
then / Territory / should send a letter (in the form of show cause notice) by
Regd. AD / Speed Post to the selected candidate calling for explanation
within 7 days from receipt of letter. Based on the reply from the selected
candidate, if any, the Territory / Office should put up a note for withdrawal
of LOI or extension of LOI as per DRA applicable.

viii. Period for selection: Efforts should be made to complete the selection
of distributor and issue LOI within a period of 120 days from the date of
advertisement. For Single Eligible Candidate, the time will be 90 days.

9. SECURITY DEPOSIT

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3. Network Expansion

Security deposit to be collected as per USG applicable.

Immediate posting of Security deposit to be ensured in Special GL of the distributor to avoid


any misuse of SD.

10. COMMISSIONING OF LPG DISTRIBUTORSHIP

A candidate who has been given the ‘Letter of Intent’ (LOI) would be required to
fulfil the terms and conditions as contained therein, to commission the distribu-
torship within the stipulated time (four months from the date of issuance). The
selected candidate would be given training and must clear pre-commissioning
quiz/test by scoring qualifying marks that is 80%.

11. TENURE OF DISTRIBUTORSHIP

The tenure of the Distributorship is for an initial period of 10 years and renewable
every 5 years thereafter.

12. RE-ADVERTISEMENT OF LOCATIONS

Locations should be re-advertised in the following cases:

i. In case after the first advertisement, no candidate has applied or no candi-


date meets the eligibility criteria or there are no applicants left for draw for
any of the reserved category locations, then the location should be de-cate-
gorized as mentioned in Para for De categorization/ Re rostering and should
be re-advertised under ‘Open’ category in the next round of advertisement
with the approval of LPG Head of the State / Region / Zonal office.
ii. If, distributor is terminated after 1 year of commissioning, then the location
should be readvertised in the same category.
iii. Re-advertisements are to be published preferably on industry basis, in the
same newspapers in which the original advertisements were published.

13. RETENTION OF FILES AND RECORDS

The entire record including video recording in a CD duly labelled pertaining to se-
lection will be preserved for a minimum period of one year from the date of first
commissioning of distributorship. The application of the selected candidate should
be permanently maintained in record along with FVC, LOI, LOA and LPG Distrib-
utorship / Dealership agreement. In the case of complaint / court cases, all the
records should be preserved for a minimum period of three years from the date of
final disposal of complaint / court case.

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3. Network Expansion

Type of Distributorships:

i. ‘Sheheri Vitrak’: In the guidelines, the word ‘Urban Area’ will have the
definition of ‘Urban’ as per Census 2011. LPG Distributorships located in
‘Urban Area(U)’ will service the LPG Customers located within the Mu-
nicipal Limits of the Metro city/City/Town and will be called Sheheri
Vitrak.

ii. ‘Rurban Vitrak’: In the guidelines, the word Rural Urban means LPG Dis-
tributor located in ‘Urban Area’ and providing service to the LPG Customers
in specified ‘Rural Area,’ covering all villages falling within 15 km from the
municipal limits of the LPG distributorship location and or the area speci-
fied by the respective OMCs. LPG Distributors servicing this area will be
called Rurban Vitrak.

iii. ‘Gramin Vitrak’: In the guidelines, the word ‘Rural Area’ will have the
definition of ‘Rural’ as per Census 2011. LPG Distributorship located in ‘Ru-
ral Area’ will be called as Gramin Vitrak and will service the LPG Custom-
ers of the specified rural area. It will cover all villages falling within 15 km
from the boundary limits of the LPG Distributorship location and or the area
specified by the respective OMCs.

iv. Durgam Kshetriya Vitrak (DKV): LPG distributorships in Difficult and


Special Areas (like Hilly regions, Forests area, Tribal inhabited area,
sparsely populated, disturbed area, islands, Left Wing Extremism (LWE) af-
fected areas) will be set up were setting up of Gramin and Rurban Vitrak are
not feasible. Such LPG Distributors will be called as Durgam Kshetriya
Vitrak (DKV). They will service the LPG customers situated in such DKV
areas as specified by the respective OMCs.

Table 3.1 – Refill Ceiling Limit and Refill Sale for Feasibility limit

Refill
Ceil- Refill Sale per
Type of Dis-
Population as per census ing month
tributorship
2011 Limit for Feasibility
area
per limit
month
Cities with population > 40
20,000 10,000
lakh
Sheheri Cities with 20 to 40 lakh pop-
15,000 7,500
Vitrak ulation
Cities with 10 to 20 lakh pop-
12,000 6,000
ulation

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3. Network Expansion

Rurban Towns with < 10 lakh popula-


10,000 5,000
Vitrak tion
Gramin
Village / Cluster of villages 5,000 2,500
Vitrak
Durgam
Kshetriya Village / Cluster of villages 1,500 600
Vitrak

RTKM Verification Process

The RTKM of Distributors to be certified as per the format given below for one
mail and two alternate supply plants. The shortest motorable route must be taken
for recording RTKM. Revision of RTKM may be necessary in case it is observed
that the RTKM maintained in SAP has variation more than 5% from the Transport
RTKM as observed from the VTS readings. RTKM must be maintained in SAP and
for the First Slab, the Transport RTKM must be maintained as “1”.

Sample format for RTKM of two distributors

RTKM CERTIFICATE, 28.01.2022


RTKM Update from 3402 - Uran LPG Bottling Plant, Uran, Raigad, Maharash-
tra
Lati-
tude: 18.873909 Longitude: 72.976879
Dis- one- Toll
Go- Lo
tribu- Lat way Lo-
down ngi ASP / RTK
tor itu Route Dis- cat-
Loca- tud MSP M
Name, de tanc ion Toll
tion e
cc e Rs.
BAS- Plant – X-Y-Z 22.4 44.8
SEIN Near Z-A-B-Godown 10.5 21
AGRI. Nirmal 19.3 72.
MUL. Lake, 427 84 MSP NA 0
CO- Nirmal, 92 029
OP., Vasai
112268 RTKM TOTAL 178
Hawa Plant – X-Y-Z 22.4 44.8
SAIRAJ
pada, Z-A-B-Godown 22 44
GAS 19.4 72.
Ever
AGENC 204 850 MSP NA 0
shine
Y, 6 83
City, Va-
124335
sai RTKM TOTAL 161

XXXXX
X XXXXXX XXXXXXXX XXXXXXX

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3. Network Expansion

Designa-
tion of
Designation of Ops. Of-
Sales Officer ficer Plant Manager Territory Manager
Alternate format.

Pre-Commissioning Procedure

Sales Officer plays a vital role in the commissioning of the distributorship. After the
LOI is issued to the candidate selected, the LOI holder should fulfil the terms and con-
ditions as mentioned in the LOI within a stipulated time-period, which must be mon-
itored by the sales Officer.

The selected candidate is required to be given training (both theoretical and hands-
on) before he is called for the written test. It is the responsibility of the sales officer to
train the candidate selected for all the processes and procedures pertaining to the dis-
tributorship operations.

Documents to be collected from selected Candidate:

1. Passport size photographs (of all partners) –for pasting on Agreement


2. Copy of Pan card
3. Copy Sales Tax registration certificate/TAN registration
4. All local approvals (Municipal corporation etc
5. Copy of LPG packed Dealer policy (Minimum coverage for third party
claim should be Rs 10 Lac)
6. Copy of TDS declaration as per the format shared
7. Copy of Explosives License
8. Copy of W&M license

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3. Network Expansion

9. LAT / LONG of distributorship


10. Bank account details with copy of cancelled cheque for verification
11. All other documents as mentioned in the checklist
Pre- customer code creation jobs:

1. RTKM certificate for Main Supply Plant and two alternate supply Plants.
2. Identification and distance of the nearest BPC and other OMC Bottling
plant for DRC (Pricing)
3. RSPs of the nearby markets.
4. Training of the LOI Holder. Training on Econnect and Training on Dis-
tributorship operations
Customer Creation:

In ZCMA (Customer master’s Application – As Sold-To-Party, 3000/10/31), a new


customer creation request is put with the details above.

1. The distances of Main Supply Plant (MSP) and two alternate supply
plants (ASP) is mentioned in SCM part of the customer creation.
2. The address of the distributor should be the address as per the GST Reg-
istration certificate, in addition to this, Sales officer must ensure that the
Address is same as the physical showroom and that in turn should match
the address mentioned in the LOI.
3. Sales officer to also ensure that the address at which the Godown is con-
structed is matching with the PESO License and the LOI.
4. The Pan card, TAN, PESO certificate and RTKM certificate are uploaded-
(as applicable).
5. Once, the customer code is created by SAP experts, a DRC request is put
for the newly created customer code, mentioning the distances of the ex-
isting market from the nearest BPC bottling plant and other OMC bot-
tling plant and other details thereof. This is required to maintain the
pricing of various products to be supplied to the new distributor.
6. The customer is then made LIVE in LPG Next in Stock accounting link of
the customer.
7. The distributorship address is updated in LPGNext.
8. The password is created for external facing portal (Econnect) for
LPGNext and LPGOne applications of the new distributor in
https://econnect.bpcl.in.

Procedure prior to commissioning of distributorship:

1. Pre-Commissioning Quiz#
2. Distributor E-MAIL ID creation#
3. Amount for 1st Load & DGCC to be collected from LOI holder
4. Security deposit amount to be collected (As applicable; FVC amount ad-
justed against this amount)
5. DD for one time advance for SV-TV DTN (Rs. 30000 for RGGLV and Rs.
45000 for regular)
6. Customer Code Creation

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3. Network Expansion

7. Pre-Commissioning Checklist#
8. Letter of Appointment #
9. Distributorship Agreement#
10. Service Level Agreement must be signed at the time of commissioning #
11. Service level Agreement#
12. Customer / DRC creation in SAP using ZCMA (T-CODE) and
13. Activation of E-Connect portal

Distributorship Agreement: -

We have two Distributorship Agreement for two classes of distributorships, Domestic


(Regular distributorship) and non-Domestic.

The distributorship agreement is signed at the time of Appointment of Distributorship.


The process of Appointment of distributorship is detailed in the section: - Appoint-
ment of distributorship.

Process / Details for Distributorship Agreement: -

1) The Agreement for Regular Distributorship is made for a period of 10 years initially
and is later renewed for a period of every 5 years. The Agreement for Non-Domestic
Distributorship is initially made for a period of 5 years, renewable every 5 years.
2. The agreement is signed by all the signatories of the distributorship, Territory
Manager, and witnesses from both the sides – Corporation and Distributorship.
The term signatory referred here is the person who was issued LOI, or partners /
proprietors inducted into the distributorship by way of Reconstitution.
3. Area of operation is defined in the agreement.
4. Refundable security deposit as applicable as defined in the USG/Non-Domestic
Distributorship Guideline must be taken at the time of signing of the agreement for
the first time.
5. Renewal of the distributorship agreement must be done after evaluating the dis-
tributorship performance as per the Distributorship Evaluation Report format #
6. Photograph of the signatory to be pasted on the Agreement- It is necessary.
7. Every page of the distributorship Agreement to be signed, in case anything is writ-
ten in ink anywhere, the same should also be attested by all the individuals signing
the agreement.
8. In case operating area map is attached then the same should be signed by the sig-
natory
9. The renewal must be done before the expiry of the distributorship Agreement.

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3. Network Expansion

10. It must be ensured that LP Gas Manual, Service Level Agreement is also signed as
applicable and is handed over to the distributor at the time of Commissioning /
Renewal.
11. In case of subsequent induction of a partner, the validity of period of the Agreement
will be for the balance period only and not another ten years/five years.
12. Sales force must go through all the clauses/subclauses/ addendum/of the distrib-
utorship agreements.
13. Arbitration clause has been changed and sales officer/Territory to ensure that
clause of arbitration has been signed by proprietor/partner and TM.

For example

Initial Agreement dated 01.01.2003

After induction of partner with Reconstitution and signing of Fresh Agreement


dated 01.05.2012.

Validity of the fresh Agreement will be for balance period i.e., from the date of fresh
agreement up to the balance period date 31.12.2012.

14. The Relationships Between Customer, Distributor & OMCs: Distributor is ap-
pointed by OMCs on “Principal to Principal basis”. Distributor is responsible for all
business and dealings with the OMCs customer. The customer is enrolled by the
Distributor on behalf of OMC. The Subscription Voucher is signed by the customer
and is also required to be signed by the distributor on behalf of Corporation. The
terms and conditions of the contract are printed on the Subscription Voucher.
OMCs are at a liberty to service its customer through any Distributor. The cylinder
and regulator are provided against deposit and hence they are given on loan to cus-
tomer (Other than FTL equipment) by the Oil Company through the distributor.

Service Level Agreement: #

In addition to the Distributorship agreement, the corporation must sign a Service


Level Agreement with the distributors to incorporate other essentials in infrastructure
to be maintained at the distributors.

The service level agreement is stated below for ready reference.

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3. Network Expansion

Ref. No. Date:

To,
M/s.______________
Bharatgas Distributors
__________________

Dear Shri/Smt.

Subject: Customer Satisfaction through Enhanced Service Levels

The revised distributor commission on LPG cylinders has been approved based on the
De Novo study by the Government on 5.10.2012. The increase in the commission has
been approved with the understanding that the distributors will deliver the desired
level of Customer Service hereafter.

The normative establishment and delivery costs have been factored in the compensa-
tion considering different markets and refill sales ranges with the view to achieve the
above objective. Accordingly, the norms applicable to your distributorship are as be-
low:

1. Distributors should place sufficient indents for filled cylinder at Bottling Plants of
OMCs and should also remit adequate funds for the supplies timely through RTGS
to enable plants to dispatch the loads promptly.
2. Timely supplies with home delivery of LPG cylinders to customers are considered
the most critical activity in the entire chain of LPG marketing. This needs to be
strengthened to ensure delivery of LPG cylinders of right quality, quantity, and
time to the genuine customer. Accordingly, adequate delivery infrastructure and
trained workforce needs to be in place to achieve this objective.
3. Considering the market size, customer strength & refill sales, the infrastructure re-
quired to be provided for your distributorship is as below:

Popula- Population
Popula-
Particu- tion > 20 >10 to Population <=10
tion >
Sr. lars to <= 40 <=20 lakhs
40 lakhs
No. lakhs lakhs
Refill Sale 12500 10500 7500 3600 2900 1150
RTKM 30 25 20 5 20 30
Mini truck
1 capacity 1 1 0 0 0 0
124 cyl
Auto / rick-
2 shaws cap 3 2 2 0 2 1
28 cyl
Tricycles
3 capacity to 7 6 6 4 0 0
cyl.

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3. Network Expansion

Capacity
Sr. Type of deliv- in cylin- No. of Trips
No. of Trips Driver
No. ery vehicle der per Delivery boys
trip
Mini truck ca-
1 124 1 3 1
pacity 124 cyl
Auto / rick-
2 shaws cap 28 28 2 1 1
cyl
Tricycles capac-
3 10 3 1 0
ity to cyl.
As applicable to the distributor, considering type of market & refill sales
volume, only to be mentioned in the letter.

4. Safety equipment at LPG storage godown and showroom should be provided as per
the statutory requirement and maintained in good working condition. The Distrib-
utor and staff should be fully trained in handling and operating this equipment.

5. Workforce requirement (As applicable to distributor)


The following workforce is required to run the established (other than DKV).

a. Manager
b. Cashier / Accountant (Part time)
c. One booking clerk (show room staff) for every 4000-cylinder sale per month.
The person should be well conversant with computer operations to carryout
transaction on the computer, website, extract reports, view data on internet,
Transparency Portal, etc.
d. One Mechanic for every 4000 customers.
e. One godown keeper
f. One watch and ward staff
g. Five delivery boys for every 4000-cylinder sale per month
h. Driver for delivery vehicles.

6. Distributor will make arrangements to address emergency calls both during work-
ing hours as well as after working hours. Accordingly, each distributor must have a
mobile number which should be intimated to all customers of the distributorship.
This mobile number must never be changed.

It should be noted that the commission includes a recoverable component of ₹0.32


per cylinder plus GST for the IVRS/SMS facility. Summarize, our expectations
from you as a Bharatgas distributor are broadly enumerated below:

a. Employ adequate staff to address customers.


b. Staff must wear uniform while on duty and carry Identity Card.
c. Maintain adequate no. of telephones and in working order to address customer
calls.
d. Have a mechanic available on call to address emergencies on 24 x 7 basis and
the mobile number of the mechanic to be given due publicity.
e. Ensure availability of adequate stock of filled cylinders by placing timely in-
dents and payments for timely supplies.

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3. Network Expansion

f. Ensure availability of adequate delivery infrastructure and delivery people for


timely home delivery of refills.
g. Ensure prompt delivery of refills to customers within 48 hours based on refill
orders received.
h. Follow all statutory rules and regulations in connections with storage and sale.
i. All delivery boys must carry FESTO leak detection kit and calibrated portable
weighing scale and weigh the cylinder in the presence of the customer. Pre-de-
livery inspection at customer premises (at godown in case of RGGLV) at the
time of refill delivery is necessary.
j. Should abstain from all prohibited activities that attract punitive action under
Marketing Discipline guidelines.

In consideration of the above, you are advised to review the infrastructure; workforce
as well as working capital presently deployed and make good the shortfall if any within
a period of one month from the date of receipt of this letter. Our Field Officer
will also be reviewing the same during his visits to your distributorship to confirm
compliance.

You are aware that your performance as a Bharatgas distributor will be appraised on
the above parameters. Any deviation from the above will reflect poorly on the perfor-
mance of your distributorship and the terms of agreement.

In case of you need any clarification; you are free to call on our Field Officer or this
office.

Please acknowledge receipt and understanding of this letter.

Thanking you,

Yours faithfully,

for Bharat Petroleum Corporation Ltd.,

Territory Manager (LPG)

ACKNOWLEDGEMENT

To,

Territory Manager,

_____________.

I, Shri / Smt. / Ms. ______________________________ Proprietor / Partner /


Authorised Signatory (in case of other distributors viz. Project Distributorships / Co-
op. Society etc.) of M/s.__________
______________________________________ (SAP Code __________),

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3. Network Expansion

hereby acknowledge receipt of your letter No.


____________________________dated ____________ and confirm under-
standing of its contents.

Signature:

Name of Proprietor / Partner / Authorised Signatory

Stamp of the Distributorship

Place :

Date :

Reconstitution

Definition: Reconstitution is the process for any change in the name of signatory to
the distributorship. By way of reconstitution a distributor changes from Proprietorship
to Partnership or vice versa, existing partners / proprietor may choose to resign, or
new partner / proprietor may join the distributorship.

Allowed cases: -

Reconstitution is allowed at LOI stage, after the commissioning of the distributorship


or during suspension of a distributorship. It is applicable for both Domestic and Non-
Domestic distributors. It is allowed for distributorships appointed under all catego-
ries: - Individual / Non-Individual / Institution / Company.

For complete details on the process and step by step procedure for reconstitution of
distributorship, please refer to the reconstitution policy.

Broad Roles and Responsibilities of Territory, steps in the reconstitution process: -

1) Distributor creates request for reconstitution in the Econnect Portal and submits
hard copies of the documents at the Territory Office
2. Upon receipt of the online request and the physical documents, Territory Manager
confirms the receipt and creates a Reconstitution Scrutiny Committee (RSC) in the
Iconnect portal. In case Hard copy is not received, TM rejects the proposal in the

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Portal after giving the applicant due opportunity. In case document is received in
Hard copy without receipt of the request in Econnect, the proposal must be retuned
back to the distributor with covering letter stating that the proposal was not given
in the Econnect Portal.
3. In case the RSC is formed, the committee with submit its RSC report# report to the
Territory Manager, who will in turn act as suitable – Approval / Rejection / Review
by distributor / Forward the proposal to Region/State for Approval – As applicable.
In case the proposal is found fit, Interview shall be conducted with the existing
partners / proprietor and all incoming candidates.
4. On the day of Interview, entire proceedings of the interview shall be recorded, pho-
tographs shall be taken, and the Interview committee shall file its report# for either
approval or rejection of the proposal.
5. In case of approval, in principle approval letter # shall be given to the candidate
giving him timeline to submit the documents for the required changes in agree-
ment, other statutory documents.
6. The reconstitution of the distributor shall be complete with the fresh agreement.

Regularization of Distributorship in Case of RGGLV

Case 1: Spouse of LOI Holder Not Willing to Continue in the Distributor-


ship

If the spouse of the Letter of Intent (LOI) holder is unwilling to continue in the
distributorship for any reason, the following process should be followed:

1. Written Declaration:

o The partners must submit a written declaration to Indane Divi-


sion/BPC Territory/HPC Region In-Charge regarding their intent
to regularize the distributorship as a proprietorship with the LOI
holder as the sole proprietor.

o The declaration should be accompanied by proof of the spouse being


a bona fide member at the time of LOI issuance and at the present
date.

2. Verification & Meeting:

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o The Indane Division/BPC Territory/HPC Region In-Charge will


arrange a meeting with both partners and the concerned Field Officer to
verify the declaration.

o A Minutes of Meeting (MOM) will be prepared and signed by all at-


tendees.

o Both partners must affix their photographs on the MOM.

3. Indemnity Undertaking:

o The outgoing partner (spouse of the LOI holder) must submit a


legally binding undertaking, indemnifying the Oil Marketing Com-
panies (OMCs) against any future claims.

o The indemnity must be in the standard format prescribed by


OMCs.

4. Fresh Agreement:

o A new agreement will be signed between the LOI holder (now the
sole proprietor) and the OMCs.

5. Fee Waiver:

o No application fees or reconstitution fees will be collected for this


change.

Case 2: Spouse of LOI Holder Willing to Continue in the Distributorship

If the spouse of the LOI holder wishes to continue in the distributorship, the follow-
ing steps should be taken:

1. Written Declaration:

o The partners must submit a written request to Indane Divi-


sion/BPC Territory/HPC Region In-Charge, stating their intent to reg-
ularize the distributorship as a partnership.

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3. Network Expansion

o The request should include proof that the spouse was a bona fide
member at the time of LOI issuance and at the present date.

2. Verification & Meeting:

o The Indane Division/BPC Territory/HPC Region In-Charge will


arrange a meeting with both partners and the concerned Field Officer to
verify the request.

o A Minutes of Meeting (MOM) will be prepared and signed by all pre-


sent.

o Both partners must affix their photographs on the MOM.

3. Submission of Legal Documents:

o The partners must submit all necessary legal and statutory docu-
ments within 60 days, including:

 Registered Partnership Deed

 GST Registration

 PAN Card

 Explosive License

 Bank Account Details

 Income Tax Returns, etc.

o If required, the Indane Division/BPC Territory/HPC Region In-


Charge may grant an extension on a case-to-case basis.

4. Indemnity Undertaking:

o The partners must submit a legally binding undertaking, indemnifying


the OMCs against any future claims.

o The indemnity must be in the standard format prescribed by


OMCs.

5. Fresh Agreement:

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3. Network Expansion

o A new agreement will be signed between the partners and OMCs.

6. Fee Waiver:

No application fees or reconstitution fees will be collected

Restructuring of Distributorship:

Until a few years back, distributor restructuring was done sometimes based on Indus-
try decisions. Restructuring of distributors was the process by way of which markets
in which distributors exceeded 75% their sales were examined for potential analysis
for scope for advertisement in line with the policy that were released from time to time.

As per USG, to ensure an efficient and demand-based expansion of LPG distributor-


ships, the restructuring of existing distributorship categories including Sheheri Vitrak,
Rurban Vitrak, Gramin Vitrak, and Durgam Kshetriya Vitrak will be planned only
when the refill sales exceed 50% of the refill ceiling limit of the market.

The market refill ceiling limit is the maximum number of the domestic refill sales stip-
ulated for LPG Distributorships and based on the market. Market Ceiling Limit and
the Feasibility (Viability ) Norm for different types of Distributorship Area is proposed
below:

Type of
Proposed Viability norms for customer transfer for
Distribu-
Post-USG distributors
tor
Towns / Popu-
Ceiling protec-
lation (based
tion for donor
on census)
Post USG Ceiling limit Viability limit distributor @
100 % of ceiling
limit
Cities / Towns
with population of Shehri
20000 10000 20000
40 lakhs and Vitrak
above
Towns with 20
Shehri
lakhs to 40 lakhs 15000 7500 15000
Vitrak
population
Towns with 10
Shehri
lakhs to 20 lakhs 12000 6000 12000
Vitrak
population
Towns upto 10 Rurban
10000 5000 10000
lakhs population Vitrak
Gramin
Gramin 5000 2500 5000
Vitrak
will not be a do-
DKV DKV 1500 600
nor

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3. Network Expansion

Note: As per MOPNG letter dated 21.01.2025, above refill ceiling limits shall be applicable
for all LPG distributorships. These ceiling limits shall also apply for the market restruc-
turing exercise for which OMCs shall issue a suitable restructuring policy from time to
time

Presently no restructuring is proposed. Restructuring of Distributorship to be done


based on the broad instructions of competent authority.

Showroom / Godown Change:

Showroom and Godown change of Distributorship is permitted under fulfilment of es-


sential conditions. The policy for the change of Godown and showroom was framed by
Industry.

The conditions required to be satisfied for the approval of change of showroom / Go-
down is as under: -

1) The proposed land for Showroom / Godown should satisfy the extant USG.
2. Proposal for the change is on the below grounds: -

i. The existing premises is acquired / seized by virtue of acts / ordinance by


authorities such as NHAI / State / Central government.
ii. The lease is about to expire, and the present lessor is unwilling to extend the
lease
iii. Enhances safety / security.
iv. Better title (Leased to owned)
v. More convenient location
vi. Size Augmentation

3. Corporation should not incur any additional cost due to the change in the show-
room / godown.

Other modalities: -

1) Changes for distributorships with age less or equal to 15 years: The proposed prop-
erty should either be owned or should be leased for minimum period of balance
period of 15 years of 5 years, whichever is higher.

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3. Network Expansion

2. Changes for distributorships with age more than 15 years: The proposed property
should either be owned or should be leased for minimum period of 5 years.
Note: for areas covered under CNT Act 1908, lease period of 4 years and 11
months shall be accepted.

Process for the change of land for showroom / Godown.

1) Distributor puts up requests in writing to Territory Office for the change of show-
room / Godown
2. Territory Manager constitutes FVC committee to verify the credentials of the pro-
posed land.
3. FVC committee reports back to TM with the report # confirming the suitability of
the offered land and its qualification / disqualification remarks.
4. If found appropriate Territory Manager gives in principle approval# for the change.
5. Distributors complete the infrastructure requirement and requests for final ap-
proval along with the appropriate license / approval from appropriate department.
6. Territory Manager approves # the shifting of Godown / showroom on meeting all
requirements. 
7.

Termination of Distributor
A. Other than SC/ST category
Committee:
1. Sales I/c at HQ
2. Concerned Head (LPG) Region
3. Marketing Services Role holder at HQ
Policy/Guidelines:
 TM and State Head to propose
 As per Distributorship Agreement/MDG
B. SC/ST Category
Committee:
1. SBU Head
2. Sales I/c at HQ
3. Concerned Head (LPG) Region
Policy/Guidelines:
 State Head & TM to propose

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3. Network Expansion

 As per Distributorship Agreement/MDG


 Committee to recommend to Director Marketing, who will be the final approv-
ing authority

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4. Distributor Operation and Administration

Chapter: Distributors Operation and Administration

Econnect Portal:

A distributor is provided with a portal (econnect.bpcl.in) for them to perform map var-
ious transactions for customers, distributor and BPCL which are done to map the same
in system.

The portal is split in few sections as under: -

Under My Applications, below sub sections are provided.

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4. Distributor Operation and Administration

Customers, for Distributor, for BPCL and Reports. The four sub sections are further
discussed below.

1) Transaction for customers – Various customer transactions are performed in por-


tal for consumer lifecycle and distributorship operations, some broad categories
are mentioned below:

• Key Functionalities under Transaction for customers

• SV thru KYC: Enables the creation of a subscription voucher through the KYC
waitlist.

• Subscription Voucher for Additional Cylinder: Allows issuing an addi-


tional cylinder for existing consumers.

• Subscription Voucher Against Termination Voucher: Generates a new


subscription voucher based on a termination voucher.

• Subscription Voucher for Commercial/BMCG/LOT/Exempted/Re-


ticulated Connections: Facilitates new connections for commercial, re-
ticulated, and non-subsidized domestic consumers.

• Verify Consumer KYC Documents: Used for accepting, reassigning, or re-


jecting KYC documents for a new connection.

• Validate KYC of Existing Consumer: Validates the KYC of an existing con-


sumer.

• Consumer Address Change: Updates consumer address details and allows


blocking/unblocking of consumers.

• Reprint: Reprints subscription vouchers, termination vouchers, and transfer


advice details.

• Profile Changes: Allows updates to consumer profile details.

• Change TIN Number of PMUY Consumer: Updates the TIN number for
PMUY consumers.

• Change Extended PMUY Details of Consumer: Updates details of ex-


tended PMUY consumers.

• Termination Voucher: Terminates a consumer from the distribution system


based on TV reason.

• Transfer Advice In: Transfers an already existing consumer into the distri-
bution system.

• Transfer Advice Out: Transfers a consumer from one distribution system to


another.

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4. Distributor Operation and Administration

• Equipment Recovery/Replacement: Recovers or replaces lost/damaged


cylinders or regulators.

• Ujjwala Cash Recovery: Manages Ujjwala cash recovery.

• Unified Cash Recovery from Consumer: Facilitates unified cash recovery


from consumers.

• Subsidy Recovery Process: Handles subsidy recovery for users with multi-
ple connections.

• Income Category for Opt-Out Consumers: Updates income categories for


consumers opting out of subsidy.

• Income Declaration for High-Income Group: Used to declare consumers


belonging to a high-income group.

• Subsidy Exclusion: Updates income declaration for consumers voluntarily


opting out of subsidy benefits.

• Portability Requests: Processes consumer portability requests.

• Regularization Process: Facilitates name, deposit, and subsidy status


changes for regularization.

• Search Consumer: Searches for consumers using name, phone number, or


area details.

• Assign DPR for E-SV: Assigns DPR make type and serial number for E-SVs
prepared by the system.

• Maintain Consumer Bank Mandate: Ensures bank mandate maintenance


for consumers.

• Update TV Reason for Ujjwala Connections: Updates termination


voucher reasons for Ujjwala consumers.


76. Transaction for Distributor: - Distributor is provided with diverse options in sys-
tem to manage their operations such as Area Master, Merchant master, Distributor
staff assignment etc
77. Key Functionalities under Transaction for Distributor
78. Area Master: Allows creating, editing, and updating areas.
79. Convert Type of Market: Converts market classification from "To Classify" to
Urban/Rural.
80.Area Delivery Charge: Maintains delivery charges for different areas.
81. Reorganize Area: Facilitates the reorganization of existing areas.
82. Merchant Distributor Master: Manages merchant distributor details.

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4. Distributor Operation and Administration

83. Maintain Distributor Staff Details: Allows creation, editing, and deletion of
distributor staff.
84. Distributor Staff Assignment: Assigns roles to distributor staff.
85. Convert Ujjwala Consumer: Converts Ujjwala consumers to 5 kg consumers.
86. Update Village Master of Consumer: Updates LGD village mappings for con-
sumers.
87. Unified Document Upload: Enables uploading of consumer-related docu-
ments.
88.Change Cash Memo / SV Print Type: Modifies the print format of cash memos
and subscription vouchers.
89. Cancel Product Conversion: Cancels pending product conversion requests.
90. Reprint Exchange Voucher: Allows reprinting of consumer product exchange
vouchers.
91. Create Request to Allow Deposit Paid Commercial 19kg Consumer TV:
Requests permission for deposit-paid commercial 19 kg consumer transactions.
92. Sync Beyond LPG Stocks: Provides real-time tracking of LPG stocks.
93. Map HotPlate and Suraksha: Maps HotPlate and Suraksha for pending SV in-
stallations.
94. eKYC Operator Management: Manages KYC operators.
95. Unlock TV of Cancelled KYCs: Unlocks termination vouchers for cancelled
KYCs.
96. Update GST Identification No: Updates the GST identification number for
consumers.
97. CAG Thematic Audit Verification: Enters CAG PMUY audit observations for
verification.
98. View Complaint Status: Displays the status of registered complaints.
99. Add Mobile Number for App: Adds mobile numbers for app registration.
Transaction with BPCL: - Distributor must perform transactions in system to keep
accounting with BPCL which includes receipt of invoice, Equipment returns, mar-
ket return and defective. Also, distributor has access to various Reports in system
Key Functionalities under Transactions with BPCL
 Invoice Acknowledgment: Allows viewing of pending invoices.
 List of Acknowledged Invoices: Provides a list of acknowledged invoices.

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4. Distributor Operation and Administration

 ERV Creation: Enables viewing and creation of pending ERVs (Electronic Re-
ceipts & Vouchers).
 List of Created ERVs: Displays a list of created ERVs.
 Invoice Reversal: Facilitates the reversal of invoices in case of errors.
 Unmatched Documents: Displays unmatched reversal invoices.
 Stock Report: Provides insights into product-wise stock details.
 Delivery Assistant Management: Helps in managing delivery assistant-re-
lated activities.
 View Pin Code Mapping: Displays distributor service area pin codes for in-
ter-OMC portability.
 Conversion of 19 KG Cylinders to 19 BMCG for Empty Cylinders: Al-
lows the conversion of 19 KG commercial cylinders to 19 KG BMCG cylinders
and vice versa.
 Conversion of Full Cylinder 5350 to 5370 and Vice Versa: Enables con-
version between full cylinders 5350 and 5370.

100. Reports: - This section provided with report on Invoices, ERV, Consumer De-
tails, Subsidy Details, Area Details, other customer related activities.

a) Customer acquisition:

Broad cycle of Customer Creation is: - KYC – KYC Approval – SV Creation – SV In-
stallation.

For Domestic LPG Connections, KYC can be done in several manners: -

KYC by Consumer on Ebharatgas Portal

i. KYC with Document Upload: Customers can login to eBharatgas site


and apply for new connection by doing self KYC and uploading rele-
vant documents such as POI, POA and bank details.
ii. KYC with Document upload and Payment of Deposit: Customers can
login to eBharatgas site/Hello BPCL app and apply for new connec-
tion by doing self KYC and uploading relevant documents such as
POI, POA and bank details and subsequently making payment for the
connection once KYC is cleared. SV will be automatically generated

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4. Distributor Operation and Administration

in this case and the Distributor only needs to do delivery of SV refill.


Customer will receive copy of E-SV on his registered email address.

KYC by Distributor on Econnect Portal: -

i. eKYC: Now Ekyc is mandatory for normal as well as Ujjwala connections.


Distributor need to fill KYC of the customer by using biometric impression.
KYC details are automatically populated in this case as per the details in Ad-
haar card of the customer. Suitable devices for capturing fingerprints:
Mopho, Mantra etc. In KYC we capture the customer’s basics details such as
Identity, Age, Address, Contact etc. We also take below documents with
KYC. (Separately documents to be taken for State specific schemes)
▪ Proof of ID (POI)
▪ Proof of Address (POA)
▪ Aadhaar Details
▪ Bank Details
▪ Declarations, Documents as per schemes, category of connection
Once all the details are filled in, the form is submitted.

For filling out the KYC form, log in to econnect.bpcl.in. The distributor will log in
with their own ID and proceed to My Applications → LPG KYC, where they
will complete the KYC form.

Security deposits for several types of cylinders:

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4. Distributor Operation and Administration

b) Types of Connections

i. Normal Deposit Paid KYC: POI, POA, Bank account details, 2 nos. pho-
tograph
ii. Staff Connection: POI, POA, Bank account details, 2 nos. photograph,
Authorization letter from HRS. Note: Request for Staff connection created
by distributor goes to Sales officer for approval in the portal. Distributor can
generate SV once the request is approved.

iii. Exempted Category Connection: For specific usage such as Govt/mu-


nicipal hospitals, hostels of all schools and colleges or for mid-day meal
schemes, and social welfare institutions being run for child welfare/Women
welfare/social welfare institutions (children’s homes, old age homes and
homes for disabled persons etc.) Exempted category connection is allowed,
Exempted Category connection is a subsidized domestic LPG connection
without requirement of Proof of Identity of an Individual. It is created in the
name of the institution it is given.

Process to get an Exempted category Connection-

- Eligible institutions desirous to get LPG connection under NDNE category


should submit a request on their letter head, along with a copy of eligibility
document as applicable for categories listed above.
- After receiving the letter, the distributor should carry out an inspection of
the kitchen and prepare a report.

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4. Distributor Operation and Administration

- Distributors should send a request letter on their letterhead along with cus-
tomer letter, their eligibility documents and inspection report to territory
for approval.
- Connection to be issued only after receiving approval from territory office.
Subsidy under PAHAL is also applicable to all consumers who are eligible un-
der Exempted Consumers as per admissible capping at par with domestic
consumers. However, to receive subsidy in their account it can only be done
by bank transfer complaint modes (BCTC). Bank account in the name of in-
stitution in which name connection has been issued to be seeded in LPG
Next.
Note: - Payment for refills given to exempted to be taken thru cheque/Digital
mode form the customer’s account.
Exempted Category Refill Checks
1. Monthly Refill Limit
 Distributors can set a monthly refill limit for each Exempted Category Cus-
tomer.
 The limit requires approval from the Sales Officer (SO) and Territory
Manager (TM).
 Approval is based on the customer's average monthly consumption history or
expected consumption.
2. Refill Limit Adherence
 Exempted Category Customers can only book refills up to their approved
monthly limit.
 Any change in the refill limit requires a new request from the distributor,
needing SO and TM approval.
3. New Connections & Subscription Voucher (SV) Releases
 The refill limit policy applies to new Exempted Category connections and SV
releases.
 Distributors must update and get approval for the monthly refill limit before
delivering an SV refill.
4. Payment Mode
 Exempted Category customers (mainly institutions) are encouraged to make
payments digitally or electronically.
 Cheque payments are allowed, but cash payments are not permitted.

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4. Distributor Operation and Administration

5. Implementation Timeline
 1st October 2024: Monthly refill limit updates for Exempted Category cus-
tomers go live.
 11th October 2024: Refill checks against approved monthly quantities be-
come effective.

iv. Reticulated Connection: Supply of LPG through pipelines from a com-


mon storage point (Cylinder or Bulk LPG) to the Kitchens and metering
the same is popularly known as Reticulated LPG System or Piped Bha-
ratgas System.

The Benefits for the Users are:

▪ Enhanced safety.
▪ No storage of LPG required in the house, hence valuable Space
Saving inside the Kitchen
▪ No Booking required for cylinders & no follow up required for get-
ting of refills.
▪ Uninterrupted supply of LPG as there is a standby cylinder bank
with automatic changeover system.
▪ Customers pay for what they consume & not what they are going
to consume.
▪ Modern look for the kitchen.
Documents required for Reticulated connection: POI, POA, Bank account
details, 2 nos. photograph. Direct Cash transfer is applicable to Reticu-
lated Consumers also. Sales officer to maintain quota of subsidy for such
connections.

v. State Specific Schemes: State specific eligibility documents.


PMUY: POI, POA, Bank account details, 2 nos. photograph, 14-point
declaration in case of EPMUY-2

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4. Distributor Operation and Administration

Acceptable documents as POI and POA:

vi. Non-Domestic Connection: KYC for Non-Domestic Connections: In case of


non-Domestic connections, the documents required are as follows: -

▪ Request letter from the firm/Firm


▪ Registration details/PAN/GSTIN/
▪ Bank account number

c) Refill order cycle: -

Refill booking à Scheduling à Printing à Delivery Done

Refill Booking: Refill booking can be done either of consumer or by the distributor at
showroom counter.

1) Refill booking by Consumer: -

i. On Pay and Book Apps: Booking via online platforms like Amazon, Paytm,
PhonePe, GPay etc.
ii. On HelloBPCL App: Mobile app available for both Android and IOS
iii. On eBharatgas Portal: Customer can either book or Book and pay via web-
site www.ebharatgas.com
iv. On IVRS: All India IVRS number 7715012345/ 7718012345
v. On Pay and Book IVRS: All India Pay and Book IVRS number 08045163554
vi. Missed call booking number 771095555.

101. Refill booking by Distributor: -

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4. Distributor Operation and Administration

i. Refill booking in LPG One: - Only in case of exigencies and when customer
is unable to book refill.
ii. Through operator Application
iii. Commercial cylinders refill booking can be done either directly on LPGONE
by the distributor or by Hello BPCL app by the customer.

Schedule & Printing (Distributor option -> LPGOne)

Schedule will decide the today’s total delivery to be taken place, system allows the
average delivery of last 15 days or Today’s filled stock whichever is higher the dis-
tributor can schedule the deliveries for today.

For all bookings which are scheduled, a cash memo can be printed & a refill can be
sent for delivery.

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4. Distributor Operation and Administration

Refill scheduling can be prioritized or printed separately for Online Pay n Book
refill customers.

No scheduling required for Commercial, BMCG, LOT, Reticulated, Exempted Cat-


egory etc.

In the case of domestic customers, no scheduling is required for Cash and Carry
refills.

Cash and Carry refills: in case of exigency, a customer may visit distributor godown
to refill his cylinder. In such cases, applicable cash and carry rebate is given to the
customer. W.e.f. 04-Oct-23 C&C rebate is 33.43 Rs per 14.2Kg cylinder.

Refill Delivery & confirmation.

i. After the refill has been delivered to customers & there may be cases where
the refill was undelivered to customer due to House lock, empty not availa-
ble, Money not available then this delivery must be undelivered in distribu-
tor LPGOne system/operator Application

For all cases where payment has been taken from the distributor on POS ma-
chines/Personal QR codes, Distributor must check mark (✔) if POS (yes) option
and select the merchant ID number which is already maintain under merchant
distributor masters while doing delivery confirmation.

With the delivery confirmation the cycle of delivery is done, but this will not affect
the inventory means no movement of filled to empty of cylinders. Here, before the

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4. Distributor Operation and Administration

day ends it is possible to cancel delivery done, cancel the printed cash memo &
cancel the refill booking.

The inventory movement will only happen after the day end has been done, with
day end the necessary instruction such as Subsidy payment will also be given by
system. No changes/cancellation can be made for any refills delivered once Day
end is done. Daily day end is compulsory activity.

d) Discount Masters / GST/ PAN


Distributor can maintain agreed discount to the commercial customer on LPGONE
à Non- domestic discount expert

Distributor must compulsorily create E-Way Bills for all cases where cash memo
amount is more than Rs.50000/-

e) Customer Transfer Procedures:

Customer transfers are of two broad categories: -

• Transfer Advice

• Termination Voucher
Customer Transfer Advice (CTA within same company) - IN & out

If the existing customer of a distributor is getting transfer within any trading area
of a territory, then such customers can be given CTA Out, only documents are gen-
erated between two distributors and no inventory movement by the customer is
required.

Once a distributor gives CTA Out to a distributor in its own territory the receiving
distributor will process CTA in to enrol the same at his distributorship, Transac-
tion through LPGNext.

Inventory movement will only happen at header levels of distributors.

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4. Distributor Operation and Administration

Termination Voucher (In & out)

If the existing customer of a distributor is getting transfer outside a trading area of


territory, then such customers must be given TV Out, in this case the customer must
return the Cylinder & Regulator, the existing distributor will pay back the deposit, after
deduction of any Subsidy advance as per TV documents.

The customer should approach the new distributor with TV papers and should enroll
with new distributor at old deposits and should pay the deposit amount.

Mass Transfer of Customers

Mass transfer is the process when multiple customers of a distributor are transferred
together to another distributor. Sales officer can perform Mass transfer after getting
approval from their Territory Manager. The various scenarios in which customers are
to be transferred and criteria can be referred from The Circular on Customer transfer

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4. Distributor Operation and Administration

dated 10.01.2018.(#)

It must be noted that before carrying out Mass transfer, day end process is completed
for both donor and recipient distributor. Also, customers who have pending SV, pend-
ing refill or any stale TV are not transferred.
There are two types of Mass transfer depending on distributor to which customers are
transferred:

i. Mass transfer inter Territory- When recipient distributor is from the same
Territory as donor distributor.
ii. Mass transfer Inter Territory- When recipient distributor is from another
Territory of donor distributor.

Mass Transfer within Territory: When recipient distributor is from the same Ter-
ritory as donor distributor. For carrying out Mass transfer, SO must go to LPGNext
for SO->Select Distributor (From which customer must be transferred)-> Trans-
action for distributor -> Mass transfer. After that we must select the Area Code (all
consumers of that area) which are being transferred and put the sales area of re-
cipient distributor. From the dropdown we must select the recipient distributor
and then select the area code of recipient distributor in which the customers will
be transferred and then submit. After this all the customers of the selected Source
distributor area code will be moved to the Destination distributor.

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4. Distributor Operation and Administration

Mass Transfer Inter Territory: When recipient distributor and donor distributor
are from different territory. In this case firstly a request must be generated by the
SO of the recipient distributor. The path for creating request is LPGNext-> Select
recipient distributor -> Transaction for Distributor -> Request for Inter Territory
(Mass TA). In this we have to select the Territory and Sales group of Donor distrib-
utor, after that select the Donor distributor.
Then the receiver distributor must be selected along with has tithe area code. Also,
the minimum number of customers to be transferred must be mentioned. After
this Rise request option must be clicked and a request number will be generated.

The request for Inter Territory Mass TA must be then approved by TM of recipient
distributor first, after that it flows to Donor distributor TM, and they must approve it.
Once the request is approved by both TM, then the SO of donor distributor will execute
the Mass Transfer by following the path

LPGNext for SO->Select Distributor (Donor)-> Transaction for distributor -> Mass
transfer->Inter Territory Mass Transfer.

It must be noted that after Mass transfer it must be ensured that recipient distributor
has acknowledged the transfer of customer in their distributorship for providing ser-
vice to the transferred customers and the customers which are being transferred must
be informed about the change of their supplier and records to be kept.

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4. Distributor Operation and Administration

TV/TA Printing on A4 Paper

As part of our ongoing efforts to improve operational efficiency and customer satisfac-
tion, a new functionality has been introduced for TV/TA printing on A4 paper us-
ing laser jet printers.

This transition to A4 printing eliminates the need for pre-printed stationery,


reducing costs and streamlining inventory management. The enhanced print quality
ensures better readability and professional document presentation, improv-
ing clarity and ease of use. Additionally, high-quality printing contributes to an im-
proved customer experience, fostering greater trust and satisfaction.

Steps to Enable TV/TA Printing on A4 Paper:

1. Access the LPGNext Portal:

o Navigate to Transaction for Distributors → Change Cash Memo /


SV/TV/TA Print Type

2. Activate A4 Printing:

o Select the relevant option to enable A4 format printing for TV, TA,
and SV.

o Click “Update Status for Distributor” to confirm the selection.

f) DBC/Additional cylinder:

The existing single bottle customers, if want can get the second bottle, for which the
distributor must generate a request through LPGNext Transactions with Customer
Subscription Voucher for Additional Cylinder

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4. Distributor Operation and Administration

Request for DBC for existing SBC customer to be generated under Register for
second cylinder as below:

Once a request number is available, DBC can be released to the customer under Sub-
scription Voucher for Additional cylinder.

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4. Distributor Operation and Administration

Online Pay N Book DBC: Customer can also apply for DBC online via Hello BPCL
app by making payment. In this case, DBC SV is generated automatically in the form
of E-SV and delivered to registered email of the customer. The distributor only needs
to deliver DBC SV refill.

DBC request via WhatsApp: Customer can apply for DBC cylinder via interactive
WhatsApp message on our Smartline number 1800224344. Customers will also have
the option to make payment on WhatsApp platform. Distributors can check such DBC
request report at
View Other ReportsàDistributor Transaction Reports--. DBC request sta-
tus report.

g) Day End:

Once all the day’s activity is completed in the system & after getting the Stock state-
ment from Godown, the distributor will carry E- day end in system.

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4. Distributor Operation and Administration

The day end is especially important activity due to following reasons:

● Inventory movement will happen (Full to Empty)


● Subsidy & Advance payment will be initiated.
● SV refill done will happen (full to empty movement)
● Stock will be tallied (Full, empty & Defective) system vs. physical.

Declaration by distributor at Day end:

I/We hereby certify that the particulars furnished above are correct and pertains to the
distributorship /Firm/Partner/Proprietor to the best of my /our knowledge.

h) Customer Profile Change:

Profile Change: This option helps to Block customers, change any customer details,
Rubber tube replacement data, Mandatory inspection date.

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4. Distributor Operation and Administration

Equipment replacement / Recovery: This option helps to recover the cost of cyl-
inder & DPR lost or damaged on Penal or tariff rates.

Search Consumer: This option helps to search consumer based on Consumer Num-
ber, Mobile number, Consumer Name, Phone Number and Area

Consumer Address Change: This option helps to change customer address

Consumer Contact number Change: This option helps to generate requests for a
change of phone number and / or Mobile number of customers. Once a request is cre-
ated the same must be approved by SO for getting effect in system.

opt out Customer: This option helps to opt out the customers.

Verify Consumer Documents: Online documents uploaded by customers for new


connection can be verified from here.

i) BPCL Transaction- Invoice/ERV:

Invoice: Invoice is the document for the load dispatched to distributor from plant.
Document starts with plant code. It consists of type /number of cylinders dispatched,
amount etc.

Procedure to account invoice in distributors system

• When Distributor physically received the vehicle in the Godown, Godown


keeper with check the physical quantity with quantity mentioned in the in-
voice.

• Once it is found ok, distributor will acknowledge the invoice in LPG NEXT.

• Path – LPGNEXT- BPCL Transaction – invoice acknowledgement.

• If Due to some reasons, invoice is cancelled in the plant and distributor has
received the invoice in the system, to reduce the stock, distributor must go
to BPCL transaction -> Invoice reversal.

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4. Distributor Operation and Administration

Equipment Return Voucher- ERV:

ERV is the document for the cylinders sent to plant by distributor.


i. Distributor will send the empty cylinders equivalent to the quantity men-
tioned in the invoice.

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4. Distributor Operation and Administration

ii. Godown keeper will mention the quantity in the ERV and takes signature of
Driver on Distributor’s copy.
iii. Distributor will close the ERV in the system in LPG NEXT.
iv. The path is – LPG NEXT - > BPCL Transaction -> ERV Creation

j) Bank master's and Account:

Bank Master – Distributor must map the Bank account through which they will
transfer money into their BPCL account. Distributors can add multiple Bank accounts
but must ensure that payment is made only through the Bank account which is mapped
and approved and then only the amount will reflect in SOA.

Distributor can manage their Bank account by going through My Applications -> Man-
date Form

Distributor will create requests which will be then approved by BPCL and Distributor
can track details through Request ID.

Documents to be submitted and checked for approval: Bank Mandate form and Can-
celled Cheque. These are mandatory documents and without these, the BM Request
Change should not be approved.

SOA – Statement of account

i. Distributor can view account in portal, under reports- SOA.


ii. Distributor can view closing balance, account statements etc.

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4. Distributor Operation and Administration

k) Reports in LPGNext:

Various reports are available in LPGNext for distributor which they can download
and use accordingly. Few important reports and their brief description are given
below:

Report Cat- Report Description


egory

Consumer Area/product This report will give, Product wise / area wise No of
detail Code wise sum- Customers & Cylinders.
reports mary

List of Active This report will give Details of Active Customers


Customers

List of blocked This report will give details of category wise blocked
Customers customers

Blocking/un- This report gives the details of blocking / unblocking.


blocking details When a consumer is blocked/unblocked / which cat-
egory/ who has blocked/unblocked the consumer

Consumer Sur- This report gives the details of customer requested


render connec- for Surrender of connection
tion requests

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4. Distributor Operation and Administration

Report Cat- Report Description


egory

Unified Suspect It provides list of consumers who are in suspect due


Report for Con- to Deduplication
sumers

Pending Loan It provides list of customers who have taken loan un-
Ujjwala report der Ujjwala scheme and their outstanding loan

Distributor SV details This report gives the SV summary for a period


Transac-
tion reports

TV summary This report gives the TV summary for a period

TA summary This report gives the TA summary for a period

Deposit rate ex- This report gives details of deposit for various periods
pert for all products

Recovery details This report gives you the details recovery posted for
customers loss/damage cyl/DPR

Inspection Due This report gives you the details of customer pending
report for inspection/Suraksha tube change

View Transaction This report provides the transaction done for a day
details SV/TV/TA along with amount

Cashflow sum- This report gives the details of Cash out flow, delivery
mary before day man/area wise. It includes only refill amount
end

Cashflow sum- This report gives the details of Cash flow, delivery
mary After day man wise, it includes SV amount also
end

DBC request sta- This report gives the details of DBC request pro-
tus report cessed /pending for the consumer

List of ERVs with This report gives you the details of ERV with
Diff in Qty
difference in quantity in LPG NEXT VS SAP. ERVs
with Defective Cylinders & ZLA also included

Ujjwala Posting This report gives the details of amount received for
report Loan amount & admin charges posting

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4. Distributor Operation and Administration

Report Cat- Report Description


egory

Refill Refill delivery re- This report gives the consumer wise / fiscal year wise
reports ports details of refill delivered

Consumption This report gives the details of consumption pattern


pattern (How many cyl taken) of consumers for a period

Report on pend- This report gives you details of pending order prod-
ing orders for a uct wise/date wise
date

Order cancelled This report gives details of Refill orders / Cash memo
due to non-deliv- cancelled for a period
ery report

Online refill pay- This report gives details of online payment received
ment details for a period

DBTL Consumer Ad- This report gives the list with Adhaar status of cus-
reports haar Status tomers

Customer infor- This report gives the full details of transaction for
mation on DBTL subsidy transfer for a consumer
(Distributor)

Report on Refills This report generates data batch wise for consumer
Failed for DBTL whose subsidy transfer was failed along with reason

KYC Re- KYC detail Re- This report gives the details of consumers for which
ports port for Existing KYC is updated

Consumers

New Con- Report on New This report gives the KYC wise details with status of
nection Re- connection for KYC
ports distributor

E-SV detail re- This report gives the detail of E-SV generated
ports

Online SV pay- This report gives the details of online payment re-
ment details ceived for E-SVs

Ujjwala New con- This report gives the KYC wise details with status of
nections Reports KYC

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4. Distributor Operation and Administration

Report Cat- Report Description


egory

Distributor Distributor rat- This report gives the details of online rating done by
rating ing by consumers consumer
report

Opt Out Optout request This report gives the details of request received from
reports report for Dis- consumer for Opt out
tributor

Bank man- Bank Mandate This report gives the bank details feeded for the con-
date status report sumer

Report

Consumer CTC & This report gives the list of consumers for which bank
Bank Mandate to details to be corrected
be corrected

Bank mandate This report gives the summary of bank details en-
status summary tered for consumer
report

Bank Master Re- This report gives the list of banks with their details /
port Av verification

FTL Trans- FTL Sales trans- This report gives the detail of new connection of FTL
action action report Sales
report

FTL Refill trans- This report gives the details of refill given to consum-
action report ers

Digital Merchant Trans- This report generates date wise summary of online
Transaction action report payment received from Merchant along transaction
update and reported date

Daily Summary This report provides date wise summary data for
of Online pay- online payment report date wise from all platforms
ment report for
Distributor

Delivery As- Delivery assistant This report provides data of all delivery assistant re-
sistant request expert quest created by distributor along with its status
reports

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4. Distributor Operation and Administration

Report Cat- Report Description


egory

Delivery assistant It provides report of product wise refill delivered


wise/Product summary by Delivery assistant
wise refill deliv-
ered summary re-
port

Delivery assistant This report provides detail report of refill delivered


wise refill deliv- by Delivery assistant
ered detailed re-
port

Delivery assistant This report provides details of indent created and De-
code wise- Indent livery challan of Delivery Assistant
request/Delivery
challan details

Delivery assistant This report provides empty cylinder return details of


code wise-Empty Delivery assistant along with challan number
cylinder return
details report

Delivery assistant This report provides product wise stock of full and
wise PWS stock empty cylinder of all delivery assistant
report

l) BDA /Urja Devi

With the implementation of PMUY and other schemes, customer population and LPG
consumption is increasing in rural and semi-urban markets. Hence, it is essential for
us to go closer to the customers to improve refill delivery and other service standards
which will involve enhancement and digitization of our delivery network. Hence, it was
proposed that distributors may engage additional Delivery Assistants in certain mar-
kets with the following functionalities.

- Distributors can create the persona of BHARATGAS Delivery Assistants


(BDA) in LPGNEXT by submitting name, pin-code, and other details. BDA
created by the distributors shall be approved by the Sales Officer concerned
in LPGNEXT.
- Bharatgas Delivery Assistant may be an individual/firm running as CSC
VLEs (BPC has central MOU with CSC) or another suitable person.

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4. Distributor Operation and Administration

- Bharatgas Delivery Assistant shall arrange for Space for safe storage of cyl-
inders of 14.2 kg or equivalent, with requisite safety equipment and as per
storage/ safety norms.
- MOU as per format provided by the company shall be signed between the
Distributor and the Bharat gas Delivery Assistant to carry out transactions,
copy of the signed MOU shall be submitted by the distributor to the office
of Territory Manager.
- Security Deposit as applicable shall be collected by the distributors from the
BDA.
- Bharat gas Delivery Assistant may make arrangements with Own or /Tied-
up Delivery vehicle for transportation of LPG cylinders.
- The Bharat gas Delivery Assistant will receive cylinder stock from the dis-
tributor mapped in LPGNEXT/ other system of the company.
- The Bharat gas Delivery Assistant will have authorization to upload con-
sumer KYC for new connection/DBC in the LMA/ other authorized portal.
- Proper branding and other displays shall be arranged at Bharat gas Delivery
Assistant’s approved LPG business premises as advised by the Sales Officer
concerned.
-
BDA/Uria Devi App: Bharat gas Delivery Assistant can access options of raising
indent, acknowledging stock received, serve customers, and return empty cylinders
to Distributors through BDA App. Link to download App:

• https://play.google.com/store/apps/details?id=com.lma2

BDA shall have to install the BDA App and login using the mobile number registered
on LPGNEXT. If any other number is tried to login to BDA App, the same shall not
work. Based on validation from LPGNEXT, an OTP shall be sent to the BDA which can
then be used to set up a pin to access the details. The details of the Distributor mapped
shall be available on the welcome screen.

m) Licenses and Records


Licenses and Approv- Broad understanding / implication of the document
als

Letter Of Intent Understand the initiation of the distributorship, Marketing Plan,


Year /Details of commissioning etc.

Letter Of Appoint- Understand the date of commissioning, trading areas etc.


ment

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4. Distributor Operation and Administration

Bharatgas Distribu- Understand the validity of the agreement, signatories to the dis-
torship Agreement / tributorship
Addendums

Service Level Agree- Applicable for the infrastructure that the distributorship is to
ments (Sla) maintain

Marketing Discipline Applicability of the present rules / procedures that must be fol-
Guidelines lowed in addition to conditions laid down in agreement

Godown Approved This helps to understand the layout of the godown, Address etc.
Drawing

CCOE / Peso Licence This helps to understand the name of the License holder, Ap-
proval validity, Address of Godown

Firm Registration All Firms are to be registered at the registrar of funds and the reg-
Details istration copy at the showroom is necessary

Retail Selling Licence This is a state specific local statutory requirement

Vat/ Gst Number / GST helps to understand the places of business of the distributor-
Correspondence ship, names of the signatory to the firm

Pan / Tin No and Re- Taxation specific documents as per statutory requirement
lated Documents

LPG Traders Insur- LP Gas Manual for Distributors (April 2021) – Distributors
ance Policy must obtain third-party insurance at their own cost. The mini-
mum required coverage for third-party claims is Rs. 10 Lacs

Inventory Stock Reg- Physical stock register is mandatory for all materials and the same
ister for All Equip- should be maintained in line with the physical stock
ment

Reconstitution Pro- Distributorship is to maintain the details of reconstitutions if any


posals / Partnership conducted at the office
Deeds with Relevant
Annexures

CORRESPONDENCE FILES Broad understanding / implication of the document

Bpcl Circulars Distributor to maintain all circulars dispatched by Terri-


tory thru email/post in a file named: Circular file

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4. Distributor Operation and Administration

Correspondence With Legal From time-to-time legal metrology does its inspections
Metrology and certifications, all such correspondences are to be filed

Correspondence With Peso / From time-to-time PESO does its inspections and certifi-
CCOE cations, all such correspondences are to be filed

Advisories And Correspondence All circulars / advisories issued by District authorities or


of District Authorities any other statutory bodes must be maintained

Inspection / Audit Records for Distributor is to maintain inspection / audit reports done
Past 3 Years by any department for period up to 3 years

Fire Extinguisher Renewals Distributor to get the Fire Extinguishers evaluated every
one year for Pressure and the records of the same must be
maintained.

CUSTOMER RELATED Broad understanding / implication of the document

SUBSCRIPTION COPIES All the SV copies must be available in order of creation of SV


ALONG WITH KYC AN- with all supporting documents. This helps to
NEXURES

TERMINATION VOUCH- All the TV copies must be available in order of creation of date
ERS WITH ANNEXURES along with applicable documents

TRANSFER ADVISE TA documents prepared must be filed in order of date with ap-
WITH ANNEXURES plicable documents

INVOICES MONTH WISE Invoices must be properly filed in order of date of receipt of the
invoice

ERV / SRN MONTH ERVs prepared to be filed in order of date. SRNs also to be
WISE printed and filed

CASH MEMOS - 12 All cash memos are to be counter signed by the consumer and
MONTHS / OR AS AD- to be filed for one year.
VISED BY TERRITORY

SALES BILLS PERTAIN- Invoices prepared for charges taken against enrolment of NC /
ING TO ENROLLMENT DBC is essential to be preserved
OF NEW CONNECTIONS
/DBC FOR THE CUR-
RENT AND PRECEED-
ING FINANCIAL YEAR.

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4. Distributor Operation and Administration

COMPLAINT CUM SUG- Distributor is to mandatorily maintain Complaint and Sugges-


GESTION BOOK tion book in physical form and at easy display to customers

ANY OTHER RECORD AS Distributor is also to maintain all records which are informed
SPECIFIED BY OMC IN by way of Circular by Territory from time to time
WRITING

n) VM Standards:

Detailed guidelines for branding and VM standards for LPG godown can be referred
to from VM 2010 and Handbook for LOI holders 2016 booklet. CDR files for VMs at
distributorship can be downloaded from link:

There are few updates in VM standard which is not available in VM 2010 booklet are
given below:

1) VM Standard for Delivery vehicle:

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4. Distributor Operation and Administration

102. VM ID cards for Deliverymen and Showroom Staff:

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4. Distributor Operation and Administration

103. Showroom artworks:

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4. Distributor Operation and Administration

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4. Distributor Operation and Administration

104. Godown artworks:

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4. Distributor Operation and Administration

105. Staff Uniform:

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4. Distributor Operation and Administration

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4. Distributor Operation and Administration

106. FTL artworks:

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4. Distributor Operation and Administration

107. Digital payments Artworks:

108. 5 KG Domestic posters:

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4. Distributor Operation and Administration

o) D-Infomat-

Customer document upload application (D–INFOMAT) has been developed and im-
plemented in 2015 for carrying out Distributorships KYC verification. The D-INFO-
MAT Application is integrated with e-connect and SAP. The exercise is meant to keep
a check on entry of an unauthorized entity into the system. Mandatory documents for
operating distributorship (e.g., Distributorship Agreement, Income Tax Return etc.)
by distributor. The activity of uploading the required documents, validation by Sales
Officer and approval by Territory Manager is to be completed for each Financial Year.

Following are the Role Holders in this Process:

i. LPG Distributor (here after referred as “User”)


ii. Sales Officer (SO)
iii. Territory Manager (TM)

Document Upload Process in as under:

i. Distributor shall create Requests with uploading Scanned Copies of the Doc-
uments, identified by HQ.
ii. Sales Officer shall validate the documents with the physical Hard Copies.
While validating, the sales officer to ensure the following:

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4. Distributor Operation and Administration

iii. Name, Signature and Photograph of signatories to the Bank account match
with the signatories to Distributorship Agreement.
iv. Bank’s letter is available for all the bank accounts mapped in SAP for the
subject Distributor.

Territory Manager shall approve the documents for upload.

The following are documents (called Document Type) required to be uploaded by each
Distributor.

i. Banks Letter as per format given in Annexure – 1


ii. First Page & Last Page of Distributorship Agreement

Distributor (User) shall access the application through EFP portal use URL
https://efp.bpcl.in/irj/portal

(Use existing User ID and Password) > Go to - My Applications – D-INFOMAT


D-Infomart Application link is available only to Customer with Partner function as
‘Sold to Party’ and with Sales Organization 1000 & 3000. If there are Multiple Ship to
Parties applicable for Login, system will prompt for selection of Ship to party to which
document is to be uploaded.

i. Create Document upload Request- This is option is to be used for cre-


ating request for uploading a document. There shall be one request for one
type of document. On attempting the option ‘Create Document upload Re-
quest,’ Select the document type, for which scanned copy of document is to
be uploaded.
ii. Display All Requests- In this option Distributor will be able to view all
Document Upload Request Status. Also, if the request is in “Save as Draft”
status, distributor can proceed further with that request for Request sub-
mission. Attempt this option, click on “Display all request”
iii. Create Document Change Request-This option is to be used in case due
to some reasons, it is required to change the uploaded and approved docu-
ment. In such case, user will create the request with reference to earlier re-
quest. Document will be allowed to change where the request is approved by
Territory Manager (TM). If request is submitted by user and user wants to

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4. Distributor Operation and Administration

change the uploaded document, this change is only possible after request
approval by TM.

The process of document upload for one FY year will be considered complete only after
uploading all the documents by user, successful validation by Sales Officer and Final
approval by TM.

Annexure - 1
FORMAT FOR BANK’S LETTER ON BANK’S LETTER HEAD

Ref: ____________ Dated _____________

To
Territory Manager
Bharat Petroleum Corporation Limited
____________________

Subject: Authorised Signatories as per Bank Records

Dear Sir,

This is to certify that M/s ______________________


_________________ is having bank account with us for last
__________ years. Their details as per bank records is as under:

1. NOMENCLATURE OF ACCOUNT:
_______________________________
2. TYPE OF ACCOUNT: ________________ (SB/Current/Others-Pl spec-
ify)
3. ACCOUNT NUMBER: ______________________________
4. DETAILS OF SIGNATORIES

Name of Signa-
S. tory & PAN Num- Signature of Signa-
Address
No. Father’s/Husband ber tory
Name

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4. Distributor Operation and Administration

5. PHOTOGRAPH OF SIGNATORIES

Name of Signatory Name of Signatory Name of Signatory

Affix Latest Photograph


Affix Latest Photograph Affix Latest Photograph
(not older than 6
(not older than 6 months) (not older than 6 months)
months)

______________________

Name / Designation / Signature / Stamp of Bank Official

Due care to be taken while approving documents in D-Infomat.

Equipment Replacement / Recovery

Domestic LPG consumers are issued LPG cylinders and regulators


against security deposit. The cylinders and DPR are owned by the Oil
Marketing Companies and loaned to consumers. MOP&NG vide letter refer-
ence P-23015/3/2012-Mkt dated 29.10.12 has approved the procedure to
be adopted in cases where the customer has lost the cylinder or DPR.

The procedure to be followed in different cases is as under:

a. A customer who has lost cylinders or PRs is required to lodge an FIR and
obtain a clear Final Report (FR) from the police authorities. Then with an
affidavit along with the FIR & FR, they can apply to the Territory Office for
replacement of the equipment. In such cases, the cylinder / DPR should
be issued by charging applicable tariff rate per cylinder and pressure
regulator.

b. In case a customer has lost a cylinder or PR and does not wish to go


through the procedure of lodging an FIR and obtaining a Final Report

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4. Distributor Operation and Administration

(FR), then on submission of an affidavit, they should be issued the cylinder


/ DPR by charging a penal rate per cylinder and pressure regulator.

c. Loss of cylinders by Members of Parliament (MPs) – A cylinder can be


replaced based on FIR lodged by the Hon'ble MPs against payment at
tariff rates without an affidavit. For the loss of PR by MPs, a declara-
tion from the MP is required. No FIR is necessary.

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5. Administration at Distributorship

Chapter: Administration at Distributorship

Marketing / Trading Area:


1) The LOI, subsequent letter of Appointment to the Distributor and agreement
should specifically indicate the Trading or Marketing Area in which he is expected
to operate by giving home delivery of LPG refills and other services. This area of
operation is to be earmarked based on the following:
2. Distributors marketing area will confine to municipal limits of the town. However,
where there is more than one distributorship operating and the area within the city
limits is too extensive to facilitate easy and economic operation by the distributor,
the area of operation may be demarcated between/amongst the dealers of the Oil
companies or as mutually decided by the Oil Company’s local representatives,
where more than one Oil Company is marketing. While demarcating the area, it
should be ensured that there is adequate potential to enable the distributor to reach
refill ceiling level and the area is compact for easy and economic operation.
3. . Hence, the area of operation of distributor should be always such that efficient
home delivery and mechanic service to customers are assured.
4. While proposing a new distributor in an already existing LPG market, the area of
operation of the proposed distributorships should be decided upon in advance and
clearly mentioned in the advertisement which will be released. The same area of
operations should also be spelt out in the letter of intent. For this purpose, existing
distributorships area of operation in the market should be reviewed by the industry
members at the field office level before release of the advertisement so that the area
of operation for the new distributorships and realignment of areas of operation of
the existing distributorships resulting from the new distributorships can be agreed
upon in advance.
5. As regards extension of areas beyond the Municipal/Panchayat limits but up to 15
kms in case of distributorships operating in unviable markets separate guidelines
have been laid.

Extension of Trading Area

Until a few years back, the below policy was being followed in the field for Extension
of Trading Area.

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5. Administration at Distributorship

The clear policy on extension of area of operation of LPG distributor was evolved after
approval from Ministry vide letter P-19013/56/86-IOC# dated March 2, 1988, based
on industry recommendation to the effect. The authority for the Oil Industry to ap-
prove extension of trading area of operation is confined only to 15 kms beyond Munic-
ipal limits from the markets, which the dealer operates. Extreme and deserving cases
of extension of area beyond 15 kms need to have Ministry concurrence after necessary
procedures has been complied by industry regarding the matter.

The salient points to be noted while considering extension of area of operation by an


LPG distributor are outlined hereunder:

1) In all hilly markets extension of area will be permitted to markets falling within a
radius of 15 kms, beyond the Municipal limit of the markets.
2. In plains such extension will be permitted up to a radius of 15 kms. only in the case
of distributors who have not reached economic viability level or ceiling level due to
inadequate potential.
3. Extended towns will offer a potential not less than 150 refills per month. iv. Deliv-
eries to such markets will be undertaken at a fixed period/interval not exceeding a
week.
4. The additional transportation charges will be fixed by the district authorities and
to be verified and approved by SO and TM at regular intervals, in no such case it
should happen that additional transportation charges been charged without proper
approval of district authorities. However, all deliveries will be on home delivery
basis and not on ‘Cash & Carry’ basis by extending area of operation if the dealer
reaches the prescribed ceiling, the industry will ensure that additional dealership
is rostered immediately to avoid the dealer exceeding the ceiling. In the event of
delay in establishment of new the existing dealer will not be permitted to exceed
the refills beyond the ceiling limit. vii. Area of operation will be extended only in
cases where there is clear justification for improving the refill sales of the dealer to
make the dealership economically viable. It will, however, be not automatically ap-
plicable for all the distributors marketing LPG throughout the country.

Proposals Routings
i. Territory /Regional Office to develop
ii. Cleared by Industry at SLC level.
iii. Cleared proposals to be submitted to HQ.

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5. Administration at Distributorship

iv. Industry at HQ level to finally approve for implementation.

Format For Extension Proposal

i. Name/Location of Distributorship
ii. Date of Commissioning
iii. Average refill sales/Month during last three years.
iv. Wait List.
v. Population at original location as well as extension point.
vi. Distance of the extension point from original location.
vii. Details of other Oil Company Distributors, if any, at original as well as ex-
tension point covering
viii. Customer Holding
ix. Average monthly refill sales
x. Wait List
xi. Realistic assessment of potential at extension point based on above data.
xii. Request from LPG distributor for the desired extension point.
xiii. Mode of Transport/Method of supply of extension.
xiv. Other markets within 15 kms in same direction may be included in the
study.

Revival of Distributorship: -

Earlier there was a policy# on Revival of Distributorship applicable for cases in which
distributorships once suspended / Terminated were to be reinstated on direction of
the Court / Arbitration Committee.

On the present date however, there is no such policy and Revival is done based on the
guidance and advice by the corporation.

Resitement of Distributorship: -

This policy# was introduced by the MoP & NG around 2000s to re-site distributors for
specific cases in which the distributors were not able to turn to viability and there was
scope of establishing LPG distributors elsewhere.

The policy, however, is not valid at the present date.

Bharat Arogya Yojana (BAY):

BPCL has been running the Bharat Arogya Yojana since 2015. The scheme provides
health cover for beneficiary families and accidental death cover for the beneficiary.

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5. Administration at Distributorship

DSMs, transport crew, LPG delivery boys, associates of Lubes business, and their fam-
ily members can be enrolled for the scheme. All the insured members are insurance
for health insurance policy for coverage of up to: Rs. 2,00,000/-

For enrolment of the beneficiaries, procedure# in DSM/Delivery insurance in Econ-


nect is to be followed.

Sales officer to approve the requests# and Territory Manager to approve the same. The
same is to be approved at HQ.

Following the approval, Link to download the Insurance policy is sent by the insurance
company, the same is to be shared with the distributors for onward sharing with the
beneficiaries.

In case of any eventuality, the claim process as per the insurance provider is to be fol-
lowed. For any matter pertaining to BAY, the same is to be taken up with LPG HQ role
holder.

Ex-Gratia Initiative:

This was a one-time initiative# of BPCL announced during the Covid 19 Pandemic. In
this initiative, if any of the staff at any of our channel partners passed away while serv-
ing his job due to covid19, his immediate family member would be given compensation
of Rs. 5,00,000/-.

This same has however been withdrawn now.

Documentation at DISTRIBUTORSHIP
1) Subscription Voucher (SV) – This document is prepared by distributors for New
Connections given to the Consumer against deposit (Deposit not applicable for em-
ployees of Oil Companies) or connection against Termination Voucher (TV).

Documents related to SV.

i. SV duly signed by distributor and customer.


ii. KYC form duly singed by customer and distributor
iii. Std. Declaration# applicable in case of TV IN and Regular connection
iv. Mechanic installation report with photograph
v. Installation-Pre connection check report by mechanic
vi. Aadhar and bank details (In case of subsidized domestic connection)
vii. 14-point declaration for Ujjwala connections (As applicable)

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5. Administration at Distributorship

viii. Ration card or Annexure-1 family identification documents (Ujjwala as


applicable)
ix. Aadhar of all family members (For applicable cases of Ujjwala)
x. Scheme document (For Ujjwala)
xi. Name changed declaration (As applicable for regularization)

2. Transfer Advice (TA)

This document is prepared by Transferor distributor when a consumer intends to


transfer his LPG connection to another distributor, but, within the same city. The Con-
sumer carries his LPG equipment with him to his new place and enrolls with the new
distributor in that area by presenting Transfer Advice. In the case of Transfer Advice,
a refund as well as collection of Deposit is not required.

i. TA Copy
ii. Blue book/ copy of SV voucher
iii. ID Proof

3. Termination Voucher (TV)

This document is prepared when the consumer wants to be transferred to another


city or the consumer wants to get back his deposit by surrendering the LPG Equip-
ment. The TV No. is a printed number, the date, month, and year on the TV should
be the date of preparation of the TV.

i. Distributor Copy of Termination Voucher duly signed by distributor and


customer.
ii. Original SV voucher / SV loss format
iii. ID Proof

4. Invoice and ERVs

Invoice and ERV are the documents issued by the plant along with the load. Dis-
tributors should maintain separate files for Invoice and ERV for reference.

5. Regularization Documents#

Customer can submit the request for name change at the distributorship under
following categories:

i. Cylinder/DPR without any valid SV/DGCC documents

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5. Administration at Distributorship

ii. Transfer of connection within family upon death/during lifetime


iii. Transfer of connection from outside family
iv. Change of connection from NS- Domestic to S-Domestic

6. PAHAL Forms#

Documents related the cash transfer procedures to filed in separate files–

7. Give it up forms#

Customers who had opted out subsidy by submitting the forms at the distributor-
ship should be kept for any future references.

Documentation Management:

• Ensure the Distributor Folder is updated with the latest documents such as:

o Explosive License

o Weights & Measures (W&M) Certificate

o Distributorship Agreement

o Partnership Deed (if applicable)

o Insurance Policy

o DCP Service Certificate

• Circular File should contain all circulars issued by the Territory Office.

• Inspection File of last 3 Years should include signed copies of:

o Sales Officer Inspections

o Senior-level Inspections by Territory Manager (TM)

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5. Administration at Distributorship

o Quality Control Cell (QCC) & Vigilance Inspection Reports (if available)

• Company Instruction File should have copies of all communications between


the distributor and the company.

________________________________________

2. Showroom Requirements

Registers to be maintained in the showroom:

o Cylinder Stock Register for all products.

o DPR Stock Register (including defective stock).

o DPR Replacement Register (signed by customers, including warranty details).

o Customer Service Register (record of mechanic services).

o Complaint Register (publicly displayed notice board).

o Customer Feedback Register (random feedback calls for delivery service).

o Refill Cancellation Register (for analyzing refill loss trends).

• Showroom Compliance:

o Furniture and painting should comply with Visual Merchandising (VM) Stand-
ards.

o Display of Mandatory Boards:

Rate Card, Insurance Details, Territory Office Details, CRC, Emergency Contact
Numbers, Service Charges, and Refill Pending Data.

o Burner Demonstration (Model Installation) with an Ideal Hot Plate Setup.

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5. Administration at Distributorship

o Star-Rated Hot Plates should be displayed.

o 1906 Emergency Number and Smartline Number should be displayed.

o Grievance Referral System Board must have accurate names and contacts in
bilingual format.

o Pre-Delivery Inspection (PDI) must be performed by delivery boys without


overcharging.

o Uniform and ID Cards are mandatory for all staff.

o SV Documents must be signed and stamped by the authorized signatory only.

o Bharatgas Glow Sign Board must be displayed with working lights.

________________________________________

3. LPG Godown Compliance

Registers to be maintained at the Godown:

o Godown Stock Register for different cylinder sizes.

o PDC Register (for vehicle wise and deliverymen wise records).

o Random SQC Register (with a least count of 10 grams).

o Cash & Carry Register (for financial transactions).

• Infrastructure Requirements:

o Godown must be painted as per VM standards.

o Godown Keeper must wear uniform.

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5. Administration at Distributorship

o Display LPG Godown Board with Explosive License Details.

o Display Valid Explosive License issued by PESO.

o PESO-Approved Drawings should be displayed.

o Wicket and Main Gate should comply with PESO-approved measurements.

o Weights & Measures (W&M) Certificate must be valid and displayed.

o Weighing scale serial numbers should match the W&M Certificate.

o Daily Stock Board must be updated daily.

o All vents must have double-layered wire mesh.

o PDI Kits must be available for all delivery personnel.

o 2 DCP Fire Extinguishers with wall-mounted zebra painting background.

o Dry Sand Buckets (as per PESO-approved design) must be available.

o Physical Stock should match system stock.

o Cash & Carry Rebate Board must be displayed with updated rebate amounts.

o Emergency Board must be displayed with emergency contact numbers.

o Fire Extinguisher Operation Board must be displayed.

o Bharatgas Logo should be painted on all 3 sides of the godown.

o No Smoking and No Mobile Phone Boards should be displayed.

o Safety Drawings should be placed near the wicket gate.

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5. Administration at Distributorship

o Cylinder Stacking must follow PESO norms (2 feet gap from the wall).

o Soap Solution must be available for leak testing.

o Rubber Mats (1-inch thickness) must be placed for cylinder handling.

o Mastic flooring of the floor should have a 25 mm Bituminized Mastic surfacing as


per IS-1195 specification. There should be a 15-day gap between cement (CC) work
and mastic flooring

o All cylinders must have safety caps on SC valves.

o No Mobile Phones Allowed inside the wicket gate.

o Dead Weights (20 kg and 10 kg) should be available for checking electronic
scales.

o Cylinders must not be stored outside the licensed premises.

o Cylinder Rolling is strictly prohibited.

o Good Housekeeping Standards must be maintained.

________________________________________

4. Delivery Vehicles Compliance Infrastructure & Documentation Requirements:

o Adequate delivery vehicles should be maintained to ensure less than 1-day


backlog.

o Vehicles should be painted as per VM standards.

o Delivery boys must be in uniform and carry ID cards.

o Each delivery vehicle must have:

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5. Administration at Distributorship

RC (Registration Certificate), Insurance, and Driving License copies.

Weights & Measures Certificate (Matching the scale serial number).

Digital Scale for weighing LPG.

O-Ring/Washer Set.

FESTO PDI Kit for pre-delivery inspections.

1 kg DCP Fire Extinguisher.

First Aid Box for emergencies.

Document Retention at Distributorship #


1) Inspection Record for preceding three years
2. Sales bills pertaining to enrolment of ND/DBC for the current and the preceding
FY
3. Retain the acknowledged copy of refill cash memos for a minimum period of 12
months.
4. All documents related to customers like SV/TV/TA along with relevant documents
needs to be retained till the distributorships exists.

Do’s FOR DISTRIBUTORS


1) 100% cylinders should be visually inspected for dents and cuts on the body of cyl-
inders and such damaged cylinders should be segregated and returned to Bottling
Plant. Similarly, the cylinders which are due for Statutory Testing should also be
segregated and returned to the Bottling Plant.
2. All the cylinders taken out for delivery should be checked for correctness of net
weight on the platform type digital weighing scale of least count +/- 10 gm pre-
scribed in the Legal Metrology (Packaged Commodities) Rules, 2011 as amended

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5. Administration at Distributorship

from time to time. Cylinders that have net weight beyond permissible limit pre-
scribed in the Legal Metrology (Packaged Commodities) Rules, 2011 as amended
from time to time should be segregated and returned to concern Bottling Plant.
3. Cylinder with correct net weight only should be taken out for delivery to the cus-
tomers.
4. Delivery staff engaged for effecting home delivery should be in uniform and have
Identity Card issued by the distributor.
5. While delivering the filled LPG cylinder to the customer, distributor staff should
verify the address of the customer. In each case, the delivery staff of the distributor
should conduct PDI (Pre-Delivery Inspection) in the presence of customer or
his/her representative and deliver the cylinder.
6. The delivery staff should take permission of customer to demonstrate the sound-
ness of cylinder by connecting it with the Gas stove.
7. The delivery staff should ensure to make proper entries of all the relevant infor-
mation in the Domestic Gas Consumer Card (DGCC) regarding the refill supplies
made to the respective customers.
8. Cash Memos should carry the message “Get cylinder checked for weight and leak-
age at the time of delivery.”
9. Cylinder with any defect should be brought back to the godown. Only sound cylin-
ders should be delivered to the customers.
10. Distributor to maintain record of defective cylinders returned from customer. Dis-
tributors should return these cylinders to concerned LPG Bottling Plants as per
prevalent guidelines of concerned OMC.
11. Delivery staff should convey and deliver any message / instruction to the customer
relating to LPG marketing as intimated from time to time.
12. Distributor’s trained staff to install new LPG connection at consumer’s premises
and demonstrate its safe use.
13. At the time of inspection, stock of equipment recorded in the inspection report and
signed by both the parties shall be firm and final. The Distributor later showing
some documents and making good the inventory will not be considered.
14. LPG Distributor should ensure availability of sufficient filled cylinders of correct
quantity and quality for timely delivery of filled cylinders to the customers by plac-
ing timely and sufficient indents for filled cylinders at Bottling Plants of OMCs.
Normally filled cylinders’ stock equivalent to two days of average daily offtake and

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5. Administration at Distributorship

turnaround time of the truck from the supply point must be available and an indent
available at supply point should be the basis for placing the next indent by the dis-
tributor.
15. The LPG distributor should provide adequate delivery infrastructure for making
home delivery of LPG cylinders commensurate to the average daily refill sales and
to take care of breakdowns/absenteeism. In case of backlog situation, additional
delivery infrastructure as per requirement is to be provided.
16. The working hours of the LPG Distributorship should be prominently displayed.
17. Distributor must prominently display his Name/Telephone number(s) and
Name/Telephone number(s) of the Oil Company personnel who are to be contacted
by the customer in case of complaints. In addition, the Distributor should display
messages on the Customer Service Cell and posters on Customer Education as pro-
vided by the respective Oil Companies from time to time.
18. First Aid Box should be available at the distributorship, with necessary medicinal
aids.
19. Distributor to ensure that their distributorship is kept in clean condition and have
sufficient sitting space. All required facilities should be adequate.
20. Safety equipment at LPG storage go-down and showroom should be provided as
per the statutory requirements and maintained in good working condition. The
Distributor and staff should be fully trained in handling and operating this equip-
ment.

eDFS Policy#

EDFS (Electronic Dealer Finance Scheme) is a collaboration between Bharat Petro-


leum Corporation Limited (BPCL) and the State Bank of India (SBI) aimed at provid-
ing efficient financing solutions to BPCL's dealers. BPCL is one of India's leading oil
and gas companies, and SBI is the largest public sector bank in the country.

Under the eDFS, BPCL dealers can avail themselves of various financial services of-
fered by SBI, such as working capital loans, inventory financing, and channel financ-
ing. The scheme aims to streamline the financing process for BPCL dealers and ensure
the timely availability of funds to support their business operations.

By partnering with SBI, BPCL leverages the bank's extensive network and expertise in
providing financial solutions to businesses. SBI evaluates the creditworthiness of

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5. Administration at Distributorship

BPCL dealers and extends financial support based on their requirements. This collab-
oration enables dealers to focus on their core business activities while ensuring they
have access to the necessary capital for smooth operations.

The eDFS simplifies the loan application and approval process through digital plat-
forms, making it convenient for dealers to access financial services. By embracing tech-
nology, the collaboration between BPCL and SBI reduces paperwork and turnaround
time, enhancing operational efficiency and customer satisfaction.

Moreover, the partnership between BPCL and SBI strengthens the financial ecosystem
within the petroleum industry. It enables BPCL dealers to benefit from SBI's vast
banking services and expertise, thereby facilitating their growth and expansion.

In summary, the eDFS between BPCL and SBI aims to provide seamless financial sup-
port to BPCL dealers, leveraging SBI's extensive network and expertise. The collabo-
ration simplifies the financing process, enhances operational efficiency, and fosters
the growth of dealers within the petroleum industry.

For onboarding of any distributor on eDFS, the procedure to be followed is detailed in


the respective years eDFS agreement and Territory to give Comfort letter# to the dis-
tributor in line with the eDFS Policy.

ICICI EDFS - BPCL LPG Distributor Financing

The ICICI EDFS (Electronic Dealer Finance Scheme) provides in-


stant working capital financing for BPCL LPG distributors. The program
is designed to ensure seamless financial support through an auto-
mated, unsecured credit system based on past sales data and distributor
credit history.

Key Features & Benefits:

1. Instant Working Capital

o Sanction within 30 minutes digitally.

o Unsecured finance based on distributor’s BPCL sales history.

2. Eligibility Criteria:

o Distributor must provide a Consent Letter on their letterhead.

o Must have a minimum operational period of 1 year.

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5. Administration at Distributorship

o Should not have defaults in the last 12 months.

o Must not be registered as HUF/LLP.

o No previous ICICI loan defaults linked to the distributor’s PAN.

3. Loan Disbursement & Approval Process:

o Distributor submits a standard request form (Annexure IV) to


the Sales Officer (SO).

o SO uploads the request to BPCL ERP and recommends a limit in


absolute Rupees.

o Territory Manager (TM) approves the request.

o Corporate Opinion Report (COR) is triggered and sent to


ICICI at 11 PM daily for validation.

o If approved, ICICI opens a current account for the distributor


and disburses the loan.

4. Billing & Payment System:

o BPCL's system will automatically check the available balance in


the ICICI OD account before processing invoices.

o If funds are insufficient, a billing block is applied until the distributor


tops up their account.

o The "Stop Supply" function is triggered if a distributor defaults


on payments beyond the credit period.

5. Interest Rates & Charges:

o 0 to 45 days credit period (30 days + 15 days cooling).

o Interest Rate:

 Repo Rate + 4.65% p.a. = 11.15% p.a.

 MCLR Pricing (I-MCLR-6M + 1.45%) = 10.45% p.a.

o Processing Fee: 0.50% of sanctioned limit.

o Default Charge: Interest Rate + 2% p.a.

6. Automation & Monitoring:

o ICICI EDFS status can be checked using SAP T-Code


"ZEDFSICICIRPT".

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5. Administration at Distributorship

o Payment process is automated, ensuring auto-pull of net dues


every hour for smooth transactions.

o If a distributor defaults, their "Stop Supply" indicator will be trig-


gered in SAP until payment is made.

Credit Policy for LPG Distributors, Business Associates, and Direct Cus-
tomers

The Credit Policy for LPG BU outlines the management of credit lim-
its, payment terms, outstanding amounts, and penalty mecha-
nisms for LPG distributors, Business Associates, and Direct Cus-
tomers. The policy revisions aim to streamline the credit approval process,
reduce manual interventions, and automate credit block removals.

A. Credit Limit Management

1. SBU Credit Limit

 Corporate Treasury assigns an overall credit limit for the LPG Busi-
ness Unit (BU) at the start of each financial year.

 The total outstanding credit for LPG distributors must not exceed the
assigned limit at any point in time.

2. Credit Limits for Different Entities

A. Regular Distributors

 Distributors selling >30 MT/month receive a credit limit of 1 load


value.

 Distributors selling >200 MT/month receive a credit limit of 2 load


values.

 Minimum credit limit of ₹10,000 applies to cover price fluctuations,


OMC/spurious cylinder charges, safety caps, commercial rent,
IVRS charges, etc.

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5. Administration at Distributorship

 Quarterly Review: Credit limits are adjusted based on past 3 months'


sales and reviewed quarterly by Regional Finance.

 Distributors with less than 30 MT/month sales are required to be on


advance RTGS unless they secure credit.

B. Commercial Distributors / Business Associates

 All commercial distributors and Business Associates are required to


operate on advance RTGS.

 Secured credit may be assigned based on Dealer Risk Assessment


(DRA).

C. Direct Customers

 Both secured and unsecured credit can be assigned based on DRA.

B. Credit Block Removal & Interest on Delayed Payments

1. Credit Block Removal Rules

Regular Distributors

 Credit block removal is permitted under specific reason codes:

o UTR Reference (Code 26): Available for all regular distributors, in-
cluding those on advance RTGS.

o Post Bank Holidays (Code 28 & 30): Allows additional volume re-
lease on Mondays or post-bank holidays.

o Territory Manager Discretion (Code 33): For exceptional


cases; subject to monthly review by the State/Regional LPG
Head.

Commercial Distributors & Business Associates

 Only allowed under UTR reference (Code 26).

Direct Customers

 No credit block removal is permitted.

2. Interest on Delayed Payments

 Interest Rate: 18% per annum on overdue payments.

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5. Administration at Distributorship

 Calculation Basis:

o Regular distributors: Payment must be received by the same day.

o Bank holiday supplies: Payment must be received on the next


working day.

o Secured credit cases: Interest applies for the entire credit pe-
riod.

 Automated Interest Posting:

o The finance system will automatically compute & post inter-


est into the distributor’s Statement of Account (SOA).

 Default Consequences:

o Distributors exceeding 25% credit block removals (Code 33) in


3 months will be moved to advance RTGS from the next quar-
ter.

o Credit limit will be reduced to ₹10,000 for persistent default-


ers.

o Restoration of credit limit requires a 3-month advance RTGS


record and approval from the Territory Manager.

o Delayed interest charges:

 ₹4,500 per quarter for distributors up to 200 MT/month.

 ₹9,000 per quarter for distributors above 200 MT/month.

C. Implementation & Governance

 Territory Managers & Regional Finance will oversee credit reviews


and credit limit withdrawals for defaulters.

 System Automation in SAP is underway for automatic credit limit as-


signments, tracking, and block removals.

 Distributors must provide an undertaking and a blank undated


cheque to avail credit.

 Legal actions for defaulting distributors will be detailed in a sepa-


rate policy note.

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6. Micro DISTRIBUTORSHIP

Chapter: Micro Distributorships

BDA -Bharat gas Delivery Assistant#

Bharatgas Delivery Assistants will be anyone who has a place from where he/she can
sell or deliver LPG Refills to customers registered with the distributor with whom the
BDA is enrolled. The preference for selection of Bharatgas Delivery Assistants for a
village/urban area is as under:

• CSC VLEs (BPC has central MOU# with CSC)

• Standalone shops in villages/urban areas

• Women Entrepreneurs

• BPCL Retail Outlets/Dealers and other BPCL Channel Partners


Eligibility criteria to become a BDA.

• General Store, Kirana Store or Convenience Store with a permanent struc-


ture, from where he/she can sell or delivery LPG Refills.

• Sufficient Storage facility of 7 cylinders of 14.2 kg or equivalent, with safety


guidelines up to 100 Kg LPG

• If the BDA wishes to store more than 7 cylinders, he can do so in Delivery


vehicles. Limit allowable as per MV Act (Nos. of cylinders = Vehicle capacity
/ 30 kg)

• An android mobile phone/Laptop for operating through App/Web

• Willing to expand business & ready to pay refundable security deposit to the
distributor.

• MoU/Agreement with Distributors

• BDA can be mapped to maximum one distributor at a time.


Forms of BDA

• General Store

• Post Office Branch

• CSC/VLED

• FTL

• BPC Channel Partner

• Women Entrepreneurs
• UD

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6. Micro DISTRIBUTORSHIP

Persona Creation of Bharatgas Delivery Assistant in LPGNEXT

Persona Creation option is available in Distributors Econnect package LPGNEXT &


currently path is available in Econnect as LPGNext Menu: Main Menu: Delivery Assis-
tant Management. Mandatory requirements are as below:

• Mobile number is mandator to be registered as the same shall be used as


identifier for Operator application (BDA Persona) configuration and other
transactions.

• Details of shop size and capacity of vehicle (as available) must be entered in
system.

• Persona is to be created poste execution of MOU between Distributor and


Bharatgas Delivery Assistant.

• Details by which the deposit is being paid has also to be entered.

• The MOU Document signed/Appointment letter in case of Urja Devi, De-


posit Document and Photograph of BDA must be uploaded in System.
The distributors will extend the following services to its registered LPG customers
through BDAs:

• Booking of new LPG connection (under Ujjwala & General categories)

• Booking of LPG refills (14.2 Kg cylinders)

• Supply & distribution of LPG cylinders (storage up to 100 Kgs) through POS
/ “Bharatgas Delivery Assistants” or through vehicles (in transit)

• Release of DBC/NC for customers

• Portability

• Other services as extended to the persona.


Conditions of BDA Agreements with Distributors:

1) BDA will make provision of “Cylinder Storage Cage,” as per the design approved by
PESO, for the safe and secure storage of LPG cylinders (up to max. 100 Kg LPG)
for the refill delivery / selling to the registered customers of the LPG distributor.
2. The LPG storage will be limited to 100kg LPG in cylinders at Bharatgas Delivery
Assistant premises at any point of time.
3. The initial, say seven 14.2 kg cylinders will be placed by the distributor at the
mapped Bharatgas Delivery Assistant. The cylinder inventory at the Bharatgas De-
livery Assistant will be accounted as the physical inventory available in the main
go-down of the distributor.

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6. Micro DISTRIBUTORSHIP

4. For ensuring 100% customer services to LPG customers, the Pre-delivery check
equipment viz. Cylinder weighing scale, LPG O-ring and valve leak detectors will
be provided by the LPG distributor, on returnable basis, to Bharatgas Delivery As-
sistant as per requirement (to be assessed locally).
5. The Bharatgas Delivery Assistant and his / her staff will be trained by the LPG dis-
tributor for the customer services, as mentioned in point 4 above.
6. It will be responsibility of the Distributor to ensure that all service standards for
LPG consumers are met fully by the Bharatgas Delivery Assistant. Action as per
respective MDG clause shall be taken for the irregularity detected.
7. Bharatgas Delivery Assistants will deposit refundable interest free security money
as amount of cylinders equivalent to the Vehicle Capacity of Bharatgas Delivery
Assistant, SD of 1 Cylinder * X (where X is the vehicle capacity in number of 14.2
Kg cylinders) or Rs 10,000, whichever is higher, in the form of security deposit,
payable to Distributor.
8. The certified copy of the agreement should be submitted to respective Territory
Office
9. In case of shortage of LPG cylinders at the premises of Bharatgas Delivery Assis-
tant, the same shall be made good to the LPG distributor @ Rs. 2300 per 14.2 kg
cylinder within a week’s time from the date of lodging of claim by the mapped dis-
tributor

Once the documents are uploaded, the request will be created and sent for SO Ap-
proval.

Salient features of BDA Agreement

SO, Approval: When the request created is approved by SO, the Bharatgas Delivery
Assistant shall be assigned a code which will be unique and can be used for transfer
from one distributor to the next.

UD (Urja Devi):

UD is the most significant version of BDA and hence it is detailed for better under-
standing. It is an extended version of BDA in which UD can sell products of LPG /
Lubes/Retail SBUs. UD is steered by New Business Initiative (NBI) focusing on busi-
ness at micro distributorships. Selection of Urja devi is done through an interview pro-
cedure by LPG/Retail/Lube/New Businesses for eligible lady candidates. Urja Devi

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6. Micro DISTRIBUTORSHIP

will be entitled to deal with the products belonging to LPG, Retail, FINO, Consumer
Retailing & Lubes. For more details refer to the UD process note. Commissioning of
Urja Devi is done post completion of mandatory training program for all UDs by an
authorized agency.

PROCESS NOTE FOR SELECTION OF URJA DEVI

Following process will be followed for selection of Urja Devi (Village Level Entrepre-
neur)

Uria devi’s Location will be a Gram panchayat and approximately 10 nos. of Uria Devi
will be appointed in a Sub districts/Tehsil /Taluka. Final location will be shared by NB
team after consultation from LPG & Retail Team as applicable.

A panel of any two officers from LPG/Retail/Lube/New Businesses shall physically


visit the Gram Panchayat for interviewing and selecting women entrepreneur from
above identified pool of candidates.

PROFILE OF URJA DEVI

• Female members of the society and residing in same Gram panchayat.


• Preferably age range is between 20 – 45 years.
• Literate member having basic reading, writing and mathematical skills.
• Should possess & be able to operate smart phone.
• Should have financial capability to invest as security deposit & working capital of
a minimum of Rs.50,000/-
• Should own space of approx. 100 sq. ft. in the gram panchayat marketplace or
willing to provide thru rental arrangements.
• Government approved ID card – Aadhar / PAN / Voter / Ration card
• PAN required for FINO registration, in case same is not available then should be
made available within 30 days of selection.
• Ambitious and aspirational.
• Wants to gain respect in society
• Wants to secure a better future for her family.
• Good Interpersonal skills, command over local language, good communicator
having ability to convince people and sell products.
Appointment Letter /Documentation with Channel Partners

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6. Micro DISTRIBUTORSHIP

• LPG Distributor shall issue an appointment letter to Urja Devi on his letter head for
door-to-door marketing of products and services of LPG & MAK Lubricants.

• For supply of FMCG / FMCD and other items from in & Out store to Urja Devi,
dealer shall appoint Urja Devi as their delivery agent & appointment letter shall be
issued by the dealership on their letter head.

TRAINING OF URJA DEVI

• Product & Process training related to Fuel will be provided by respective BU of-
ficers.
• Financial transaction training will be provided by FINO.
• Behavioural / Sales Training / In & Out App will be provided by New Businesses
BDA App for BDA Refills: Matrix of App working is here- Operator mo-
bile application is the last mile application of BPCL which can be ac-
cessed by its delivery executives or operators and BDAs. On this applica-
tion, BDA can raise an Indent, accept the delivery challan received from
the distributor present in LPGNEXT system, deliver the refills to the cus-
tomers tagged under the listed distributor, and submit the request for re-
turn of empty cylinders to the respective distributor on the app.

• Salient features of BDA App: Any refill can be delivered by BDA. Re-
striction of only online paid refills have been done away with.

• Delivery Confirmation can be done using any of three options

• Last 4 Digits of SV

• Last 4 Digits of DGCC

• OTP

• The updated Operator App can be downloaded from the link be-
low.

• https://play.google.com/store/apps/details?id=com.lma2

• BDA App can be accessed by approved mobile number in LPG Next only.

• As of now indent only of 14.2 kg can be configured in BDA App.

• BDA App allows stock of 7 cylinders or vehicle capacity (maximum stock


allowed is 28 cylinders.) only for which security deposit is given.

• Same BDA App can be used by UDs.

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6. Micro DISTRIBUTORSHIP

Action By BDA App LPG NEXT

BDA Indent creation

Distributor Indent Acknowledgement

Distributor Delivery Challan Generation

BDA Delivery Challan Acknowledge-


ment

BDA Refill Delivery using BDA App

BDA Empty Cylinder return request


creation

Distributor Empty Cylinder return Acknowl-


edgement

BDA Indent creation

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6. Micro DISTRIBUTORSHIP

For Step by step process to understand the working of Operator applica-


tion BDA persona please refer to User Manual for BDA functionalities on
Operator Mobile Application.

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7. Allied Business

Chapter: Allied Business

Beyond LPG

BPCL is the pioneer for starting nonfuel retailing in LPG business. Pursuant to CFD
approval ref: MKT.LG.VAS.CON dated 26.5.2003 on “Project beyond LPG,” we had
started the Beyond LPG initiative in 2003 – 04 with a view to leverage our strength of
dedicated customers and the extensive penetration in the market. One of the major
propositions to our customers in this initiative is Quality Assurance apart from the
other benefits of price comfort, door delivery of quality goods / services from supreme
brands / vendors of repute at attractive rates.

Beyond LPG Portal is a web-based application that can be accessed over internet /
intranet by the territories, LPG distributors, vendors and by the staff from other of-
fices. This system covers all the following processes in ‘Beyond LPG’ initiative
launched by LPG SBU. Hotplate and Suraksha tube orders are also synchronized with
new connection to understand the gap between new connection and Suraksha Tube
orders.

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7. Allied Business

This web-based system can be accessed with the URL https://ebiz.bpc.co.in/LPG/ To


simplify all the above processes, a web application has been developed to provide an
end-to-end solution covering all the following modules. The portal is owned and man-
aged by a role holder for Beyond LPG at LPG HQ. Maintenance of all the masters like
customer, vendor, stockist (C&F agent), territory, material, price etc. is done centrally
at LPG HQ. Registration of vendors, new items, pricing, etc. is maintained centrally at
LPG HQ by the role holder for Beyond LPG

Typical flow of the process for Beyond LPG is stated as under: -

• Distributor creates an Order in the Econnect Portal thru Beyond LPG Portal.
Distributor will then have to send the copy of the signed order copy with
Post Dated Cheques to Territory office for Approval from TM

• Order is then approved by the Territory Manager in Beyond LPG Portal


(ebiz)

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7. Allied Business

• Creation of PO on vendor/stockist by the territory after consolidating the


approved indents.

• Acknowledgement of PO by the vendor/stockist after receiving the same


along with payment details.

• Updating material dispatch details like dispatch date, courier name and
consignment no with respect to each indent of the distributor.

• Confirmation of material receipt by the distributor, GR & ORC Capturing.

• Various MIS reports, customer, vendor, stockist expert reports are available
in portal.

Energy Efficient Hotplate (EEHP)


The Energy Efficient Hotplate (EEHP) is a groundbreaking domestic LPG cooking
stove developed indigenously by the corporate R&D centre of Bharat Petroleum Cor-
poration Limited (BPCL). This innovation comes because of a collaborative effort be-
tween BPCL's R&D centre, the Petroleum Conservation Research Association
(PCRA), and the Ministry of Petroleum and Natural Gas, Government of India (MoP
& NG GOI). The EEHP is designed to address the growing energy demands and envi-
ronmental concerns, providing an innovative solution for households across the na-
tion.

Salient Features:

1) Designed by Expert Collaboration: The EEHP is the result of a joint venture


between BPCL's corporate R&D centre, which brings together top-notch research-
ers, engineers, and innovators, and the esteemed PCRA, along with support from
the Government of India's MoP&NG. This collaboration ensures that the product
benefits from a wealth of expertise and knowledge in the energy sector.
2. Unparalleled Thermal Efficiency: One of the most remarkable features of the
EEHP is its unmatched thermal efficiency, not only in India but also when com-
pared to similar burners worldwide. By maximizing the utilization of LPG cooking
fuel, the EEHP significantly reduces wastage and optimizes energy consumption
during cooking.
3. Superior Efficiency Over Competitors: The EEHP boasts an impressive 6-7%
higher efficiency compared to other burners available in the market. This means
that households can expect improved cooking performance while consuming less
LPG, leading to reduced energy expenses.

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7. Allied Business

4. Economical Savings: With the EEHP's exceptional efficiency, families can save
up to one LPG cylinder per year. This translates to substantial cost savings for con-
sumers, as they will require fewer refills and experience reduced expenditure on
LPG.
5. Environmentally Conscious: BPCL's EEHP goes beyond just economic bene-
fits. By optimizing LPG usage and minimizing wastage, the stove significantly con-
tributes to environmental preservation. It reduces carbon dioxide (CO2) emis-
sions by a staggering 5.4 million metric tons per year, aligning with India's com-
mitment to sustainable development and combating climate change.

Advantages of EEHP:

• Financial Relief for Households

• The EEHP's eco-friendly design aids in lowering carbon emissions, which


positively impacts the environment.

• This cultural shift towards energy conservation can have far-reaching bene-
fits for the nation's energy security.

• The successful development of the EEHP highlights BPCL capability to in-


novate and create world-class solutions locally.

Sample testing of hotplates and suraksha hoses at LERC

We have a responsibility of ensuring that the quality of hotplates and


suraksha hoses sold by our distributors are as per BIS standards (pur-
chased only via BLPG portal). Hence it is required to send samples for
suraksha hoses and hotplates from the field to LERC for testing. This

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7. Allied Business

important and crucial aspect is very important for the safety of consumers and also
covered under ‘ZKD’.

LERC has a testing portal for Territory office/State office/Regional Office


of OMCs for sending LPG Equipment samples for testing.

Brief process is as below

1. Create login ID on LERC portal – URL : Login Page - LERC

2. Collect samples of hotplates and suraksha hoses from the field.

3. Create requisition in the system for samples to be sent.

4. Download and take the print of the Test Requisition Letter and send
the same along with the physical sample

5. Courier the samples to LERC.

Address:

LPG Equipment Research Centre

Opp ITI Main Gate, Krishnarajapura,

Dooravaninagar, Bangalore – 560016

LPG In&Out Store/Dark Stores

With stiff competition and changing business environment, there is a need to diversify
and expand in new business opportunities for sustained growth. Our strong network
presence, access to consumer's homes and ability to adapt to digital media provide an
opportunity to create a strong connection with the customers and expand into non-
fuel products and services. Beyond LPG, the non-fuel initiative of LPG has existed
since 2003-04. It is purely on the ORC model. ORC earned in FY 22-23 is and FY 23-
24 is FY21-22 is 16.45 Cr, FY20-21 is 13.77 Cr and FY19-20 is 24.58Cr. While Beyond
LPG is an established business model, there are some concerns with regards to ORC
leakages, technology limitations & limited vendor scope. The new business unit pro-
cesses have come up to overcome these shortcomings and bring efficiency in the pro-
cesses. With this theme In & Out stores are introduced in LPG BU for Distributors.
In&Out Stores are proposed to go with a hybrid model. With select LPG distributors,

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7. Allied Business

physical In&Out stores shall be setup (either at the distributor showroom if space is
available or at an exclusive storefront outside the showroom premises) and a network
of Urja Devis shall also be associated with the store who shall source products from
this store and service the deep rural markets. In addition to this, by selecting distrib-
utors based on market conditions, we propose to set up a dark store. This would be a
small warehouse kind of store with no over-the-counter sales. This store will be used
only to supply goods to linked Urja Devis who shall in turn service the customers in
the surrounding areas.

Model Overview

LPG In&Out Store LPG Dark Store*


Sourc 100% Product Sourcing
100% Product Sourcing by BPCL
ing by BPCL
Complete operations and
Soft- Complete operations and billing via BPCL
billing via BPCL pro-
ware provided Software
vided Software

These stores will be located in LPG distribu-


tor premise or owned/leased premise
arranged within existing location No Specified space de-
(town/city) of the LPG distributor. velopment required; dis-
Space
tributor may operate
The LPG In & Out store is proposed to have from existing setup
store area of minimum 350 sq. Ft. with
“touch and feel” format alike modern trade
stores.

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7. Allied Business

LPG In&Out Store LPG Dark Store*


Fran- One-time Non-Refunda-
chi- One-time Non-Refundable franchisee Fees – ble franchisee Fees –
see INR 13500 +Taxes as applicable INR 13500 +Taxes as
Fees applicable
One time interest free re-
One time interest free refundable security de-
fundable security deposit
Secu- posit of Rs. 50,000/- to be collected from the
of Rs. 5,000/- to be col-
rity LPG distributor. The lock in period will be for
lected from the LPG dis-
De- 3 years and if the operator decides to close the
tributor. The lock in pe-
posit store before 3 years the security deposit shall
riod will be for 3 years
be forfeited hitherto
like store.
BPCL Shall Provide Capex for POS
Hardware, Racks, Cash Counter and re-
lated movable furniture/fixture, Brand-
ing.
Capex Nil Capex by BPCL
LPG distributor to develop In&Out store, i.e.,
civil structure, flooring, wall painting, ceiling
work, electrical/ lighting, glazing work etc. in
line with extant BPCL standards

Revenue Model

Store Fixed Recovery (per Varia-


Area month) ble Re- Min inventory
Type of Out-
(in covery cost by the dis-
let 0 -3 4-6
sq. - % of tributor
YEARS YEARS
ft.) sales
350 Rs.2000 Rs.2500
LPG In&Out 1% Rs 5 lakh
Sq. ft p.m. p.m.
Incremen- Incremen-
tal Rs. 250 tal Rs. 300
>350 p.m. for p.m. for
Rs 5 lakh + Rs 1
LPG In&Out and every 100 every 100 1%
lakh per 100 Sq. ft.
above sq. ft. in- sq. ft. in-
crease in crease in
store area store area
LPG Dark
NA NA NA 1% Rs 25000 Rs
Store
Store Selection Criteria

S.NO ITEM DETAILS REMARKS


1 STORE LOCATION MARKET PLACE
2 STORE POSITION GROUND FLOOR
3 COMMERCIAL SPACE MIN 350 SQFT BEING AN OPEN
4 FRONTAGE MIN 15 FT MARKET, HIGHER

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7. Allied Business

CEILING HEIGHT IN- SIZES ARE PREFER-


5 MIN 10 FT
SIDE THE STORE ABLE
Various Modalities, Revenue Formats, Selection criteria, Scope of work is available
with NBI teams which is being updated.

Policy on decommissioning of In & Out stores of Consumer Retailing

Listed below were the findings from the visit to these non-operational stores:

1. Dealership/distributorship related challenges:

Dealer & distributors did not understand the model initially & lost interest subse-
quently

due to long gestation period for achieving break even in FMCG business.

Non-awareness of FMCG business nitty gritty viz. wide range of assortments, ade-
quate

inventory, seasonality, expiry etc at start of business.

Lack of skills & mindset required for FMCG business.

Personal issues. Ex: Multiple businesses, remote handling of the store etc.

Financial issues in terms of maintaining sufficient stocks consistently.

Inefficient store operations viz. non-placement of store manpower, basic store

housekeeping, store timing etc.

Inability to handle expiry which is part of FMCG business

2. Catchment related challenges:

The catchment around the stores has not converted to sales because of multiple rea-
sons

peculiar to the segment ex: affinity to existing retailers etc.

Change in the physical environment viz road diversion or divider, flyover etc.

Stores which are remotely located without enough catchment.

3. Sourcing related challenges:

Aggregator issues due to distance, logistical challenges & high lead time.

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7. Allied Business

Non availability of local range of products through the aggregator.

Non supply through local vendors because of GST compliances.

Expectation of loose sales of grocery items by local customers.

It was decided the stores fulfilling following criteria maybe considered for

decommissioning & migration:

1. Stores which have completed at least 12 months of period from date of commis-
sioning

and are now non-operational & doing nil sales for more than 3 months, will be

considered for decommissioning. In other words, a store which have nil sales for a

period of 3 months after completion of 12 months since commissioning.

2. All commissioned stores which are non-operational & doing nil sales since last 3

months as on date of approval of subject policy on fulfillment of age criteria, shall be

taken up immediately either for revival or decommissioning process.

The procedure to be adopted for decommissioning will be as under:

a. MM, CR along with respective SBU sales officer will physically visit the store and
will

investigate the reasons for nil sales & have a discussion with dealer/distributor on
how

store can be revived. MM, CR & Sales officer (Retail/LPG) will prepare the minutes
of

the meeting based on the discussion with the dealer/ distributors. If the committee

finds merit in the justification of nil sales, they should submit their first information

report to concerned TM (Retail/LPG) with copy to Team Member (Sales In-charge),

CR.

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7. Allied Business

b. On receipt of the report from the above said committee, respective TM (Re-
tail/LPG) &

MM CR will assess the possibility of reviving the store. If there is no possibility of

revival, TM (Retail/LPG) & MM CR will put up the proposal for decommissioning of

In & Out store to State head (Retail/ LPG).

c. State head (Retail/ LPG) will review & recommend the proposal to the respective
SBU

(Retail/ LPG) HQ role holder and Team Member (Sales In-charge), CR for

concurrence.

d. Team Member (Sales In-charge), CR will put up the final approval to Head Chan-
nel

Partner CR/ Business Head CR.

In case the TM (Retail) & MM CR assesses that the location is not an issue & there is a

possibility of revival through a third-party franchise, the same should be explored as


per the

current franchisee policy approved by CFD after decommissioning of the store as per
above

procedure.

Forfeiture of SD/ Clearance of Overdue:

The dealer/distributor/franchise should clear all overdue pertaining to Consumer re-


tailing till

date. SD will be forfeited as per policy/agreement & will not be adjusted against out-
standings.

It is to be noted that without prior approval as per the process mentioned above, stores
will

not be considered as decommissioned and applicable recoveries (Fixed/ variable) will

continue getting debited in the SOA of customer.

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8. Customer Centric Initiatives

Chapter: Customer Centric Initiatives

a) Transparency Portal:

To bring transparency and efficiency in LPG distribution, under the mandate of


MoP&NG, OMCs had launched their own. The transparency portal provides detailed
analysis and information about LPG distributors and consumers. To access BPCL's
LPG services, consumers should visit https://my.ebharatgas.com/. This portal offers
a variety of services. Option is available for user under 2 categories –

Log in not required, following can be accessed:

• Check if you need KYC.

• Audit Distributor

• Locate distributor.

• Give up subsidy voluntarily

• Buy 5 kg Cylinders.

• PNG Consumer can opt out for at Market Price

• Apply for new connection online.

• Give feedback online

• Find 17 digits LPG ID

• Know about Pahal


• Download section.

• Other services
Services for which Logging in is required are:

• Place order online

• opt Preferred distributor.

• Rate Distributor

• Surrender multiple connection.

• Join PAHAL

• Register for second cylinder.

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8. Customer Centric Initiatives

b) Portability: #

An LPG consumer who is attached to a distributor can now change his distributor if he
is unhappy with the service of the present distributor. Under this portability scheme,
a consumer can now opt for the distributor of his choice within a cluster of LPG dis-
tributors in the vicinity and across the oil companies. The consumers will be able to
see the service ratings of all the distributors in their cluster and choose the one they
want based on service levels.

This will result in an improvement in consumer service by the distributors as it will


bring in competition in the cluster of distributors and bring choice to consumers who
want to change their LPG distributor.

Portability option for customer in HelloBPCL App/ WhatsApp:

Refill portability: Customer will be able to get refill from desired distributor
within the cluster only for one time.

Customer portability: Customer is transferred permanently to new distributor


within the cluster. New refill booking for the customer will go to new distributor.
The customer will also have the option to later change his distributor when re-
quired.

Formation of cluster for portability:

The sales officer can create a new cluster for Portability using ZCMA application
and Change Customer.

Follow the path in SAP: - ZCMA < Change Customer < Enter CC, Change cus-
tomer Details < Sales Data

The Cluster must be a seven-digit number: XXXXYYY, with XXXX being the Ter-
ritory code and YYY being the number as 001, 002, 003, in continuation to the
existing clusters present.

The Cluster must be maintained under Sales Data at Account at Customer (as ex-
hibited below).

One must add the new cluster number to be added and the Distributor will be
added to the new cluster created.

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c) PAHAL (MDBTL) #

Government of India launched the DBTL Scheme for consumer in their Aadhaar ena-
bled bank accounts. The first phase of the Scheme was launched in 18 districts on
01.06.2013. Later DBTL scheme was expanded to 291 districts in 6 phases by
01.01.2014. The DBTL scheme was kept in abeyance till further order and a review
committee was appointed. The government, after examining the difficulties faced by
the consumer, substantively modified the scheme prior to launch. The government has
announced its policy decision to resume transfer of LPG subsidy directly to customer’s
bank account. This scheme in its updated version is known as PAHAL.

Under PAHAL, besides Aadhaar, which was the link between customer on the one
hand and Bank and LPG Distributor on the other, customer’s bank account (NEFT
mandate) also will be used for transfer of subsidy. Aadhaar based transfer remains the
primary basis. Bank account linked transfer (NEFT mandate) will be the second basis,
primarily meant for those who do not have Aadhaar number. As we understand, under
PAHAL, subsidy amount per refill, which customer will get into his / her account for
every purchase of refill. There will be variation in RSP every month, depending upon
international price of LPG.

Subsidy /Advance rate to be paid to the consumer Provisions were made to pay ad-
vance to consumer for purchase of first refill and it has been stopped from 1.4.2016.

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Modification and controls consumer related process w.r.t DBTL imple-


mentation

i. For a DBTL live consumer refill booking is always done for non-subsidized
product
ii. Subsidy delivered is updated in the eligible consumer at the time of delivery
confirmation.
iii. Eligible consumer is the one with subsidy balance greater than zero and has
not opted out from subsidy process.
iv. At the time of delivery confirmation, the subsidy eligibility marker and the
subsidy eligibility quantity are updated against the refill ID
v. The subsidy amount is transferred to a consumer only when the refill is de-
livered, and the day end is done by the distributor. Once day end is done,
the delivery confirmation done cannot be cancelled.
vi. Consumers need to submit their Aadhaar card to the LPG distributors for
seeding in Aadhar number in LPG Next Portal for getting subsidy for LPG
under the PAHAL scheme (Except for the Northeastern States).

Other Consumer related Process

i. If the consumer has been provided with advance, the advance amount is re-
covered at the time of TV and recovered advance is mentioned in TV docu-
ment
ii. The advance marker in the consumer expert is changed to advance recov-
ered marker and the DBTL status of the consumer is reversed
iii. The UID bank seeding status for the consumer is reset in the KYC consumer
expert

Retriggering of failed records

Liability of rejected amounts will be maintained in books up to 3 payment attempts or


as per the retrigger count parameter in the master table, each attempt being made after
15 days of the earlier attempt. Thus, at the end of the 3rd unsuccessful attempt, liability
will be removed from books.

The retrigger batch is created separately for refill records failed for advance and for
subsidy cash transfer process. The gap of 15 days for retrigger is calculated from the

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date of batch creation. There is no master re-determination for the refills selected in
retrigger batch unless the re-determined marker in the failed refill records is active.

d) PMUY: #

Scheme for Release of Free connections to BPL Women. Companies (OMCs) to the
women belonging to the Below Poverty Line (BPL) households shall be called Pradhan
Mantri Ujjwala Yojana. Salient features and details about the Scheme

i. Commencement: The PMUY scheme came into force from 1st May 2016.

ii. Objective: Availability of clean cooking fuel is a major challenge for rural
poor households in the country. Lack of access to clean fuel .is adversely
affecting the health of particularly women and children in the households
using unclean fuel. Government is committed to providing. clean fuel to all
poor households. Therefore, the Union Budget 2016-17 allocated Rs. 2000
crore to provide free LPG connections ·to 1.5 crore women belonging to the
below power line (BPL) families during the year 2016-17.

iii. History: Initially beneficiaries were selected form SECC 2011 List. SECC -
refers to the Socio-Economic Caste census exercise initiated in the· year
2011. This exercise was undertaken in a transparent manner by the State
Governments and the Ministry of Rural Development. Deprivation Criteria
in SECC 2011

▪ Households with only one room, Kucha walls and Kucha roof.
▪ No adult members between ages of 16 and 59
▪ Female headed households with no adult male member between
16 and 59.
▪ Households with disabled member and no non-disabled member
▪ SC/ST Households
▪ Households with no literate adult above 25 years
▪ Landless households deriving a major part of their income from
manual casual labour.
iv. Cash Assistance - Central govt is financing the cost for Security deposit
for cylinder and Pressure Regulator, the cost of Suraksha Hose pipe, DGCC
book, installation, and administrative charges on one-time basis, this will

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8. Customer Centric Initiatives

cover the initial cost of Rs/-. 1600/- for providing a connection would be
provided by the Government for each new LPG connection; the OMCs would
provide an option for the new consumer to opt for EMIs, if he so desires, to
cover the cost of a cooking stove and first refill. The EMI amount may be
recovered by the OMCs from the subsidy amount due to the consumer on
·each refill.

v. Pradhan Mantri Ujjwala Yojana- Current Form

vi. Eligible beneficiary under UJJWALA 2.0- An adult woman belonging


to a poor household and not having LPG connection in her household, will
be eligible under UJJWALA 2.0. The beneficiaries should belong to any of
the following categories:

▪ Eligible as per SECC 2011 list


▪ Belongs to SC/ST households, be a beneficiary of Pradhan Mantri
Awas Yojana (PMAY), Antyodaya Anna Yojana (AAY), Forest
dwellers, Most Backward Classes (MBC), Tea and Ex-Tea Garden
Tribes, People residing in river Islands (Beneficiary will submit
supporting document)
▪ If she is not falling in the above 2 categories, then she can stake
her claim to be a beneficiary under Poor household by submitting
14-point declaration (as per prescribed format) #
Mandatory Documents by applicant for enrolment under UJJWALA 2.0

• KYC as per the standard format carrying photograph of the applicant and
duly signed. #

• POI (Proof of Identity)

• POA (Proof of Address)

• Aadhaar copy of Applicant,

• Aadhaar copy of all adult family members as mentioned in Ration Card or


similar document.

• Bank account details of the applicant

• Ration card or any other family document issued by State Govt. /District
administration detailing household composition.

• Self-declaration as per Annexure-I in lieu of Ration card for ascertaining


family composition in case of Migrant Applicants. #

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• Supporting Document, in case connection is applied under any of the seven


categories (i.e., SC/ST households, beneficiaries of Pradhan Mantri Awas
Yojana (PMAY) (Gramin), Antyodaya Anna Yojana (AAY), Forest dwellers,
Most Backward Classes (MBC), Tea and Ex-Tea Garden Tribes, People re-
siding in river Islands). #

• 14-point declaration in support of Poor household duly signed by applicant


as per standard format given. #
Aadhaar authentication- Aadhaar authentication is mandatory. It may be carried
out through Biometric scan for the connections enrolled under Ujjwala 2.0. Aadhaar
authentication is optional only in the state of Assam and Meghalaya.

LPG Stove and First refill, free of Cost- Yes, Under Ujjwala 2.0, OMCs will be
providing LPG stove and First Refill free of Cost to the customer. Hence, Customer
need not pay anything while taking LPG connection under Ujjwala 2.0.

Statutory compliances such as Pre-Inspection Check, Installation Certificate etc. to be


done as necessary

e) SAHAJ: #

SAHAJ is an initiative launched by the Government of India to streamline the process


of obtaining new LPG (Liquefied Petroleum Gas) connections. Introduced on August
30, 2015, in 12 cities, SAHAJ enables consumers to apply for and receive LPG connec-
tions entirely online, eliminating the need to visit LPG distributorships. Procedure for
Online registration for LPG Connection and payment.

Brief Procedure

• New Connection Request Submitted by Consumer through Web

• Online Uploading of necessary documents (POA, POI and Photograph).

• Verification of KYC Document by distributor

• De-Duplication Process clearance

• Confirmation for Clearance and online Payment

• E-Payment Option for Consumers

• Online E – SV Generation Detailed procedure is described below:


Consumer to fill the KYC Form: Following options available to consumer in KYC
Form

• Consumer can upload POI/POA documents online or choose offline option.

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8. Customer Centric Initiatives

• Consumer can submit CTC supporting details online and upload CTC sup-
porting documents Online.

• Either Bank Account or Aadhar is mandatory

• Consumer can choose “Opt Out” while submitting the New Connection Re-
quest itself.

• Consumer will get One Time Password (OTP) on Mobile / E-mail, which
must be entered by Consumer for Request ID to be created.

• After getting the Request ID, Consumer can proceed for On-Line document
submission if he/she has chosen On-Line document submission.

• Consumer can cancel the new connection request till On-Line Payment has
been done.

• New Connection requests for which SV has not been released within 21 days
of clearance will be automatically cancelled as being done currently.

• Distributor to conduct Online verification of KYC filled by the consumers


through web through Option in LPGNext
Verification of KYC Document by distributor: Distributor Verification Option

• This option is applicable for New Connection Requests submitted by Con-


sumer through web (with or without On-line documents) In case of On-line
documents - Distributor to check the documents submitted are correct and
cross check with Physical.

• After logging in Distributor should go to LPG Next Tab.: Click on Transac-


tion for Consumer tab.

• If Consumer belong to distributor trading Area, distributor can verify the


documents and accept if they are correct or reject if the documents are not
found in order

• In case the documents submitted are not incomplete, distributor can mark
the document “incomplete”.

• De-Duplication Process clearance: CLDP De-duplication Checks: Status of


KYC Requests can be checked in “Report on New Connections for Distribu-
tor” under “new Connection reports” in LPGNext.

• Confirmation for Clearance and online Payment - Consumers eligibility for


online payment After successful validation of document by distributor and
clearance of de-duplication process, consumer will be intimated through
SMS and Email and requested to make the online payment.

• E-Payment would be allowed only for Eligible Consumers of Distributors


which are approved by LPG HQ. (What is the meaning of Eligible Consum-
ers of distributors)

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8. Customer Centric Initiatives

• KYC request of consumer should be cleared in NIC De-duplication or by


SO/CRC
E-Payment Option for Consumers

• Eligible Consumers of these distributorships can make payment for New


Connection and other service charges online onhttps://my.ebha-
ratgas.com/

• If Online Payment is done by Consumer, the new connection request cannot


be cancelled by the consumer. The distributor must advise consumer/appli-
cant of the NC to carefully go through various charges applicable.

• If applicant chooses to make the payment, he/she will be redirected to Pay-


ment window in which all modes of payments are available viz. Net banking,
Debit Card/ Credit card etc.

• On successful payment the applicant will be redirected to https://my.ebha-


ratgas.com/

• Payment Gateway will pass the payment received from the consumer to the
respective distributor on agreed payment terms between the corporation
and the Payment Gateway Service Provider.
Online E – SV Generation

• E-SV is applicable for consumers of select Distributors authorised by LPG


HQ, wherever online payment functionality is enabled

• E-SV will be created in background in system on T+1

• E-SV will be mailed to the consumer to the e-mail ID registered during New
Connection Request

• During E-SV Creation, system checks for following points i. Successful pay-
ment by Consumer

• Duplicate Bank account / Aadhar Check – In case the Bank account /


Aadhar is already available in system against an existing consumer, the e-
SV will not be created

• For Pilot in Delhi, Distributors to issue physical SV document also

• E-SV details can be checked in ‘E-SV Details Report’ under “new Connection
reports” in LPGNext.

• Debiting to Distributor Account on SV Creation would take place as being


done currently.

f) Umang

Unified Mobile Application for New-age Governance is a mobile app, a Digital India
initiative of Ministry of Electronics and Information Technology, by the Government

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8. Customer Centric Initiatives

of India for access to central and state government services. The app supports 13 In-
dian languages and is available for Android, iOS, and Window. UMANG provides a
single platform for all Indian Citizens to access pan India e-Gov services ranging from
Central to Local Government bodies.

Following services are available on Umang BPCL

1) Grievances

i. Register new complaint (Write 1 -2 lines on each of the point)


ii. View old, registered complaint history.

109. PAHAL

i. Portability
ii. Locate distributor.
iii. Request for opt out of subsidy.
iv. Surrender connection request

110. General Services

i. Book Refill order


ii. Check Refill history.
iii. DBC Request
iv. Register for new connection.
v. Track and pay online.
vi. Upload KYC document for online application

g) e-KYC#

INTRODUCTION: To ease the filling up of the new connection enrolment form and
to ensure Authentication of the Aadhaar provided process, E-KYC is introduced. Now
e-KYC is mandatory for both normal and Ujjwala connections.

During the process of E-KYC, the authentication is done by providing the Aadhaar no.
and one of the below alternate parameters:

• Biometric Fingerprint data

• Biometric IRIS data

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8. Customer Centric Initiatives

It is important to note that for carrying out any authentication with UIDAI, the
Aadhaar holder should be duly informed about the purpose for which the Aadhaar is
being collected and the consent should be recorded before proceeding for the authen-
tication.

The Distributor needs to also ensure the following:

1) At the time of collecting Personal Information, the distributor shall identify the
purpose for which information is being collected and notify the same to Customer.
111. The distributor shall collect and use of Personal Information solely with the ob-
jective of fulfilling those purpose as specified in Section 4 of BPCL privacy policy.
Like release of Subsidized LPG Connection.
112. The distributor shall retain Personal Information as long as necessary to com-
plete updating such information on BPCL portal and creating user profile of cus-
tomer within BPCL’s system.
113. The distributor shall retain Personal Information for lawful purpose with cus-
tomers knowledge and consent.
114. Personal Information should be relevant to the purpose for which it is to be
used as specified above in point no. 2 and, to the extent necessary for those pur-
pose, should be accurate, complete, and up to date.
115. The distributor shall protect Personal Information by reasonable security safe-
guards against loss or theft, as well as unauthorized access, disclosure, copying, use
of modification.

Pre-requisites: To enable the eKYC at distributorship following two basic pre-requi-


sites need to be completed.

1) Availability of biometric device at Distributorship: The distributorship should have


procured and installed biometric fingerprint or IRIS device. Presently the bio-
metric devices of Mantra and Secugen make are supported by the application. The
specific make and model of the device and its installation procedure have been pro-
vided as a separate manual.
116. Activation of Distributorship by SO: The distributorship needs to be activated
by Sales officer. This has been kept during the initial phase to ensure that the bio-
metric device is made available at distributorship and the distributor is aware
about the process to be followed for eKYC.

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8. Customer Centric Initiatives

Sales officer can carry out the activation through the menu available in BpLPGnext ->
Transaction for Distributors

E-KYC setup (Devices and installation)

To E-KYC, 2 options have been provided:

● Biometric Fingerprint

● Biometric IRIS
To carry out verification through the Biometric or IRIS option, it is required to procure
the necessary devices through UIDAI registered vendors only. The below document is
prepared considering the use of devices of MANTRA make.

Below given are the model nos. for both Fingerprint and IRIS device:

Device Type Model Name

Fingerprint device MFS100

IRIS device MIS100

i. . New Updates in eKYC Process:

Captcha Requirement:

A captcha is now mandatory for every transaction to improve security.

Session Time Limit:

Each eKYC session has a maximum time limit of 30 minutes, after


which it will expire.

Biometric Device Registration:

Only registered/whitelisted biometric devices will be authorized


for eKYC transactions.

Implementation Timeline:

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8. Customer Centric Initiatives

System changes for eKYC through registered/whitelisted bio-


metric devices will go live on 21st November 2024.

Compliance Requirement:

All biometric devices in use must be upgraded to L1-compliant


fingerprint devices, as per UIDAI mandates.

Unblocking and Regularization of Customers – eKYC is Manda-


tory

To enhance transparency and compliance in LPG distribution, Mandatory


eKYC has been implemented for customer Unblocking and Regulari-
zation.

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8. Customer Centric Initiatives

Digital Cash Memo: Refills delivered through the Operator App are
now accompanied by a Digital Cash Memo, ensuring a seamless and paper-
less transaction experience. Upon successful delivery, customers receive a
link to download the e-invoice for the refill, providing easy access to their
billing details and enhancing transparency in the refill process.

Your Bharatgas cylinder was delivered on 04/02/2025. Download e-in-


voice using link lrt.bpcl.in/rep/cm?m=5gsVWj-TsY-hBEkwNkug4A==
within 7 days.

New Feedback Process for LPG Cylinder Deliveries:

This initiative is designed to enhance customer service and ensure a seam-


less experience for our valued customers. Below are the key details of the
process:

Process Flow:

1. Feedback Link in SMS: The delivery SMS sent to customers via LPGNxt
now includes a WhatsApp feedback URL.

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8. Customer Centric Initiatives

2. Redirection to WhatsApp: By clicking the link, customers are directed


to the LPG Feedback flow on WhatsApp, facilitated by the Urja Bot.

3. Retrieving Booking Details: The chatbot retrieves the last delivered


booking ID for the customer using the LPGNxt API.

4. Storing Customer Details: Customer details and booking IDs are se-
curely stored, ensuring no duplicate entries for the same day.

5. Collecting Feedback: The chatbot guides customers through a series of


questions and records their feedback in the database.

6. Updating Feedback: Customers who have previously provided feedback


can update it if needed.

7. Data Mapping and Updates: Feedback is mapped by area code, terri-


tory, state, etc., and duplicate feedback from previous days is managed.
This allows us to effectively gather delivery-person and area-specific in-
sights.

Ref. your booking140825, LPG cylinder is delivered on 04-02-2025. Click


the link to rate your LPG Refill delivery https://j1x.in/BPCLIN/a8900567.
BPCL

Upgradation & Feature Enhancement of www.ebharatgas.com

As part of our ongoing commitment to improving user experience and ac-


cessibility, significant upgrades and feature enhancements have recently
been implemented on the www.ebharatgas.com website. These enhance-
ments focus on an improved user interface and navigation, enhanced mo-
bile responsiveness, simplified online booking and payment systems, and
seamless integration of customer feedback and support systems.

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8. Customer Centric Initiatives

Key Enhancements & Developments:

• Content Updates: Revised and enriched information on Bharatgas,


Commercial/Industrial LPG, and an expanded FAQ section for better user
understanding.

• Urja Chatbot Integration: A smart AI-powered chatbot has been inte-


grated on the Home Page to assist users with queries and navigation.

• Updated Visuals & Links: 18 new artworks and relevant links have been
updated for a more engaging and intuitive browsing experience.

• Enhanced Contact Information: Updated regional, state, and customer


response center (CRC) contact details to improve communication effi-
ciency.

• Commercial & Marketing Manager Directory: Contact details of Com-


mercial and Marketing Managers are now displayed for direct customer as-
sistance.

• Bharatgas Mini Information: Comprehensive details of Bharatgas Mini


have been updated, ensuring easy access to relevant product information.

These improvements are aimed at enhancing customer convenience,


streamlining interactions, and delivering a seamless digital experience for
all users.

h) Bharatgas Customer Community (BCC)

Every distributor to form one Bharatgas Customer Community which will be a team of
maximum 15-20 members from selected Bharatgas customers of his/her area, his staff
and concern SO. The basic purpose of forming the BCC is to provide a platform to the
customers to exchange the information/feedback related to effectiveness of customer
service standard in the field, to understand their expectations, to inform them about

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8. Customer Centric Initiatives

various new initiatives taken by BPCL as well as to empower & nurture an everlasting
relationship with them etc. Based on the feedback/interaction further corrective ac-
tions can be taken immediately by the distributor/ company to meet the expectations
of the customers.

The selection of customers’ representatives and the functioning of the Bharatgas cus-
tomer community will be based on the following principles:

1) Of the total community, ¾ of the members should be the representatives of the


customers drawn from various socio-economic strata of the said distributors trad-
ing area. Customers having high degree of acceptability among the society and are
willing to work and spend time for the benefit of the consumers will be selected by
the distributor as the member of the BCC irrespective of their cast/creed/ income.
117. The Bharatgas customer representative become members of the community for
a period of one year after which on a rotation 1/3 of the customers representatives
will retire and new members will be selected either on recommendation from old
members or by distributors himself.
118. The distributor will convene the meeting of the BCC once in a quarter or earlier.
A nominated member of the community will chair the meeting and will be attended
by other representatives of customers as well as the concern SO and selected staff
of the distributor.
119. The SO will function as the facilitator and will formulate the agenda in consul-
tation with all concern.
120. Various initiatives taken by the company /distributors to enhance customer
service will be communicated by the distributor & SO to the other members of BCN.
Feedback and suggestions will be taken from them to know the actual status of im-
plementations of all these initiatives in the field.
121. BCC members will also be taken to the LPG plant at company’s cost and the
cylinder filling & quality control system will be explained to them in details. They
will also be invited to arrange the safety & conservation clinic at their locality and
to participate therein
122. Various other customer awareness program at local schools, colleges and other
places will also be conducted with the assistance of the customers representatives
of the BCC Engagement of customers at Territory level:

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8. Customer Centric Initiatives

Consumer Advisory Panel (CAP): Every SO will form a consumer advisory panel
consisting of the reputed non-political persons of the society and selected members of
the BCC under his operating area. The panel will meet once in six months and will
suggest many ways & means to enhance customers service/ meet the LPG requirement
of the local customers (details to be worked out)

Bharatgas consumer meet/mela/Kitchen queen contest: Bharatgas consumer


meet/mela/kitchen queen contest will be conducted by every SO once in a year to pro-
vide a platform to the customers to exchange their view/ get acquainted with various
initiatives taken by BPCL to support customers. (Details to be worked out) Engage-
ment of customers at region level:

i) Smart Line

At Bharat Petroleum, Customer centricity being one of our core values, customers and
their convenience are integral to all our business operations. With the same goal, we
have introduced BPCL Smart Line (1800-22-4344) SalesBuddy CRM, a single window
system to listen to queries, suggestions, feedback, and compliments related to any of
our products and offerings.

Smart Line is our All India contact center for consumers. Smart Line also functions as
a 24x7 Emergency Helpline (Gas Leakage) to provide immediate assistance. This Toll-
Free number is a direct connection between our customers and field teams through
which customers can connect with BPCL anytime. The system is so configured that an
SMS/Email confirmation is triggered at the time of registration and closure of a cus-
tomer interaction.

BPCL Smart Line – "Ek Call Sab Solve". We are just a call away!

j) LPG Emergency Services-1906

We have an all-India Unique Number called 1906. This multilingual LPG Emergency
Helpline was dedicated to the nation on 1.1.2016 by the Hon'ble Minister of PNG. This
facility is available 24*7 operations with 2 shifts 12 hours each for attending emergency
LPG leakage complaints. The call center is having a web-based application for logging,
viewing, monitoring the call logs and Updating of the contact details of the mechanic
& field officers.

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8. Customer Centric Initiatives

The escalation is: First call lands at Mechanics number, 2nd at Distributor’s number,
3rd at Field Officers then at Territory Manager and so on and so forth. Customer must
just remember one number 1906 PAN India and all leakage complaints are taken
through this call center.

Web portal https://app.cyfuture.co.in/login.php

Give it Up #

Background: CSR Scheme: - As part of the Vision 2015, a scheme for release of one-
time grant to BPL families in the rural areas for release of new LPG connection through
Rajiv Gandhi Gramin LPG Vitrak Yojana was approved by the Ministry in Jan’2010.
For extending the facility to all BPL families across the country, it was further extended
for Financial Year 2015-16, through both regular LPG Distributorships and Rajiv Gan-
dhi Gramin LPG Vitrak.

Funds for security deposit of BPL connection under CSR Scheme: - As per
the scheme, BPL families can avail new LPG connection without paying the security
deposit of one cylinder (14.2 kg or 5 kg capacity, as the case may be) and one Pressure
regulator. The amount towards security deposit for one cylinder and Pressure Regula-
tor is paid by from the fund created from contributions from the CSR Fund of ONGC,
OIL, GAIL, BPC, HPC and IOC.

Correlation between GiveItUp & BPL connection release: - Government has


decided to utilize the money saved on account of GiveItUp Scheme in providing sub-
sidized LPG to the weaker sections of the society who are still using conventional fuels
for cooking. By the launch of this campaign, it was envisaged that there would be no
additional subsidy burden to Government as one BPL connection is released against
each subsidy surrender. After 28.03.15 the date of Urja Sagam (launch date of this
campaign) each BPL connection release is mapped to the GiveItUp consumers. List of
BPL beneficiaries who has been issues LPG connection because of giving up of LPG
subsidy by GiveItUp customer is displayed in www.myLPG.in

Modes for Opt-Out of subsidy

There are 6 modes through which consumer can opt out of subsidy

1) Web: web has 2 categories

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8. Customer Centric Initiatives

i. Mobile Application:
ii. SMS: consumers now have option of using SMS for opting out by sending
GIVEITUP.

123. By filling up the form and providing the same to the distributor: Distributor/SO
will have ensure to process all the requests within 48 Hrs.
124. Out Bound Dialling: An external agency was hired by the industry made out-
bound calls to the consumers and played an IVR message asking them to opt out.
The consumers who confirmed opting out by pressing the IVR option were opted
out as one time batch processing exercise.
125. IVRS: option for opt out has also been introduced on the IVRS facility utilized
by the consumers for booking refill, if the consumer presses the button for opt out
option, then they are opted out immediately as they are calling from their regis-
tered number.

Initially the check on the opted-out consumers for opting in was maintained during
the fiscal year.

Thereafter on receiving revised instructions from MoP&NG the check was revised to
365 days (about 12 months).

NOTE: the TM has the option for opting in consumers opted out through OBD and
IVRS.

k) PFMS

Introduction to Public Financial Management System

The Public Financial Management System (PFMS) is a web-based online software ap-
plication developed and implemented by the Controller General of Accounts (CGA),
Department of Expenditure, Ministry of Finance, Government of India. PFMS started
during 2009 with the objective of tracking funds released under all Plan schemes of
Government of India, and real time reporting of expenditure at all levels of Program
implementation. Subsequently, the scope was enlarged to cover direct payment to ben-
eficiaries under all Schemes. Gradually, it has been envisaged that digitization of ac-
counts shall be achieved through PFMS and beginning with Pay & Accounts Offices
payments, the O/o CGA did further value addition by bringing in more financial activ-
ities of the Government of India in the ambit of PFMS.

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As the backbone of the payment system of the Government of India, PFMS is inte-
grated with the Core Banking system in the Country, and hence, has the unique capa-
bility to first validate the account before pushing online payments to every benefi-
ciary/vendor. At present, PFMS has interface with the Core Banking System (CBS) of
over 300 Banks, including all Public Sector Banks, all Regional Rural Banks, major
private sector banks, Reserve Bank of India, India post and Cooperative Banks. With
time, the integration must become universal, i.e., interface is to be established with all
the Banks operating in India. Interface with the National Payments Corporation of In-
dia (NPCI) has also been developed that facilitates validation for Aadhaar-linked pay-
ments.

PFMS is also the channel for payment, accounting and reporting under Direct Benefit
Transfer. As such, every Department/Ministry of Government of India transfers funds
electronically to beneficiary (individual or institution) through PFMS.

Direct Benefit Transfer (DBT): The DBT Scheme was announced by the Government
of India for implementation w.e.f. 01.01.2013. It has been decided that payments
(Aadhaar enabled or via NEFT) to ultimate beneficiaries will be processed through
PFMS (CPSMS). The erstwhile Planning Commission issued detailed guidelines on
12.4.2013 (OM No 4) regarding use of CPSMS by Ministries /Department/Implement-
ing Agencies for DBT.

Further, the use of PFMS has been made mandatory for payment, accounting and re-
porting under Direct Benefit Transfer, with effect from 1st April 2015. No payments
under the Direct Benefit Transfer schemes (except PAHAL) are to be processed, unless
the electronic payment files for such payments are received through the PFMS system
developed by the CGA from 1st April 2015.

Now on instructions of MOPNG subsidy transfer was made live on PFMS in 2021, an
option was given to Distributors to verify the PFMS Bank Mandate Name Verification
to make the customers eligible for subsidy transfer. Accordingly, beneficiaries were
created using bank and Aadhar details seeded earlier with us.

Roles and Responsibilities of distributor

i. Ensure correct Aadhar and bank details are seeded for all eligible customers
ii. Bank mandates are verified for cases where response from PFMS received
for bank details mismatch cases.

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iii. In case where bank mandate has been rejected, fresh seeding of correct bank
details

l) Digital:

Digital transactions: Digital transactions are defined as transactions in which the cus-
tomer authorizes the transfer of money through electronic means, and the funds flow
directly from one account to another.

Importance of Digital Transactions:

• Convenience & accessibility: Customers no longer need to carry cash or


visit an ATM. In fact, they do not even need to be physically present to pay!
Customers can pay anytime from any part of the world.

• Cost savings through increased efficiency and speed


• Transparency and security by increasing accountability and tracking,
reducing corruption and theft as a result.
Common Terms in Digital Payments:

• Onboarding- The process of adding the new merchant in a payment gate-


way system so that merchant can receive online payments.

• Payment Aggregator- A payment aggregator is an intermediary service


provider that allows merchants to process mobile or e-commerce payments
made by customers digitally. In India, these entities mostly include fintech
startups such as PayU, Instamojo, Paytm, Razorpay and BillDesk among
several others.

• NPCI- NPCI” means National Payments Corporation of India, a company


incorporated in India under Section 25 of the Companies Act, 1956 (now
Section 8 of Companies Act 2013) NPCI acts as the settlement, clearing
house, regulating agency for UPI services with the core objective of consoli-
dating and integrating the multiple payment systems with varying service
levels into nation-wide uniform and standard business process for all retail
payment systems.

• UPI -Unified Payments Interface (UPI) is an instant real-time payment sys-


tem developed by National Payments Corporation of India facilitating inter-
bank transactions.

• BHIM- Bharat Interface for Money Transfer (BHIM) is a digital wallet de-
veloped by NPCI like other wallets like Paytm, Google pay etc.

• Merchant Discount rate (MDR) charges- MDR charges is the cost paid
by a merchant to a bank for accepting payment from their customers via
digital means. The merchant discount rate is expressed in percentage of the
transaction amount.

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Digital Payment options available for Prepaid Payments

i. Direct Integrators:

▪ Amazon
▪ Bill Desk
ii. Indirect Integrators via BBPS (IndusInd Bank) platform:

▪ Google pay
▪ Paytm
▪ Phone pe
▪ Mobikwick
▪ Bharatgas IVR PayNBook- 8045163554
▪ All other BBPS enabled banking apps
Digital payment options for postpaid payments (Merchant payments):

i. Static QR code PAYTM/BHIM QR carried by the delivery boys.


ii. PAYTM EDC Device

Reconciliation of digital payments in distributor SOA:

Payments in distributor Account will reflect with certain remarks for all the integra-
tors:

Payment Gateways Payment remarks in SOA

Amazon Euronet

Bill Desk Nodal Account

Sample screenshot of distributors SOA how settled payment will look:

Payment from Amazon

Payment from BBPS

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Payment from Bill Desk

Payment from CC avenue

Distributor can see daily settlement amount in his account from report on LPGNEXT
à reports à Digital transactions report à Daily summary of online payment report for
distributor

Merchant wise transaction can be seen from LPGNEXT à reports à Digital transac-
tions report à Merchant transaction report

Integrator wise transaction report on SO ID – BI Digital transaction report

Pradhan Mantri LPG Panchayat

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Pradhan Mantri LPG Panchayat is an initiative launched by the Government of India to


promote the usage of liquefied petroleum gas (LPG) for cooking in rural areas. The program
aims to educate and empower rural households, particularly women, about the benefits of
clean cooking fuel and encourage them to switch from traditional cooking methods such as
firewood and dung cakes to LPG. LPG Panchayats are community gatherings held at the village
level, where beneficiaries share their experiences, discuss safety measures, and learn about the
advantages of LPG.

Since PMUY focuses on BPL households, it is essential to ensure the safety and security of
these first-time LPG users. Accordingly, LPG Panchayats were introduced to bring together
around 100 LPG customers in their local community on an interactive platform to discuss the
safe and sustainable usage of LPG and its role in women’s empowerment.

These LPG Panchayat meetings facilitate interaction among LPG consumers, promote mutual
learning, and provide an opportunity for beneficiaries to address concerns. Various
stakeholders, including OMC officials, distributors, mechanics, and delivery personnel,
participate in these meetings to ensure users receive proper guidance on safe LPG usage.

Benefits of LPG Panchayat

The Ujjwala Yojana has significantly improved the lives of millions of women across India. The
transition to LPG cooking has reduced the burden of collecting firewood, allowing women to
spend more time on productive activities such as education, employment, and family care. It
has also helped improve health outcomes by reducing indoor air pollution, which previously
caused respiratory illnesses.

These LPG Panchayat meetings are crucial for strengthening the connection between
beneficiaries and the LPG ecosystem. They serve as a platform to gather feedback, share best
practices, and reinforce the importance of safe and regular LPG usage.

Additionally, LPG Panchayats serve as an avenue to inform users about other government
initiatives, such as MUDRA, Stand-Up India, Sukanya Samriddhi Yojana, and the National
Rural Livelihood Mission (NRLM), encouraging them to leverage these programs for further
empowerment.

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Key Themes to be addressed:

1) Health: According to WHO estimates, indoor air pollution is the biggest killer in
India after high blood pressure, accounting for about 5 lakh premature deaths
every year. Using traditional stoves in rooms with little or no ventilation can have
dire consequences for those exposed, especially women who are cooking and young
children who spend time around their mothers. Cooking on an open fire in the
kitchen has been compared to burning 400 cigarettes in an hour. Thus, crores of
households completely switching to LPG will have a massive impact on the health
and wellbeing of women.
126. Economic Cost: The burden of gathering, processing, and transporting of fuel
wood falls on women and girl children, contributing to their drudgery. Since cook-
ing continues to be primarily women’s responsibility, women are forced to com-
promise their time spent on housework, paid work, and leisure to meet the energy
needs of the household. In case of young girls, this translates into poor attendance
and even dropping out of school. With LPG usage, there is substantial reduction in
the time spent on cooking and allied activities, which when put to some productive
and economic use, can lead to women achieving a better economic status both
within the household and the larger community.
127. Safety: Right from the inception of the Ujjwala program, emphasis has been
laid on safe use of LPG. The envisioned benefits of LPG can only be realized if there
is safe and responsible usage. At the time of issue of connection, each customer is
given a safety card outlining the Dos and Do nots of using LPG. A trained mechanic
does the installation of LPG cylinder and gives the customer a demo of how to use
LPG safely. Furthermore, all LPG distributors are mandated to conduct ‘safety clin-
ics’ in their respective areas of operation, especially for new LPG customers. Con-
sumers are also given a helpline number where they can call in case of a leakage or
any other LPG related emergency.
128. Environment: The soot and smoke produced by biomass cooking is damaging
to the home environment. Biomass use also contributes to deforestation and over-
all degradation of the local environment. However, while making a choice between
biomass and LPG, people often consider the former cheap (if not free), a perception
that acts as a deterrent in switching to LPG. The effort and time spent collecting
biomass has been increasing due to the shortages caused by localized deforestation.

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Again, like health, the adverse environmental impact of biomass cooking is de-
ferred and hence hard to understand. It is important therefore to raise this issue in
context of switching to a clean fuel such as LPG usage.
129. Empowerment Ujjwala was launched with the aim of providing women what
is their right: right to clean energy, right to a life free from drudgery, free from
smoke and ill health. Since then, Ujjwala has slowly and steadily been changing the
lives of millions of women across the nation. This change looks different in the life
of every woman. Switching to LPG gives women the opportunity to choose how to
best use their time, a chance that may allow them to better take advantage of de-
velopment opportunities and empower themselves. Access to and adoption of LPG
can facilitate a shift in gender roles and responsibilities within the household if
women access opportunities to enhance their income. Again, women who are using
LPG regularly would have experienced most of the expected benefits. There is a
need, therefore, to discuss and explore the possibilities that have opened for these
new LPG users and the ways they can access these opportunities.

Viksit Bharat Sankalp Yatra (VBSY):

VBSY aims to ensure that benefits from the Pradhan Mantri Ujjwala Yojana (PMUY)
and other LPG-related initiatives reach every eligible household in rural areas. To
achieve this, we need to monitor and report progress at the village level.

Process for Performance Monitoring:

1. LGD-Based Village Mapping for VBSY Monitoring:

o Update Consumer Village Master: Access the Transaction for Dis-


tributors under LPGNEXT and select "Update Village Master of Con-
sumers" to map consumer into urban or rural category.

o Assign LGD Details: Ensure that each consumer is assigned the cor-
rect Local Government Directory (LGD) details specifically, the district,
block, and village to align with official records. For consumers in urban
areas, mapping at the district and subdistrict levels is mandatory. For
those in rural areas, mapping at the district, subdistrict, and village lev-
els is compulsory.

2. Village-Level Data Tracking:

o Monitor LPG Penetration: Track the penetration of LPG connec-


tions in each village under VBSY.

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8. Customer Centric Initiatives

o Conduct Additional Activities: Activities such as KYC collec-


tion, eKYC completion for existing customers, and mobile
number updates were conducted.

3. Consumer Awareness and Scheme Implementation:

o Conduct Awareness Drives: Organize campaigns aligned with VBSY


objectives to promote LPG adoption in rural communities.

o Educate on eKYC and Safety: Inform consumers about eKYC re-


quirements, regularization processes, and safety measures.

o Facilitate New Connections: Host on-ground camps to assist with


new PMUY connections and educate consumers on subsidy benefits.

"Hamari Rasoi, Hamari Zimmedari" into the LPG Basic Safety Check
Campaign

In response to the Cabinet Secretary's letter dated July 1, 2024, urging all Ministries and De-
partments to develop initiatives aligned with the 'Panch Pran' resolutions announced by the
Hon'ble Prime Minister on August 15, 2022, the Oil Marketing Companies (OMCs) have inte-
grated the fifth resolution—"Sense of Duty among Citizens"—into the ongoing LPG Basic
Safety Check (BSC) campaign. This sub-campaign, titled "Hamari Rasoi, Hamari Zimmedari,"
emphasizes the shared responsibility of kitchen safety between companies and consumers.

Campaign Objectives:

 Enhance Consumer Awareness: Educate consumers about their pivotal


role in maintaining LPG safety within their households.

 Promote Active Participation: Encourage consumers to adopt safe prac-


tices and regularly conduct safety checks.

 Strengthen Safety Culture: Foster a community-wide commitment to


safety, reducing the incidence of LPG-related accidents.

Activity Plan:

The "Hamari Rasoi, Hamari Zimmedari" campaign executed jointly by the OMCs
through coordinated efforts at both the Head Office (HO/HQ) and field levels.

1. HO/HQ Level Activities:

 Development of Educational Materials: Create informative content, in-


cluding brochures, videos, and infographics, highlighting essential safety prac-
tices and the consumer's role in ensuring kitchen safety.

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 Digital Outreach: Utilize official websites, social media platforms, and email
newsletters to disseminate safety information and engage with consumers.

 Media Collaboration: Partner with media outlets to broadcast safety mes-


sages, ensuring widespread reach and impact.

2. Field Level Activities:

 Safety Workshops: Organize interactive sessions in communities to demon-


strate proper LPG handling and emergency response techniques.

 Safety Audits: Conduct household visits to perform safety checks, provide


personalized advice, and distribute safety literature.

 Feedback Mechanism: Establish channels for consumers to report safety


concerns and share suggestions, fostering a two-way communication process.

Implementation Timeline:

The "Hamari Rasoi, Hamari Zimmedari" campaign run concurrently with the ex-
tended BSC campaign, from its inception on March 5, 2024, through December 31,
2024.

Basic Safety Check Campaign:

The Basic Safety Check Campaign for LPG, initiated on March 5, 2024, and con-
cluded on December 31, 2024, was a significant safety initiative by the Ministry of
Petroleum and Natural Gas in India. This campaign aimed to enhance the safety of
LPG usage across households by conducting thorough safety inspections and raising
awareness about proper LPG handling practices.X

Key Highlights of the Campaign:

 Launch and Duration: The campaign commenced on March 5, 2024, and


spanned until December 31, 2024.

 Scope and Reach: Over 8 crore (80 million) LPG households were reached
during this period, underscoring the extensive efforts to promote safe LPG us-
age.

 Activities Conducted:

o Safety Inspections: Comprehensive safety checks were performed at


consumers' premises to identify and rectify potential hazards associ-
ated with LPG installations.

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o Awareness Programs: Educational initiatives were organized to in-


form consumers about best practices in LPG handling, storage, and
emergency response.

 Impact: The campaign significantly reduced risks associated with LPG usage,
contributing to safer households nationwide.

District Ujjwala Committee (DUC):

The District Ujjwala Committee (DUC) is a district-level body established to oversee the ef-
fective implementation of the Pradhan Mantri Ujjwala Yojana (PMUY), a flagship scheme
aimed at providing free LPG connections to women from economically disadvantaged house-
holds. The primary responsibilities of the DUC include:

1. Scrutinizing Applications: Ensuring that only eligible households receive


LPG connections by thoroughly examining PMUY applications.

2. Monitoring Progress: Reviewing pending applications and facilitating their


timely processing within the district.

3. Public Awareness: Promoting the scheme's guidelines and eligibility crite-


ria to ensure that potential beneficiaries are well-informed.

The composition of the DUC typically includes the District Magistrate as the Chair-
man, officers from Oil Marketing Companies (OMCs), and other relevant district offi-
cials.

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9. Complaint Management

Chapter: Complaint Management

a) Complaint Management

The quality of interaction with customers at every stage is critical to customer satisfac-
tion. To ensure a consistent, customer centric approach towards resolving their issues
and complaints, there was a need to be sensitive to customers’ perspective for effective
handling of customer’s quarries / grievances. Usually, the customer gets dissatisfied
due to following reasons:

Ignorance to the customer’s presence

i. In sincere gesture to the customer’s difficulty or grievance


ii. Lack of knowledge of procedure or understanding the nature of complaint
iii. Impatient or rude behaviour by the staff
iv. Superiority complex over the customer
v. Tendency to oppress and discouraging the customer.
vi. Delay in resolving the complaint.
vii. Poor communication skills
viii. Corrupt practices

In business all the organizations interact with customers & there is no getting around
of customer grievances irrespective of the type of industry. However, using these steps
we can make the customer feel that we care for him. The salient features of each step
are detailed below:

i. Receive the customer.


ii. Greet the customer when he enters.
iii. Request him to take a seat & offer a glass of water.
iv. After the customer settles down ask him the purpose of his visit
v. If too crowded, he may be issued a token number to ensure that he is lined
up for sure.
vi. If getting delayed due to previous customer in hand, he should be prompted
with an assurance, with intervals.
vii. In case the customer contacts you over phone greet him / her and ask how
you can help him/her

Provide a patient hearing to what the customer must say and let him finish:

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9. Complaint Management

i. Listen to the customer carefully to understand the reason of his/her visit/


telephone call. Paraphrase in your own words what you are hearing to show
that you have listened.
ii. If any telephone call is received during the discussion with the customer
(i.e., during customer’s personal visit), keep it short to make the customer
feel that he/she is important to you.
iii. Always maintain eye contact with the customer when he/she is speaking.
Express your empathy to customer through your body gesture.
iv. The customer may take this opportunity to pour out all the frustration built
up due to little known facts, procedure involved, documents required and
may squarely blame the distributor, company, and the Govt. for making a
simple change so difficult.
v. If the grievance is deep, there may be voice variation, improper words or
personal blaming which can be moderated repeatedly by showing empathy
and assurance to address the matter.
vi. Give a patient hearing so that all the grey areas can be composed while coun-
selling. Allow the customer to say their part of the story and provide them
enough opportunity to vent out their grievances/emotion / frustration from
their heart. Try to understand the reason of his/her annoyance. Identify the
background of his untoward behaviour/source of frustration.
vii. During the conversation, if the customer is persistently rude and raises
voice, do not retaliate by being discourteous. Keep calm and say them firmly
but politely that if they want any assistance from your end, they should talk
to you in a proper way. Be assertive and explain that he/she should provide
all the information properly to enable you to take appropriate action.
viii. While listening send a powerful unspoken message that you care about
them and are sincere in your approach to resolve the issue.

Acknowledge his need/concern and get clarity about the issue by asking questions
in caring and concern manner.

i. After the customer narrates his/her need/ explains his/her ordeal


acknowledge their concern in polite manner and complement him/her for
being associated with Bharatgas

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ii. Give a positive response to what they have told you. Reassure them that you
want to help. Try to get the bottom of the issue by asking focused questions
in a caring manner.
iii. Repeat the questions carefully touching the pain areas if required so that
there is no chance of misinterpretation of facts from your end. This will also
provide a comfort to the customer as he/she will realize that you are paying
attention to what they are saying.
iv. Summarize all the issues narrated by him. Make sure you are getting to the
problem at hand quickly and get his approval about the same.

Put yourself in customer’s shoes.

i. Empathize the customer to ensure that he/she feels that you are really in-
terested to help. They need to feel that you are on his or her side and
ii. Do not oppress / discourage the customer to narrate their problem and ap-
preciate their issues. Give a feeling to them that they have come to the right
place and their problem will be resolved to their satisfaction.

Investigate & responds to the customer in a positive manner:

i. Investigate the complaints /grievances & try to resolve the issue then &
there.
ii. Register the request if required and provide him/her the reference.
iii. If there is a genuine shortcoming/lapse at our end, sincerely express regret
without blaming anybody for the inconvenience caused to the customer.
This will help him to appreciate our sincerity to resolve the issue.
iv. Address the doubts of the customers in an unambiguous way about any pro-
cess / system of LPG distributorship appointment/enrolment of N/C, name
changes, booking & delivery of refill / mechanic services etc. List out the
steps in short and corresponding documents wherever needed.
v. If the issue is of submitting some documents of routine nature, explain him
the perspective behind submitting those documents and assure him that the
matter will get resolved immediately after the documents are received.
vi. Carefully touch up on the grey areas which were captured and suggest the
remedial measures to fall in line with the procedure.
vii. Explain him entire system like a prescription.

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viii. If you cannot help the customer there and then, for example you need
further information / temporary restriction on availability of product (say
DBC) / prohibited as per guidelines, you should politely explain to them why
you cannot help at this stage or why you need to speak to someone else and
let them know when you will get in touch with them once again. Only make
realistic promises and ensure that you do follow it up. Close the discussion
a positive and constructive note
ix. Always keep your promise & revert to the customer within the committed
period

Here is an example: Let us say a customer contacted you with a complaint about
the delay in getting the refill supply. Responding in a “positive language" can in-
fluence the customer’s impression.

• Without positive language: "We are short supplied by the company.


Whenever the supply is made, we will inform you "- Customer feels that you
are least bothered about his/her problems.

• With positive language: "We have placed the order and the supply is on
the way. Even if gets delayed, we will work overtime to deliver the refill at
the earliest”- Customer realizes that you are serious in resolving his/her dif-
ficulties.

Follow up

i. If necessary, follow up the complaints with the concern department and re-
vert to the customer at the earliest and of course within the stipulated time.
ii. Take care that the issue has been resolved based on corporate guidelines.
iii. Try to resolve the issue keeping in mind the interest & expectation of the
customer.

Here is an example: Let us say a customer contact you with a complaint about
poor service received from the mechanic. Here is how the customer perceives your
response depending on your approach:

• Without positive language: "He’s not there right now, we will ask him
what the matter is and then we will come back to you."- Customer hears that
you do not care for him/her.

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9. Complaint Management

• With positive language: "We will see that he revisits your house at the
earliest and unless you are satisfied with the service; we will not close the
call"- Customer understand that you really care.

b) Modes of Contact / Complaint

The customer can give complains / queries from the following modes,

1. Toll-Free Helpline:

 Customer Care (24/7): Dial 1800-22-4344 to reach Bharat Gas's all-India


contact center. This helpline is available around the clock for queries, com-
plaints, and feedback.

 Emergency Gas Leakage: In case of a gas leak, dial 1906 immediately for
immediate assistance.

2. Online Feedback and Complaint Portal:

▪ Online from www.ebharatgas.com

▪ Bharatgas Mobile App – Hello BPCL

▪ Social Media (MoPNG e-Seva)

▪ WhatsApp through 1800-22-4344

▪ CPGRAMS portal (pgportal.gov.in)

Bharat Gas Official Website: You can submit your complaints, feedback, or re-
quests via the online portal:

▪ Visit Bharat Gas Customer Support to raise a complaint or query.

BPCL Enquiry Portal: Use the official BPCL portal for inquiries and submitting
feedback.

▪ Bharat Petroleum Enquiry Portal

3. Email Support:
a) General Inquiries: Email [email protected] for general queries or
concerns.
b) Customer Service: For LPG-specific issues or customer service, send an email to
[email protected].

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4. Social Media:
 Twitter: You can reach out to Bharat Gas via Twitter by sending a direct mes-
sage to @BPCLimited.
 Facebook: Connect on official Facebook page: Bharat Petroleum Corporation
Limited.

 Instagram: Connect on official bpcllpg

5. Local Distributor or Customer Relations Center (CRC):


 You can also contact your local Bharat Gas distributor or visit your nearest Cus-
tomer Relations Center (CRC) for assistance.
o Find the nearest CRC via the official Bharat Gas website.
7. Mobile Apps:
 Hello BPCL App: Download the official Bharat Gas mobile app to manage
LPG services, raise complaints, and track refills.
.

Whenever a consumer logs in a complaint in any of the above modes, a case ID gets
generated by the respective Agency who is handling the above modes of complaints
(except PG Portal & 1906). The Case ID is then pushed to the Salesforce Application.
In addition to the sales force application, the Distributor, Sales Officer, and Territory
Manager are also informed of the complaint through SMS / email. On receipt of the
same the distributor will take necessary action to resolve the issue. After the complaint
is resolved then the distributor will mention his/her comments through e-connect por-
tal, and some will flow to CRM (SalesBuddy). CRC will review the complaint and shall
mention his remarks and shall close the complaint. In case the complaint is serious,
the CRC will discuss it with the Sales Officer and a detailed investigation must be done
before the complaint's closure.

Care to be taken while closing the complaints, the same must be closed only after the
same is resolved as per satisfaction and actual requirement of the customers.

Emergency contact number of distributor / mechanic can be changed by logging into


1906 portal by concerned territory.

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Contact number of distributor/mechanic can be changed by logging into econnect por-


tal by distributor or by concerned SO through ZCMA t-code in SAP.

Whatever grievance has been pointed out by the customer should be resolved and clo-
sure remarks of the complaint should reflect the same. It should not be resolved with
remarks like “Distributor has been advised” or Advised customer to contact distribu-
tor. Every closure of complaint can take place only when action is initiated to redress
the same and this is true of complaint be it in CCS, PG Portal, VIP Ref, or social media
i.e., for example.

• If the complaint is of delayed refill supplies, then it can be closed only when
cylinder is delivered and cash memo no and date is mentioned in the closure
report.

• If it is pertaining to release of new connection, then you can close it after


release of connection and quoting the SV No and date

• If it is online payment complaint where distributor is also collecting money,


then it can be closed only after refund is made to customer and acknowl-
edgement is obtained.

• If in certain DBTL cases where BPCL is not at fault then talking to him is not
enough, put it in writing to him as to what he should do.

• Subsidy related – be specific as to what the customer is expected to do – In


these cases we find remarks like “contact sales officer” which is not closure.

c) PG Complaints #

The site for closure of PG complaint is http://pgportal.gov.in. Every territory has in-
dividual login to check the status of the complaint & to close the same.

There are many territories who routinely close these complaints with standard type of
letters without replying to queries raised by the customer. Today people are tech savvy
and if they are not satisfied, they will just go to social media / twitter etc. to complain
and they will not hesitate to upload the closure reports as well for everyone to see in-
cluding the ministry officials. Please do not resort to shortcut statements like advised
distributor and close the complaint. This is exactly what irks the customer. More such
complaints are coming into Social-Media.

Please be more vigilant and train the distributor staff to attend to complaints properly
and you must supervise and ensure that closure is of quality closure. There should not
be a second chance for the customer to complain.

The following points may be kept in mind for closure of PG portal complaints.

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1) All the points raised by the complainant should be replied. Please avoid gener-
alized reply.
130. It is mandatory to send email / letter # (on BPCL letter head) to the complain-
ant informing him the details of action taken by us. The communication
should be from BPCL officials only. Distributor or any other non-man-
agement staff has no authority to contact the complainant or prepare
the closure.
131. In all communications, Subject should bear Complaint Number and full name
of the complainant. It is mandatory to mention the date on which the cus-
tomer is contacted and by whom.
132. In case of complaints about delay in refill supply, the screen dump of the refill
delivery data from transparency portal needs to be attached to justify our stand. If
there is an inordinate delay in refill supply, then it is mandatory to
mention the reason for this delay.
133. In case of release of New gas connection or DBC - SV NO and SV date should be
mentioned. It is mandatory to give explanation for the NC not released.
134. If the customer has given the letter of satisfaction in regional language, then
translated copy of the customer’s letter (Hindi/ English) should be attached along
with it. Translation can be done by BPCL officials.
135. If it is online payment complaint where distributor is also collecting money,
then it can be closed only after refund is made to customer and acknowledgement
is obtained. This happens purely on account of distributors negligence
136. If in certain DBTL cases where BPCL is not at fault then talking to him is not
enough, put it in writing to him as to what he should do.
137. All the complaints should be closed within 10 days of receipt of the same.

Type of Com- Closure Details


plaints

PG Com- Complainant’s letter of satisfaction is mandatory, along with


plaint the Territory’s letter. Please note, Territory’s email or a letter
on BPCL letter head is Mandatory for all the complaints
posted on PG portal.

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9. Complaint Management

Other than Complainant’s Letter of satisfaction is not mandatory. How-


PG com- ever, it is mandatory to send email / or Territory’s
plaints letter on the Company’s letter head to the complainant, on
the email Id / Residential Address provided by him and at-
tach the scanned copy of the same on PG portal.

Process of closure of Complaints

Refer Circular dated 10th July 2024, vide no LPG.HQ.VIP References for “Qualitative and
Timely closure of MOPNG/VIP References”. Needless to mention once again that these
complaints are to be dealt with full sincerity and with utmost attention. Type of
Reference/complaint, there nature , timeline for closure/interim reply and Action Expected
by the field are clearly mentioned in the aforesaid circular.

Social Media Grievances (MOPNG e SEWA) and Feedbacks

Social Media is an unfamiliar word recently added which means use of various public
platforms like face book, twitter etc. either for complaints, suggestions, or feedbacks.

This is also being used by our organization in a big way to project our work and
achievements to the outside world. It highlights all events and happenings.

At the same time, we find that increasingly many people are using these platforms to
connect with us. Hence now as a policy BPCL responds to each tweet or face book
comment by any customer on these social platforms.

All social media feedback / complaints are to be closed only after the area officer /
Sales officer gets concurrence for closure from the consumer. It is preferred that the
closure is received by email / message, more so when the complaint is of a serious
nature.

Refer Circular dated 30th July 2024, vide no LPG.HQ. MOPNG eSEWA for “Han-
dling Social Media Grievances (MOPNG e SEWA). Needless to mention once again
that these complaints are to be dealt with full sincerity and with utmost attention.
Escalation matrix for tracking resolution may be referred from the circular.

d) VIP References

Disposal of References from Members of Parliament and other VIPs

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9. Complaint Management

Communications received from members of parliament/VIPs should be attended to


promptly. Where a communication is addressed to a minister, it should, as far as prac-
ticable, be replied to by the minister himself. In other cases, a reply should normally
be issued on the signature of an officer of the rank of secretary only.

Where, however, a communication is addressed to the head of an attached or subordi-


nate office, public sector undertakings, financial institutions (including nationalized
banks) Division / Branch in charge in a Ministry / Department / Organization, it
should be replied to by the addressee himself. In routine matters, he may send an ap-
propriate reply on his own. In policy matters, however, the officer should have prior
approval of higher authorities before sending a reply. It should, however, be ensured
that the minimum level at which such replies are sent to Members of Parliament / VIP
is that of the Under Secretary and that also in a polite letter format only.

Normally information sought by a Member of Parliament should be supplied unless it


is of such a nature that it would have been denied to him even if asked for on the floor
of the Houses of Parliament.

As far as possible, in corresponding with Members of Parliament / VIPs pre-printed


or cyclostyled replied should be avoided.

e) RTI Queries and Standard Replies

Time schedule to close the complaints:

(VIP REFERENCES)

Ref starting with 2xxxxxxxx Within 4 days Within 7 days

Ref starting with 4xxxxxxxx Within 7 days Within 10 days (about 1


and a half weeks)

Ref starting with 8xxxxxxxx Within 7 days Within 10 days (about 1


and a half weeks)

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9. Complaint Management

Ref starting with 9xxxxxxxx Within 7 days Within 10 days (about 1


and a half weeks)

DPG To be closed in the PG PORTAL within 10 days.

MPANG To be closed in the PG PORTAL within 10 days.

PMOPG To be closed in the Portal within 10 days

References re- Reply/comment from terri- Reply to be


ceived from tory within 7 days. In case sent to com-
C&MD/DIR(M) Territory has already sent plainant
reply to complainant then within 10 days
copy to be attached with
comment.

RTI CPIO to send reply within 30 days from the


date of receipt of the RTI application.

Vigilance Within 10 days

MOP&NG forwarded Within 10 days


mails

f) 1906

In an era where liquefied petroleum gas (LPG) has become an indispensable energy
source for households and industries, ensuring safety in its usage is of paramount im-
portance. To address emergencies related to LPG leakage promptly and efficiently,
many countries have established dedicated helpline numbers. In India, one such sig-
nificant initiative is the emergency helpline number 1906, specifically designed to han-
dle LPG-related incidents and provide immediate assistance to those in need. LPG is
a widely used fuel for cooking, heating, and other purposes due to its convenience,
efficiency, and environmental friendliness. However, if mishandled or in case of a leak-

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9. Complaint Management

age, LPG can pose serious risks such as fire, explosions, and health hazards. Swift ac-
tion and expert intervention are crucial to minimize the potential damage and protect
lives and property.

In recognition of the potential dangers associated with LPG, the Government of India
introduced the dedicated emergency helpline number 1906 in 2018. This helpline's
main objective is to provide immediate response and expert guidance during LPG-re-
lated emergencies. The helpline operates 24/7, ensuring that assistance is available
round the clock to residents across the country.

Upon dialling 1906, callers are connected to trained professionals who specialize in
handling LPG emergencies. These experts possess the knowledge and experience to
guide callers through critical situations, ensuring their safety and that of those around
them. Some of the services provided by the helpline include:

i. LPG Leakage Assistance: Callers receive immediate guidance on how to


manage a suspected LPG leakage, including steps to mitigate the risks and
ensure personal safety.
ii. Emergency Response Coordination: The helpline acts as a central hub to co-
ordinate with emergency response teams, ensuring a rapid and effective re-
sponse to the situation.
iii. Expert Advice and Information: Trained professionals offer expert advice
on LPG safety practices, preventive measures, and proper handling tech-
niques to minimize the occurrence of emergencies in the future.
iv. Referral and Follow-up: In complex cases or when specialized assistance is
required, the helpline connects callers with relevant authorities, agencies,
or service providers to address the situation comprehensively.

Roles of Sales Officer in Maintaining this helpline number

i. Maintaining proper database and correctness of the contact details of Me-


chanic, Manager, Distributor, Sales Officer, Territory Manager. To access
the 1906 portal, Sales officer to login on the web portal:
https://app.cyfuture.co.in/login.php
User ID is the Sales Office Code: XXX
Password is bpc@123

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9. Complaint Management

ii. Sales officer to sensitize the distributor and mechanics on closure of emer-
gency leakage complaints. In case of non-closure of complaints on time,
Sales officer to recommend TM to initiate action on the distributor in line
with the MDG.

The workflow of the LPG Emergency Helpline is given below:

1) On dialling 1906, the consumer will hear welcome greeting and an option to choose
language.

i. 1 for Hindi
ii. 2 for English
iii. 3 for Assamese, Bengali and Odiya
iv. 4 for Kannada, Malayalam, Tamil, and Telugu
v. 5 for Gujarati and Marathi

In these scenarios the following process is followed:

i. If an agent with proficiency in that language is available and free, the call
will be transferred to that agent.
ii. If the agent of that language is busy with another call, then the original agent
can take the complaint in Hindi or English if the consumer is able to under-
stand either of these languages. Otherwise, the customer will be informed
that the agent with proficiency in the required language will call him back
shortly.
iii. If the agent of that language is not available at that point of time in the call
centre, then the original agent will register the complaint by collecting con-
sumer’s name, state, district, distributor’s name, and his/her address by
speaking in Hindi or English.

138. In case the consumer has called to register a complaint other than leakage com-
plaint, he/she will be requested to call on Industry toll free number 18002333555
for logging the complaint.
139. If the complaint is related to leakage, then the agent will convey the following
safety steps to be followed by the consumer till mechanic reaches the premises.

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9. Complaint Management

i. Switch off the pressure regulator.


ii. Take out the pressure regulator and put the safety cap.
iii. Do not operate any electrical switches or even a torch.
iv. Put out all naked flames – Diya, Agarbathis, etc.
v. Do not use mobile phone from the place of leakage.

140. After informing the safety steps, the agent will register the complaint in the
CRM application by collecting company name (BPC/HPC/IOC), registered mobile
no (optional) if the call is made from any other phone number, consumer name,
state, district (optional), Distributor’s name and consumer’s address. The com-
plaint number will be informed to the consumer before terminating the call.
141. On submission of the complaint, an SMS, in the format given below, is sent from
the system to the mobile no of the first mechanic, as registered in the CRM appli-
cation as per the day or night shift (day: 8 AM – 8 PM, night: 8 PM – 8 AM), with
complaint no, time of complaint, consumer phone no, name & address and distrib-
utor name with sender id as OMC LPG.

LPG leakage comp. no. 999999 recd. at 99:99 hrs. Cons. Details: phone no XXXXX
name XXXXX and address XXXXXX.

142. Agent will immediately call the first mechanic on the same number on which
SMS is sent to get the confirmation about the receipt of the SMS and to inform
orally about the leakage complaint. The call centre no that would be displayed on
the mobile phone is XXXXXXXXXX.
143. After talking with the mechanic over phone, a confirmation SMS, in the format
given below, is sent to the consumer on the mobile no which was used for calling
LPG Helpline.

Your complaint (no. 999999) is communicated to the mechanic of distributor


name XXXXX at 99:99 hrs. on his mobile no. XXXXXXXXXX. The complaint will
be dealt with within an hour.

144. If the first mechanic does not respond to the agent’s call in 2 attempts, then
escalation matrix as below will be followed sequentially provided mobile nos. of the
mechanics, distributor, FO, and TM exist in the CRM database.

i. Send SMS and call second mechanic.

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9. Complaint Management

ii. Send SMS and call third mechanic.


iii. Send SMS and call the distributor.
iv. Send SMS to FO
v. Send SMS to TM

145. The mechanics or distributor or field staff can contact the call centre agents, if
required, on receipt of SMS for further inputs by dialling XXXXXXXXXX
146. If the mechanic, after receipt of SMS and call from the call centre, does not at-
tend the complaint within 45 mins, then below escalation matrix will be followed
by the call centre agents:

i. Send SMS and call the distributor.


ii. If complaint is not attended within next 45 mins, send SMS to FO.
iii. If complaint is not attended within next 30 mins, call FO.
iv. If complaint is not attended within next 30 mins, send SMS to TM.
v. If complaint is not attended within next 30 mins, call TM.

If complaint is not attended within 45 mins, Send SMS, AND CALL to FO

If complaint is not attended within 30 mins, Send SMS, AND CALL to TM

147. On receipt of confirmation from the mechanic about the closure of the com-
plaint, the agent will call the consumer for getting his confirmation before closing
the complaint in the CRM.
148. After closing the complaint in the CRM, an SMS, in the format given below, is
sent to the consumer:

Your complaint (No. 999999) recd. at 99:99 hrs. is attended to and


closed by the mechanic. In case the problem is not fully resolved,
please call 1906 again.

The call centre agents have been instructed to make verification calls to the avail-
able mobile nos. of the mechanics and distributors at random during day and
night and record the response to these calls to monitor the correctness of the reg-
istered numbers and the awareness of the mechanics and distributors regarding
LPG Emergency Helpline (1906).

Promoting Safety and Awareness:

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9. Complaint Management

Beyond its immediate response capabilities, the helpline also plays a vital role in pro-
moting LPG safety awareness. By disseminating essential information and educating
callers about safe handling practices, it aims to prevent accidents and encourage re-
sponsible usage of LPG among the public. Additionally, the helpline serves as a plat-
form for reporting safety concerns or violations related to LPG usage, fostering a cul-
ture of accountability and continuous improvement.

The introduction of the emergency helpline number 1906 for LPG leakage incidents
underscores the commitment to prioritize safety and protect lives. By promptly ad-
dressing emergencies, offering expert guidance, and promoting awareness, the help-
line has proven to be an invaluable resource for individuals and communities relying
on LPG. Embracing the helpline's services and adhering to recommended safety prac-
tices can contribute significantly to preventing LPG-related accidents and ensuring a
secure environment for all.

g) Handling Social Media Grievances (MOPNG- e- Sewa). Ref circular issued on


30/07/2024 by CGM (Marketing), LPG

MOPNG had recently reviewed the redressal of complaints received on social me-
dia platforms and had put in place following escalation.

1. Identifying high priority tickets - All social media grievances tagging the fol-
lowing handles or mentioning the following officials will be printed as high pri-
ority tickets, in addition to any ticket that mentions "leakage" or "fire".

@HardeepSPuri @PMOIndia @Secretary_MoPNG @PetroleumMin @narendramodi @rash-


trapatibhvn

2. Escalation matrices for tracking resolution - The below matrix will be used
in case
resolution is not done within specified time:

Level Response Resolution Escalation contacts


Level 1 15 mins 3 hours ED, Brand and PR
Level 2 30 mins 6 hours Director Marketing
Level 3 Chairman & Managing Director

ln view of foregoing, we would like to advise you the following SOPs for High Prior-
ity Social Media Tickets:

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9. Complaint Management

1. As of now, LPG HQ is sending High Priority Social Media Tickets to concerned


officials, and they are expected to resolve them on an immediate basis. Comments for
resolution are to be shared with DGM, Complaint Redressal, LPG HQ who will coordi-
nate and get them posted in MOPNG e-Sewa.
2. After resolution of the complaint, request to be made to complainant to post his satis-
faction on same social media, if possible. However, the complainant shouldn't be
forced to post his satisfaction.
3. A suitable show cause notice be served to the erring distributor under MDG and ac-
tion, as deemed fit, be taken as per MDG, if satisfactory reply is not received. Please
follow the guidelines in the matter for issuance of SCN/Penal Action.
4. For any grievances, which are likely to take time for resolution, an appropriate interim
response must be shared with HQ for updating team of Corporate Brand and MOPNG
e-Sewa.

h) Qualitative and Timely Closure of MOPNG/VIP References- Ref circular dtd


10/07/2024 from CGM Marketing on the subject matter.

We are receiving many references from MOPNG, which broadly are classified as under:
Type of Reference Nature Time Line Expected Action
by Field
BPCL/VIP/20xx- These are most criti- These are required Field is required to
xx/1XXXX Series cal references, which to be replied within send detailed inputs
have been originated 3-7 days Few of the to HQ for making re-
from office of references are emer- ply for MOPNG.
Hon'ble Minister gent and are to be SH/RH to be kept in
MOPNG. replied immediately loop for inputs.
BPCL/VIPD/20xx-xx These are references Normally within 7 Field is required to
/2XXXX Series from Hon'ble days. send detailed inputs
MPs/VIPs. to HQ for making re-
ply. SH/RH to be
kept in loop for in-
puts.
BPCL/OML/20xx-xx These are references Within 10 days Field is expected to
/8XXXX/9XXXX received from examine and send a
Series MOPNG on which suitable (qualitative)
BPCL is expected to reply to the peti-
examine and re- tioner directly. Copy
spond appropriately of reply need to be
to the petitioner. sent to HQ for clo-
sure and keeping
MOPNG Informed.

All the MOPNG references (including routine complaints) are marked to Dir M and Coordina-
tion Department is sending all these references DGM Complaint Redressal LPG-HQ with a
copy to Dir M Set up / Business Head LPG/CGM LPG Special care needs to be taken for 1XXXX
and 2XXXX series references, wherein detailed and qualitative aspects of the reference is to
be furnished by field to us for making an appropriate input for Hon'ble Minister/VIP.

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9. Complaint Management

All above references are timebound and delay results in repeated reminders and escalations.
It is to be ensured that all MOPNG references are given utmost priority and attended to on
immediate basis.

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10. Governance

Segmentation:

Performance measures for recognition of LPG distributors have evolved over the years.
However, the focus remained on internal parameters such as: TDT, infrastructure, etc.
With changing times, it is essential to improve customer service, for which LPG BU
has been making a lot of efforts in introducing new customer centric initiatives. The
implementation of these varies from one distributorship to another and thus, results
in varying customer experience.

The parameters for evaluating distributors based on customer expectations & experi-
ences, need changes for which, LPG distributorship Segmentation model is proposed
and implemented.

This model would lead to distinction amongst distributorships and indicates the areas
for improvements for enhancing customer services. This model can also facilitate BU
to reward and recognize distributorships with excellent performance indices.

• Segmentation output can be viewed in “Analytics Dashboard” under “Ad-


vanced LPG” option. Analytics dashboard may be accessed using the path:

• “Iconnect - MyPortal - My Analytics - Analytics Dashboard”

• Segmentation output is generated once in a quarter (at the start) based on


performance of preceding 3 months.

• All project & Special distributorships (including commercial) have been


kept out of segmentation model and the frequency of inspection for them
has been kept as once in 6 months.

• All distributorships commissioned within 2 years from the assessment run


date have been kept in SILVER category till such distributorships complete
their 2 years of operations.
The segmentation of distributors, is done based on the following criteria:

• Class of distributorships (gate opening criteria)


▪ Platinum- >10000 Refills & more than 70 marks
▪ Gold- 5000 to 10000 cylinders & more than 50 marks
▪ Silver- <5000 cylinders
• Segmentation marking
▪ Refill deliveries within 24 hours

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10. Governance

▪ Increasing refill ration over historical


▪ Adequacy of filled stock
▪ Digital transaction
▪ Geotagging of refill deliveries
▪ Timely resolution of customer complaints
Current Marking scheme involves, evaluating the distributorships and marking them
based on the following weighted averages:

Sr.
Parameter Max Marks
NO
1 Delivery Score 30
2 Refill Ratio Score 15
3 Digital Payment Percentage 10
4 14.2 Kg filled cylinder stock adequacy 20
5 Geo-Tagging Score percentage 5
6 Complaints per Active Customer. 20

Based on the marking scheme on above mentioned criteria, Inspection frequency is set
for the distributorships as under:

• Platinum- Once in 12 Months

• Gold- Once in 6 Month

• Silver- Once in 3 Months

• Project & ND- Once in 6 Months.


As regards Sr No 1 – Delivery Score - As per criteria, % age of delivery within 24
hours. Less% refill cancellation.

As regards Sr No 1 – Delivery Score - As per criteria, % age of delivery within 24


hours. Less% refill cancellation. To be removed

As regards Sr No 2 – Refill Ratio Score - As per criteria, for Urban markets 5


marks for every 0.5 % increase is there. For rural, it is 2 marks for 0.5% increase
and Rurban 3 marks for every 0.5% increase.

As regards Sr No 3 – Digital Payment Percentage - More than 2.5% are given 10


marks and below that is scored accordingly e.g., anyone doing 2% will get 10 * (2%
/ 2.5%).

As regards Sr No 4 – 14.2 Kg filled cylinder stock adequacy - The filled cylinder


stock with the distributors within FDZ limit from supply point needs to be 1.5 times

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10. Governance

of the average refill delivery (based on the last 60 days (about 2 months) period).
For distributors outside FDZ limits from the supply point, the stock adequately
needs to be 2 times the average refill delivery (based on the last 90 days (about 3
months) period).

As regards to Sr No 5 – Geo-Tagging Score percentage - Anyone having more


than 20% will be given 5 marks and below that is scored accordingly e.g., anyone
doing 8% will get 5* (8% / 20%).

As regards Sr No 6 – Complaints per active customer - As per criteria, Distrib-


utors with NIL complaints and those with 100% closure of complaints within 48
hours (about 2 days), get 20 Marks. Anything less than 100% would be scored on
a pro-rated basis.

Process Audit of LPG Distributor


The Process Audit is conducted every three months to ensure operational compli-
ance. However, in cases where malpractices are suspected, audits may be conducted
more frequently to maintain integrity and prevent fraudulent activities.

Three Major Audit Areas

1. SV / TV / TA Audit

2. Equipment Reconciliation

3. Refill Audit

SV / TV / TA Audit Details

 Verification of Sales Vouchers (SVs), Transfer Vouchers (TVs), and Transfer


Advices (TAs) to ensure proper documentation and processing.

 Checking the authenticity of submitted documents, cross-referencing system


entries, and validating customer information.

 Ensuring all processed transactions comply with established procedural docu-


mentation and regulatory standards.

Equipment Reconciliation

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10. Governance

 Cross-verifying the customer and cylinder inventory against records main-


tained in SAP to ensure accuracy.

 Confirming that equipment movement is correctly posted and recorded to pre-


vent discrepancies in stock management.

Refill Audit

 Validating refill records to detect and prevent any anomalies or unauthorized


transactions.

 Ensuring that all refilled cylinders are accurately accounted for and recorded to
maintain transparency in distribution.

Key Document Verification Requirements

To ensure compliance and authenticity, the following documents must be verified:

 Know Your Customer (KYC) documents.

 Proof of identity (POI) and proof of address (POA).

 Ration card or equivalent document for verification of household details.

 Bank details, including account number and IFSC code.

 House verification reports and preliminary inspection reports.

 Installation certificates to confirm proper setup and adherence to safety regu-


lations.

Regular audits in these key areas help uphold transparency, prevent malpractices, and
ensure smooth operational processes.

Audit to be conducted as per the PROCESS Audit format.

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10. Governance

Showroom & Godown Inspection#

Field officer of the area to inspect all LPG distributorships in that area as per Company
Policy and guidelines (Segmentation of distributors).

Inspection Showroom and Godown in SalesBuddy

1) Auto Scheduler SO can plan his or her activities in advance – plan inspection of
showroom and Godown in advance.
2. Currently format for Showroom and Godown is under review and will be changed.
3. Maintenance of various licenses in SalesBuddy and need not be filled during the
inspection every time. Reminders for licenses prior to 7 days from expiry.
4. All relevant data to be flowed from SAP, LPG Next, CORES, etc. so that there is real
time data available for meaningful analysis and use.

Application Guide for Sales Officer:

1) LPG sales officer will Log in through SalesBuddy Inspection Module.


2. Sales officer need to login into SalesBuddy and create beat plan.
3. Under beat plan new visit need to be created
4. Under visit option new inspection report to be created showroom/godown inspec-
tion.
5. After submission of report copy will be sent to SO, TM and distributor.

The address and license data relevant for the inspection are defaulted in the inspection
report from the existing master data and Distributor. The template is divided into rel-
evant sections based on the nature of questions. Each of the sections can be drilled
down to display the list of questions. It is mandatory to print the report. The report is
to be jointly signed by the Sales Officer and Distributor. Signed copies of the inspec-
tions should be given to the Distributor, Territory Office and one retained by the Sales
Officer.

If within 48 hours (about 2 days) of inspection by an officer or team of officers, an


irregularity is detected in a distributorship which was existing but not pointed out by
earlier officer/ team, such officer / team would be liable for action under Code of Con-
duct of the respective Oil Company.

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10. Governance

Stock Check# of Corporation’s Equipment

A stock check must be carried out at each LPG distributorship premises/godown at-least
once in six months or earlier if required. A stock check ensures that the Corporation’s
equipment loaned/given to the distributorship is physically available and not misappropri-
ated. The stock check must be conducted in the morning before the distributorship starts op-
eration. At times when the godown is shared by more than one distributor, stock check at all
the distributorship sharing the godown must be done at the same time. Distributor may be
given all opportunity to explain any outlying inventory stock at POS or stranded in
vehicle with proper records which also needs to be verified and considered for calcu-
lations. Circular no LPGHQ.21.CON/2022-23 dated 26.08.2022 may be referred.

The detailed procedure to be followed is given below -

1) Stock Checks to be conducted at distributors’ godown / showroom.


2. Ensure that Distributor has done the day end of previous day in the system.
3. Physical count to be done in respect of cylinders/DPRs (empty / full / defective)
lying in the godown / showroom.
4. Take the print-out of Day end report from LPG ONE & Stock report from LPG
NEXT
5. Take the print-out of Undelivered SV refill.
6. Open Invoices & Open ERV to be checked.
7. Check reports for any mismatched ERV cases.
8. Stock lying at BDA/CSC/BUD to be checked from system and sample to be physi-
cally checked.
9. Physical stock should then be compared with closing stock. Thereafter Stock Check
Report in the standard format to be filled in duplicate.

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10. Governance

BHARATGAS DISTRIBUTORSHIP STOCK CHECK REPORT


NAME OF DISTRIBUTORSHIP:- M/s Vinay gas services LAST STOCK CHECK DONE ON
LOCATION:- Pithampur DATE:-
REPORT
DATE:- 18-01-2023 NIL
VARIATION:-

DESCRIPTION 5 Kg 5 Kg FTL 14.2 Kg 19.0 Kg/BMCG 35.0 Kg 47.5 Kg BPC DPR


EMPT EMPT
FULL EMPTY FULL EMPTY FULL EMPTY FULL EMPTY FULL FULL SOUND DEFECTIVE
1. PHYSICAL STOCK AT Y Y
SHOWROOM:-- 0 0 0 0 0 0 0 0 0 0 0 0 0 0
GODOWN:-- 0 0 0 0 0 0 0 0 0 0 0 0 0 0
TOTAL:-- 0 0 0 0 0 0 0 0 0 0 0 0 0 0

2. DERIVED STOCK AS ON DATE FROM DAY END REPORT 0 0 0 0 0 0 0 0 0 0 0 0 0 0

3. DIFFERENCE (PHYSICAL STOCK) 0 0 0 0 0 0 0 0 0 0 0 0 0 0

4. EQUIPMENT REQUIRED FOR PENDING INSTALLATION FOR WHICH SV MADE &


0 0 0 0 0 0 0 0 0 0 0 0 0 0
ACCOUNTED IN ABOVE / ERV DONE AFTER DAY END

5. DIFFERENCE 0 0 0 0 0 0 0 0 0 0 0 0 0 0

6. STOCK AT BDA 0 0 0 0 0 0 0 0 0 0 0 0 0 0

7. TOTAL DIFFERENCE 0 0 0 0 0 0 0 0 0 0 0 0 0 0

8. REMARKS

9. ACTION TAKEN / RECOMMENDATION IN CASE OF SHORTAGE Action to be taken on shortage of equipments

DISTRIBUTOR
SIGNATURE WITH
INSPECTION CARRIED OUT BY - DESGINATION WITH SIGNATURE SEAL
ANKUR GUPTA
DISTRIBUTOR NAME
MANAGER LPG SALES, INDORE

Stock Reconciliation:
The objective is to identify different scenarios causing stock mismatches and estab-
lish an action plan for reconciliation.
The reconciliation process focuses on the following key issues:
1. Invoices Acknowledged in Lost Quantity
 When an invoice is generated from the LPG plant, the distributor acknowl-
edges receipt under one of the following storage locations in LPGNEXT:
o Sound full cylinders
o Defective full cylinders
o Lost cylinders
 The Lost storage location was used when a distributor received fewer cylin-
ders than the acknowledged invoice quantity.
 It was identified that some distributors had acknowledged entire cylinder in-
voices under lost quantities.
 Action Required:
o Territories must verify all invoices where distributors received equip-
ment under lost storage.
o Take necessary action against distributors and transporters for loss of
equipment.
o LPGNEXT has now hidden the option to acknowledge cylinders under
lost quantity to prevent further errors.
2. Open Invoices Pending for Acknowledgment

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10. Governance

 Invoices generated from plant, remain unacknowledged in LPGNEXT.


 Action Required:
o These invoices should either be cancelled in SAP or acknowledged by
the distributor.
3. Pending Transfer Postings
 Certain cases were identified where IUDF storage location was not avail-
able at the plant, leading to pending transfer postings.
 Additionally, some transactions were stuck due to the unavailability of
stock in the distributor’s SAP inventory.
 Action Required:
o Resolve pending transfer postings for customer stock movement be-
tween distributors.
o Check for sufficient stock availability in SAP before processing transac-
tions.
4. DPR ZLA Acknowledged in Empty Cylinders
 Distributors mistakenly closed BPCDPR ZLA ERVs under empty quantity
instead of full or defective.
 A system bug allowed ERVs to be created with an empty storage location,
even when no empty BPCDPR stock was available.
 Action Required:
o Verify and reconcile all BPCDPR ZLA ERVs against distributor stock
at day-end.
o Correct errors by adjusting defective DPR quantities in LPGNEXT.
5. Cylinders Received on Delivery (Without ERV Number)
 Instances were reported where cylinders were received at plants with-
out ERV numbers but only through delivery creation.
 Action Required:
o Validate and map all deliveries to corresponding ERVs.

System Tools for Reconciliation


 The Distributor Stock Reconciliation Report in LPGNEXT provides
distributor-wise stock data and highlights discrepancies with SAP.
 Key reports used:
o ERV Mismatch Report (to check ERV open quantities)
o Pending Transfer Posting Report (to track unresolved transfers)
These corrective actions will ensure accurate stock reconciliation and improve data
integrity across SAP and LPGNEXT.

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10. Governance

SENIOR LEVEL INSPECTION#

Senior Level Inspections in Sales Buddy - CRM Module

To enhance transparency and compliance across all distributorships, senior-


level inspections will be conducted and recorded in the Sales Buddy - CRM mod-
ule powered by Salesforce. This initiative ensures systematic monitoring and
facilitates record-keeping within the Salesforce application for future reference and
visibility.

As per Circular Ref: LPG.HQ.18.CON dated 02.07.2018 on Inspection of


Distributorships, the following norms for Senior Level Inspections shall apply:

1. Authorized Officers:

o All officers above Job Group C from State & Territory Offices
(excluding Sales Officers) are authorized to conduct Senior-Level In-
spections at LPG distributorships.

2. Coverage & Frequency:

o All distributors, including Non-Domestic (ND) and Project Dis-


tributors, must undergo at least one Senior-Level Inspection per
year.

3. Selection of Distributors:

o The Territory Manager, in coordination with the State Head, will


identify the distributors to be covered under Senior-Level Inspections.

4. Inspection Targets for Officers:

o All State Office officers, except Ops & HSSE In-Charge, must
complete a minimum of 50 Senior-Level Inspections per fiscal
year.

o Ops & HSSE In-Charge must conduct an inspection whenever visiting


a distributor’s showroom or godown.

5. Geographical Distribution:

o The State Team must ensure inspections are evenly distributed


across all districts and sales areas within their jurisdiction.

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10. Governance

o Inspections should equally cover Rural, Urban, and Rurban Dis-


tributors to maintain fair compliance monitoring.

This structured approach will strengthen operational governance, compliance


tracking, and performance evaluations across all LPG distributorships.

Customer calling for a sample size of 5 Nos. customers to be done at the


time of inspection.

REFILL AUDIT

Refill audits at LPG distributorships are conducted to ensure that the refill process for
LPG cylinders is conducted in a safe and compliant manner. These audits are typically
conducted by the OMCs or SOs or relevant statutory audits to verify adherence to es-
tablished procedures and safety standards. Some key aspects of refill audits include:

1) Safety Procedures: The refill audit assesses whether the distributorship follows
proper safety procedures during the refill process.
2. Cylinder Condition: The audit checks the condition of LPG cylinders being re-
filled. They verify that cylinders are within their prescribed lifespan (DPT), that
they are properly maintained and inspected (PDI checks) for defects or damage,
and that any cylinders deemed unfit are not refilled.
3. Weighing Accuracy: The refill audit confirms that the weighing scale used for
measuring the LPG quantity during refilling is properly calibrated, accurate, and
complies with the legal metrology requirements. This helps to ensure that custom-
ers receive the correct quantity of LPG. Acceptable tolerances for net wt. of LPG in
cylinders can be reviewed in the relevant document as well.
4. Documentation: The audit reviews the documentation related to the refill pro-
cess, such as refill records, invoices, and customer information / KYCs. This en-
sures that proper records are maintained, including details of the cylinders refilled,
quantities issued, and customer information for traceability and accountability
purposes.
5. Compliance with Regulations: The refill audit verifies compliance with rele-
vant regulations and guidelines set by the regulatory authorities, such as the Petro-
leum and Explosives Safety Organization (PESO). This may include adherence to
licensing requirements, storage conditions, safety protocols, and record-keeping
practices.

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10. Governance

Overall, refill audits are important to ensure the safety and integrity of the refill pro-
cess, maintain quality standards, and comply with regulatory requirements. Non-com-
pliance with refill audit findings may result in corrective measures, penalties, or even
suspension or cancellation of the distributorship.

Important points pertaining to LPG refill audits:

1. Verify that the weighing scale used for measuring LPG quantity is properly cali-
brated, accurate, and complies with legal metrology requirements.
2. Inspect the condition of LPG cylinders being refilled and ensure that they are within
their prescribed lifespan, properly maintained, and free from defects or damage.
3. Review and keep proper documentation of the refill process, including cash memos,
KYCs, GST invoices, etc.
4. Ensure compliance with all applicable regulations and guidelines set by regulatory
authorities such as PESO, including licensing requirements, storage conditions / ca-
pacity, safety protocols - safety distances, and record-keeping practices.5. Customer
Contact, if any to be done as per Circular no LPGHQ.21.CON/2022-23 dated
26.08.2022.

Following are the important data points to be captured during a refill audit: -

Use
Cash Hom Refill
of Con-
Mem e Amou
Salt su-
o De- nt PDI
Sr. Consumer er mer
give liv- taken (Y/
No. No. Scal Sig- Re-
n ery from N)
e na- marks
(Y/N (Y/N Con-
(Y/N ture
) ) sumer
)

Refill audits to be made part of the routine showroom inspection in which customers
may be contacted (telephonically) at random to arrive at a conclusion based on the
observations received. - Refill Audit to be conducted for 20 customers.

3rd PARTY AUDITS

There are several statutory audits conducted by various departments for LPG busi-
nesses in India. These audits are conducted to ensure compliance with safety, regula-
tory, and operational standards. Some of the major audits include:

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10. Governance

1) Explosives Department Audit: The Explosives Department conducts periodic


audits to ensure that the LPG business adheres to the Explosives rules and regula-
tions. This includes checking the safety measures taken in handling LPG cylinders,
storage facilities, and transportation procedures.
2. Petroleum and Explosives Safety Organization (PESO) Audit: PESO is re-
sponsible for ensuring compliance with safety regulations for petroleum, including
LPG. They conduct audits to assess compliance with safety standards, licensing re-
quirements, and storage and handling practices.
3. Food Safety and Standards Authority of India (FSSAI) Audit: If the LPG
business also involves providing LPG for cooking purposes, FSSAI audits are con-
ducted to ensure compliance with food safety standards, especially regarding the
handling and storage of LPG.
4. Environmental Audits: Environmental audits may be conducted by the respec-
tive State Pollution Control Board (SPCB) or the Central Pollution Control Board
(CPCB) to assess compliance with environmental regulations. These audits evalu-
ate waste management practices, air emissions, pollution control measures, and
environmental impact assessments.
5. Tax Audits: Tax audits are conducted by the Goods and Services Tax (GST) de-
partment and the Income Tax department. These audits aim to ensure compliance
with tax laws, including proper maintenance of records, payment of taxes, and ac-
curacy of financial statements.
6. Safety Audit by Oil Marketing Companies (OMCs): OMCs, such as Indian
Oil Corporation Limited (IOCL), Bharat Petroleum Corporation Limited (BPCL),
and Hindustan Petroleum Corporation Limited (HPCL), conduct safety audits to
assess adherence to safety standards in handling LPG cylinders, storage, transpor-
tation, and delivery procedures.
7. Internal Audits: OMCs also conduct regular internal audits to assess various as-
pects of their business operations, including safety, compliance, financials, and
overall efficiency.

It is important for LPG businesses to comply with these statutory audits to ensure the
safety of their operations and maintain regulatory compliance. Failing to comply with
the audits can lead to penalties, sanctions, or even cancellation of licenses or distribu-
torship agreements.

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10. Governance

To ensure that distributors follow operating policies, procedures and practices, various
actions to be taken against erring distributors are made which are called Marketing
Discipline Guidelines (MDG). MDG form part & parcel of the instructions as issued
from time to time under relevant clause on ‘Faithful Performance’ of the Distributor-
ship/Dealership Agreement. These guidelines do not preclude any action under the
Distributorship Agreement.

Types of Irregularity by LPG Distributors

In the operation of distributorships, depending on their nature, irregularities have


been classified into 3 distinct categories i.e., Critical, Major, and Minor based on se-
verity of the irregularity as per MDG applicable. Refer to MDG for all such irregulari-
ties and respective action.

Critical:

2.0.1 More than 25 and less than 200 cases of, proven violations detected of issuing
connection under PMUY or Any other government scheme to any person not eli-
gible and in contravention to applicable guidelines issued by OMCs.

2.0.2 More than 200 cases, proven violations detected of issuing connection under
PMUY or Any other government scheme to any person not eligible and in contra-
vention to applicable guidelines issued by OMCs.

Major Irregularities:

2.1.1 Proprietor/Partner or his representative or his staff caught/found indulging


in transfer of LPG from one cylinder to another cylinder or container.

2.1.2 More than 25 % of Filled LPG cylinders loaded in a delivery vehicle for deliv-
ery to customers found underweight beyond permissible limit prescribed in the
Legal Metrology.

2.1.3 Release of more than 25 Nos. of domestic connections to ineligible per-


sons/consumers/household/ detected during the inspection or on the date of in-
spection. Such connections will be treated as ‘ineligible connections.

2.1.4 Shortage of domestic cylinder/ PR and detection of spurious cylinder/


PR of more than 50 domestic LPG cylinders/Spurious cylinders or domestic pres-
sure regulators/Spurious Pressure Regulators or all put together detected during
the inspection or on the date of inspection.

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10. Governance

2.1.5 Unaccounted sale of more than 50 filled LPG cylinders in 14.2 Kg & 5 Kg
(supplied by OMCs at subsidized and non-subsidized domestic LPG rates) detected
during the inspection or on the date of inspection for a period of preceding one
year.

2.1.6 Tampering / Hacking of the OMCs authorized software used for maintaining
the customer data/transactions.

2.1.7 Sale of non-BIS / Sub Standard equipment including Gas Stove/ LPG Su-
raksha Hose.

2.1.8 More than 50 cases detected of incorrect recording of ‘Aadhaar’ number


and/or Bank account number against consumer number resulting in advance sub-
sidy /subsidy amount being transferred to wrong person’s bank account.

2.1.9 Misappropriation of OMC funds given to distributor towards the cost of Su-
raksha Hose, DGCC, installation and administrative charges etc. more than 50
cases.

2.1.10 Overcharging on release of new connections/additional cylinders (Observed


in minimum 25 % cases on a minimum sample size of 20)

2.1.11 Overcharging on refill delivery (Observed in minimum 25 % cases on a min-


imum sample size of 20)

2.1.12 Overcharging other services or charging for any activity for which charges
are not permissible. (Observed in minimum 25 % cases on a minimum sample size
of 20)

2.1.13 Forced sale of hot plates/other accessories to both enrolled and wait listed
customers. (Observed in minimum 25 % cases on a minimum sample size of 20)

2.1.14 Not giving rebate on non-home delivery. (Observed in minimum 25 % cases


on a minimum sample size of 20)

2.1.15 Unapproved / unauthorized non home delivery of filled cylinder. (Observed


in minimum 25 % cases on a minimum sample size of 20)

2.1.16 Deliberate Non-attendance of complaints of delay in refill supply / leakage


of cylinders.

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10. Governance

2.1.17 Supply of partially used / underweight cylinder beyond permissible limit


prescribed in Legal Metrology (Packaged Commodities) Rules, 2011 as amended
from time to time.

Minor Irregularities:

2.2.1 Up to 25 % of Filled LPG cylinders loaded in a delivery vehicle for delivery to


customers found underweight beyond permissible limit prescribed in the Legal
Metrology.

2.2.2 Release of up to 25 Nos. of domestic connections to ineligible per-


sons/consumers/household/ detected during the inspection or on the date of in-
spection. Such connections will be treated as ‘ineligible connections’.

2.2.3 Shortage of domestic cylinder/ PR and detection of spurious cylinder/ PR of


up to 50 domestic LPG cylinders/Spurious cylinders or domestic pressure regula-
tors/Spurious Pressure Regulators or all put together detected during the inspec-
tion or on the date of inspection.

Unaccounted sale of up to 50 filled LPG cylinders in 14.2 Kg & 5 Kg (supplied by


OMCs at subsidized and non-subsidized domestic LPG rates) detected during the
inspection or on the date of inspection for a period of preceding 1 year.

2.2.4 Non-issuance of receipt or cash memo for amount collected from customer

2.2.5 Rude/discourteous behaviour of distributor/staff/delivery staff without any


provocation by customer.

2.2.6 Showroom kept closed on working days / during working hours.

2.2.7 Non-placement of timely and sufficient indents at Bottling Plants to cover


demand for each type of filled cylinders.

2.2.8 Deliberate delay in refill supplies against refill booking.

2.2.9 Non-compliance of pre-delivery checks for refills before delivery of refills by


distributor’s staff/distributor.

2.2.10 Distributors not having adequate delivery infrastructure for home delivery
and adequate workforce for Mechanic service.

2.2.11 Showroom Staff / Mechanic / Delivery staff found not in uniform / without
identity card while on duty.

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10. Governance

2.2.12 Non-Maintenance of Specified Records

2.2.13 Non-Display of updated Standard Notices as communicated from time to


time.

2.2.14 Up to 50 cases detected of incorrect recording of ‘Aadhaar’ number and/or


Bank account number against consumer number resulting in advance subsidy
/subsidy amount being transferred to wrong person’s bank account.

2.2.15 Non installation of new LPG connection at the consumer’s premises and
demonstration of its safe use.

2.2.16 Refusing to accept payment from LPG consumers through cashless mode

2.2.17 Non availability of platform type digital weighing scale of least count +/-10
gms. at Godown, in working condition and having valid certificate.

2.2.18 Overcharging on release of new connections/additional cylinders (Observed


in less than 25 % cases on a minimum sample size of 20)

2.2.19 Overcharging on refill delivery (Observed in less than 25 % cases on a min-


imum sample size of 20)

2.2.20 Overcharging other services or charging for any activity for which charges
are not permissible. (Observed in less than 25 % cases on a minimum sample size
of 20)

2.2.21 Forced sale of hot plates/other accessories to both enrolled and waitlisted
customers. (Observed in less than 25 % cases on a minimum sample size of 20)

2.2.22 Not giving rebate on non-home delivery. (Observed in less than 25 % cases
on a minimum sample size of 20)

2.2.23 Unapproved / unauthorized non home delivery of filled cylinder. (Observed


in less than 25 % cases on a minimum sample size of 20).

2.2.25 Misappropriation of OMC funds given to distributor towards the cost of Su-
raksha Hose, DGCC, installation and administrative charges etc. – up to 50 cases.

2.2.26 Refusal to register request for new connection/ Double bottle connection
(DBC).

Following action is prescribed for distinct categories of irregularities: -

Critical:

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10. Governance

3.0.1 More than 25 and less than 200 cases of proven violations were detected of
issuing connection under PMUY in contravention to applicable guidelines issued
by OMCs.

1st instance: Fine of Rs. 4,00,000/- or equivalent to 40% of AMDC (whichever is


less), Plus Rs. 1600/- multiplied by number of such connections released and out-
standing loan/Grant/Refill grant under PMGKY etc., and subsidy if any. Connec-
tion is to be terminated by preparation of TV and retrieval of equipment’s.

2nd instance: Termination Plus Rs. 1600/- multiplied by number of such connec-
tions released, released and outstanding loan/Grant/Refill grant under PMGKY
etc., and subsidy if any. Connection is to be terminated by preparation of TV and
retrieval of equipment’s.

3.0.2 More than 200 cases of proven violations detected of issuing connection un-
der PMUY in contravention to applicable guidelines issued by OMCs (The cases
due to failure of software which are beyond the control of distributor will be ex-
cluded)

1st instance: Termination Plus Rs. 1600/- multiplied by number of such connec-
tions released, released, outstanding loan/Grant/Refill grant under PMGKY etc.,
and subsidy if any. Connection is to be terminated by preparation of TV and re-
trieval of equipment’s.

Major Irregularities:

1st instance: Fine of Rs 2,00,000/- or equivalent to 20% of AMDC- (whichever is


less), plus quantum for all irregularities- to be added.

2nd instance: Fine of Rs 3,00,000/- or equivalent to 30% of AMDC (whichever is


less), plus quantum for all irregularities. to be added.

3rd instance: Fine of Rs 4,00,000/- or equivalent to 40% of AMDC (whichever is


less), plus quantum for all irregularities. to be added.

4th instance: Termination plus quantum for all irregularities (whichever is less),
plus quantum for all irregularities. to be added.

Minor Irregularities

1st instance: Warning-cum-guidance letter plus quantum for all irregularities.

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10. Governance

2nd instance: Fine of Rs 50,000/- or equivalent to 5% of AMDC (whichever is less),


plus quantum for all irregularities. to be added.

3rd instance: Fine of Rs 1,00,000/- or equivalent to 10% of AMDC (whichever is


less), plus quantum for all irregularities. to be added.

4th instance or more: Fine of Rs 1,50,000/- or equivalent to 15% of AMDC (which-


ever is less), plus quantum for all irregularities. to be added.

Quantum of irregularity –

•Transfer/ pilferage of LPG from cylinder and / or detection of underweight cylin-


ders loaded in a delivery vehicle for delivery to customers – recovery based on RSP
of 19 kg NDNE cylinder prevailing at the time of detection of irregularity shall be
made equivalent to the quantity of the LPG pilfered/found short.

•Unaccounted sale of LPG in 14.2 kg & 5 kg cylinders, pro-rated Retail Selling Price
of 19 kg NDNE cylinder to be applied for the unaccounted category of cylinders. To
arrive at the amount to be recovered, the difference between the pro-rated RSP as
given above and RSP of the category of cylinder established as unaccounted is to
be applied. In both cases, the RSP as applicable at the time of detection of the ir-
regularity should be considered.

•Detection of spurious equipment- recovery at penal rate as applicable and pre-


vailing at the time of detection of irregularity would be levied for the spurious
equipment along with confiscation of equipment.

•LPG connection releases to ineligible consumers– Rs. 1600/- multiplied by num-


ber of such connections released plus subsidy paid if any. The amount of Rs 1600/-
is based on current security deposit of cylinder/ DPR. The amount will revise on
revision of security deposit of cylinder/DPR. Connection will be terminated by
preparation of TV and forfeiting the security deposit and retrieval of equipment.

•Shortage of equipment – penal rate as applicable at the time of detection of irreg-


ularity would be levied.

•Recording of incorrect Aadhaar number against consumer number – recovery of


the amount transferred to wrong person’s bank account.

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10. Governance

•Updating delivery of cylinder for a customer in the OMC software by distributor


and his staff whereas cylinder has not been delivered to the customer – recovery
of the amount transferred to wrong person’s bank account.

Compensation to the Customers–

• Refund of excess amount charged from the customer including applicable


rebate on non-home delivery of refill.
• Free replacement of underweight cylinder if supplied to the customer.
• In case of multiple categories of irregularities detected during one instance
of inspection/investigation, then the fine as applicable to the highest cate-
gory of irregularity established will be levied upon the distributor Accord-
ingly. However, in addition to the fine imposed, penalty as per the ‘quantum
of irregularity’ would be levied as applicable for each established irregularity
separately.
• The cycle for calculating instances of irregularities shall be two years from
the date of the report of inspection / investigation. In other words, if an ir-
regularity is established and recorded in an inspection report, based on the
date of the said inspection report, the records of the preceding 2-year period
from this date will be seen to determine whether the present irregularity is
the first, second, third instance etc. of that category of irregularity (Critical,
Major & Minor).
Process of imposition of action:
In respect of all cases of irregularities, a show cause notice will be issued by the con-
cerned Territory Manager (TM) to the Distributor, within 30 days from the date of
report of inspection/ investigation, indicating all the irregularities.

The Distributor would be given 15 days to reply from the date of receipt of show cause
notice. Based on the request from the Distributor, the concerned Territory Manager
may allow additional time extension(s) up to a maximum period of 30 days.

Upon receipt of the reply to the show cause notice, the concerned Territory Manager
will review the charges levelled in the Show cause notice and the reply received and
then pass a speaking order within a period of 45 days from the date of receipt of the
reply. The speaking order issued by TM shall indicate complete details of the irregu-
larities committed, the reply of the Distributor, detailed reasons as to why the reply is
not acceptable and the penal action attracted. The speaking order will also clearly spec-
ify a time of 30 days for depositing the amount of fine/quantum of irregularity.

Appellate proceedings: In all cases of critical and major irregularities where orders are
issued for acting under MDG, the Distributor will have the right to appeal within a
period of 30 days from the date of receipt of order to the appropriate authority who
will be empowered to decide the matter.

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10. Governance

Personal Hearing by Competent Authority on levy of MDG:

As per the provisions of the MDG, appellate proceedings are prescribed for MDG ac-
tions not leading to termination and leading to termination of a distributorship.

A. MDG Actions not leading to Termination:


As per clause no of MDG-2022, an appeal provision is available for the orders are is-
sued for taking action under MDG, an appeal provision is available for the distributor.
Wherever the distributor files an appeal, the appellate authority needs to provide a
personal hearing to the signatories to the distributorship Agreement

B. MDG Actions leading to Termination:


As per clause no 3.9 of MDG-2022, before recommending termination of Distributor-
ship, the competent Authority will provide a personal hearing to the signatories to the
distributorship Agreement.

It may please be noted, in all such cases, where a personal hearing needs to be provided
by the competent authority to offer a last & fair chance of hearing to the distributor-
ship, the following needs to be observed.

i. The personal hearing needs to be attended by the authorized signatory only,


however, if authorized signatory wishes to bring his/her representative
along with him/her, there should be a specific request made to the compe-
tent authority and such authorized representative may be allowed to attend
the hearing along with authorized signatory only after the approval of com-
petent authority.
ii. Personal hearing may be provided in person or through virtual mode (as far
as possible personal hearing to be provided in person).
iii. It may please be noted that when a personal hearing is provided, it is imper-
ative that the Territory takes on record the necessary proof of identify proof
of identity (POI) documents of all the persons attending the said from the
distributorship side and copy of such POI must be retained in the file.
iv. It is to be ensured that the Minutes of Meeting (MOM) is prepared immedi-
ately after the hearing and signed by both the competent Authority and the
Authorized signatory. A copy of such MOM must be provided to the distrib-
utorship, with an acknowledgement.
v. In the event of the signatory, refusing to sign the MOM, it may be mentioned
in the note and sent to the distributor vide register post.

Targeted Delivery Time Norms- The distributor should ensure that the distributorship
operation is not rated with ‘1’ Star, i.e., ‘Poor’ rating and ‘2’ Star, i.e., ‘Below Average’
rating in a quarter, failing which action shall be taken.

1. Action against Distributors performing at “Poor” rating:

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10. Governance

(a) In all established cases where a distributor performs at “Poor” rating during any
quarter, a fine equivalent to 20% of AMDC.

(b) In all established cases where a distributor performs at “Poor” rating during any
quarter after (a) above within previous 4 quarters, a fine equivalent to 30% of
AMDC.

2. Action against Distributors performing at “Below Average” rating:


(a) In all established cases wherein, a distributor performs at “Below Average” rat-
ing during any quarter, a fine equivalent to 10% of AMDC

(b) In all established cases wherein, a distributor performs at “Below Average” rat-
ing during any quarter after iv(a) or v(a) above within previous 4 quarters, a fine
equivalent to 20% of AMDC.

General Guidelines

1) The above are general guidelines. The competent Authority of the concerned Oil
Company can however take appropriate higher action against the erring Distribu-
tor, if deemed necessary including termination in the first or any instance in line
with the provisions of the Distributorship Agreement.
2. All cases of irregularities need to be established before any action is taken against
a Distributor. While conducting inspection/investigation, the investigating officer
will collect documentary evidence, circumstantial evidence including written state-
ments/feedback and other material which will help in establishing the irregularity.
3. Under existing laws, Control Orders of various authorities of Central Govern-
ment/State Government – in addition to Oil Company Officers – are empowered
to conduct checks of the Distributorship for determining and securing compliance
with such laws/Control Order. If any “malpractice or irregularity” is established by
such authorities after checking, the same would also be taken as a “malpractice or
irregularity” under these guidelines and prescribed punitive action would be taken
by the Oil Company, on receipt of advice from such authority.

*AMDC (Average Monthly Distributors Commission)

Average monthly distributor’s commission is to be calculated on sale comprising of


subsidized & non-subsidized domestic LPG in 14.2 kg & 5 kg cylinders including sale

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10. Governance

to non-domestic exempted category customers for the preceding one year from the
month of detection of irregularity and in case of TDT the sale for previous 4 quarters
will be considered for calculation of AMDC.

If a penalized distributor request for clearance of dues outstanding on account of


MDG, in instalments, Head LPG(Region) may permit recovery in monthly/quarterly
instalments for amount beyond rupees 10 Lakhs for regular distributor and rupees 1
Lakhs for RGGLV’s

• Recovery may be permitted in 12 monthly or 4 quarterly equated instal-


ments.

• Whenever instalment recovery is agreed, a commitment from the distribu-


tor shall be obtained in form of the agreement which will have a legal sanc-
tity, in consultation with legal dept.

• In case the distributor fails to deposit the instalment on the due date, after
giving one-week time, debit shall be raised on the distributor.

Corpus Fund for LPG Distributors - Revised Recovery Scheme (October


2018)

With reference to MoP&NG letter ref no. M-13025(11)18012018-LPG-PNG dated


28.09.2018, 16.10.2018 & 26.10.2018 on the subject mentioned above.

OMCs have reviewed the scheme guidelines while considering the general principles
outlined in Point a) & b) of the MoP&NG letter dated 28.09.2018, which are as fol-
lows:

a) No interest shall be charged on investments made in developing infrastructure for


the period from 1992 to 23.01.2006.

b) Interest on the remaining recoverable balance as of 23.01.2006 shall be calculated


using the reducing balance method, applying simple interest at a rate of 1% over PLR
(Prime Lending Rate).

Based on the instructions/directions provided above, the Finance Department is re-


quested to:

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i. Cease recoveries from LPG distributors where the corpus fund recovery has already
been completed as per the revised calculations under points (a) & (b) mentioned
above.

ii. Continue recovery of outstanding dues, including Lease Rental, under the revised
calculations as per points (a) & (b) above, through the Licence Fee Recovery (LFR)
mechanism until all dues are fully recovered. Once all outstanding amounts are
cleared, the recovery process must be stopped immediately

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11. Suspension and Termination

Chapter: Suspension and Termination

Suspension / Termination of Distributorship

Suspension of Distributorship: Suspension of Distributorship is the process by which


a distributorship agreement is temporarily put on hold and the operations are shut
down on a temporary basis. Suspension / Termination is not desired by the corpora-
tion as commissioning is a tedious process but is the last resort to be invoked and is to
be applied in case a distributor does not adhere to the laid down norms of the corpo-
ration after adequate efforts by the Territory. The only difference between Termina-
tion and Suspension is that Suspension is for a specified period and Termination is
final closure of the Distributorship. Both are however subject to process of Arbitration
and Judiciary and after all cases of general Termination are followed up by Court cases
and hence it is pertinent that we take care of all procedure and guidelines before pro-
ceeding with Suspension / Termination.

Some scenarios which may form the basis of suspension: -

- Violations of the Distributorship Agreement


- Non placement of funds
- Violation of Marketing Discipline Guidelines as per the level and frequency
- Non availability of valid essential licenses by the state / central govt.
- Nonadherence to the laid down guidelines / service level agreement etc.
Above list is only a few of the many cases in which suspension / termination is con-
ducted.

The step-by-step procedure for suspension is detailed below: -


1) Complete case to be built up with all supporting documents, references, letters, ac-
tions taken by the corporation in the past.
2. Show cause to be issued to the distributor by the Territory Manager
3. E-office note approval from appropriate authority for the suspension (Refer DRA
for appropriate authority)
4. After approval is received, speaking order (Suspension notice) to be prepared and
to be sent to Legal to vet.
5. Speaking order to be issued to the distributor.
6. The suspension committee of officers is constituted by the Territory Manager to
conduct the suspension procedures.

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7. The committee will physically visit the distributorship at the start of the day before
the distributor starts the delivery.
8. The committee will inform the local police station on the day of the suspension and
with their support the committee will conduct the suspension procedures at the
distributorship.
9. The copy of the suspension notice must be handed over to the signatories and
acknowledgement of the same must taken.
10. All the equipment and assets of the corporation must be taken back from the dis-
tributor and the same to be sent to the plant and records of the same to be main-
tained under the signature of the distributor / committee members / witnesses.
11. The committee must transfer all the consumers with the distributor to nearby dis-
tributors (As per the approval taken)
12. Accounting of the Stocks to be matched with LPG Next and SAP(MB58) both. ERV
differences to be cleared before arriving at the final stock for accounting.
13. A final reconciliation of the stocks and the statement of account must be conducted
and a recovery letter to be issued to the distributor in case there are any dues of
inventory / funds from the distributor.
14. Inform the customers by way of SMS, Advertisement in Newspaper, notice at the
distributorship which is Suspended / Terminated and at the distributors to which
the customers are transferred. Information to be given in Hindi / English and the
local language.

Other Essential information on Termination / Suspension.

- Once it is decided that the distributorship must be terminated, keep a close


watch on the company equipment. Loads could be planned accordingly. En-
sure all outstanding to the Corporation is collected prior to Termination of
the Distributorship.
- Post termination, if outstanding if any should be collected within three
years of Termination before it gets time barred.
- Once the approval is received, the action thus initiated must be closely
guarded secret and action should be taken as fast as possible. While prepar-
ing for Termination the process to be followed will be:
- Role mapping is especially important and Suspension / Termination com-
mittee members to be told only on the previous evening to keep the secrecy.
- CRC to be informed of the Termination so that customer complaints will be
dealt with suitably.
- Copy of the termination letter to be sent to Region/LPG HQ/Legal.

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11. Suspension and Termination

- In case of terminated distributor gets a judgement in his favor through ar-


bitration/court case the revival can be done up to 5 years through clauses as
per DRA & for revival after 5 years from termination case must be approved
by board of directors.
- Once it is decided that the distributor must be suspended / terminated,
Write to HQ to deactivate the Distributor for Digital payments.
The above is just broad guideline so that uniformity is maintained while recommending the
termination note and serving show cause notice for termination. Territory to work out the finer
details of the Suspension / Termination in consultation with the State Head (LPG) and Head
(LPG).

Termination of Distributor
A. Other than SC/ST category
Committee:
4. Sales I/c at HQ
5. Concerned Head (LPG) Region
6. Marketing Services Role holder at HQ
Policy/Guidelines:
 TM and State Head to propose
 As per Distributorship Agreement/MDG
B. SC/ST Category
Committee:
4. SBU Head
5. Sales I/c at HQ
6. Concerned Head (LPG) Region
Policy/Guidelines:
 State Head & TM to propose
 As per Distributorship Agreement/MDG
 Committee to recommend to Director Marketing, who will be the final approv-
ing authority

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11. Suspension and Termination

Domestic LPG Sales

Introduction

The domestic LPG (Liquefied Petroleum Gas) market in India has expanded significantly
over the years, emerging as one of the largest in the world. LPG is a clean and efficient cook-
ing fuel that now reaches the majority of Indian households. Public sector oil companies
(PSU OMCs) play a crucial role in ensuring last-mile distribution, managing a vast network
of distributors and bottling plants.

The widespread adoption of LPG has been facilitated by government initiatives, infrastruc-
tural developments, and increasing consumer awareness about its benefits. However, con-
nection alone is not enough; sustained and consistent usage of LPG is critical. Many house-
holds still rely partially on solid fuels due to affordability and traditional cooking habits. Ad-
dressing these issues requires a shift from a distribution-based model to a proactive sales
and marketing approach, ensuring deeper penetration and sustained adoption.

This chapter outlines a structured Domestic LPG Growth Strategy, encompassing infrastruc-
ture improvements, marketing initiatives, customer engagement, and service excellence.

Domestic LPG Growth Strategy

To maintain and accelerate growth in the domestic LPG segment, oil companies have devel-
oped a comprehensive strategy focusing on proactive sales, enhanced infrastructure, cus-
tomer-centric services, and leveraging government programs.

1. Transition from Distribution to Sales & Marketing

Historically, LPG distributors primarily served as fulfilment agents, processing orders and
ensuring deliveries. However, the evolving market necessitates a transition to a more dy-
namic sales and marketing approach. Distributors and field officers now actively promote
LPG adoption, analyze consumption patterns, and implement localized campaigns to boost
awareness and usage. A focus on customer relationship management ensures that LPG be-
comes the primary cooking fuel for all households, reducing reliance on alternate fuels.

2. Enhancing Delivery & Infrastructure

A robust delivery and infrastructure network is the backbone of domestic LPG sales. The fol-
lowing initiatives ensure efficiency and reliability in the supply chain:

 Reducing Refill Backlogs: Ensuring timely delivery by maintaining adequate in-


ventory, optimizing logistics, and utilizing real-time monitoring systems.

 Improving Supply Chain Efficiency: GPS-enabled delivery vehicles, centralized


scheduling, and extended operations improve refill delivery timelines.

 Expanding the Micro-Distributor Network: Establishing BDAs in rural and re-


mote areas enhances last-mile connectivity.

 Area-Wise Sales & Booking Monitoring: Tracking key indicators such as book-
ing volume, refill ratio, and new connection penetration helps identify areas requiring
targeted interventions.

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11. Suspension and Termination

3. Incentivization & Customer Engagement

Customer engagement and frontline staff motivation are critical to driving LPG adoption.
Key initiatives include:

 Rewarding Delivery Personnel: Performance-based incentives encourage timely


delivery and enhanced service like Khusiyon ki passbook etc.

 IVR and WhatsApp Outreach Campaigns: Automated reminders and


WhatsApp-based promotions help reactivate dormant customers and encourage re-
fills.

 Customer Education & Feedback Initiatives: Regular safety clinic, community


engagement programs, and customer feedback mechanisms enhance service delivery.

4. Expanding the Customer Base

While LPG connections have expanded significantly, additional efforts are needed to cover
remaining households and emerging segments. Strategies include:

 Boosting New Connections: Identifying unserved households and conducting


targeted enrolment campaigns.

 Targeting Institutional and Community Segments: Targeting exempted LPG


sales in educational institutions, ashrams, hostels, and charitable organizations.

 Competitive Market Analysis: Tracking competing OMC distributors to


strengthen own position.

 Financial Support for Distributors: Providing access to financing schemes to


help distributors expand operations and improve service quality like SBI /ICICI
eDFS.

5. Customer Retention & Market Intelligence

Ensuring continued LPG usage among existing consumers is a top priority. Key strategies in-
clude:

 Tackling Customer Dormancy: Reaching out to inactive users through surveys


and follow-ups to understand and address issues.

 Tackling Customer Dormancy: Reaching out to inactive users through surveys


and follow-ups to understand and address issues.

 Encouraging More Frequent Refills: Informing customers about LPG’s benefits


and sending refill reminders through customer service.

 Encouraging Double Bottle Connections (DBC): Promoting DBC adoption en-


sures households have backup cylinders, leading to higher LPG consumption.

 Promoting Digital Transactions: Encouraging online bookings and digital pay-


ments enhances convenience and reduces dependency on cash transactions.

6. Service Standard Improvement & Compliance

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11. Suspension and Termination

Enhancing service quality and ensuring strict compliance with safety norms are critical for
sustained market growth. Strategies include:

 Strengthening Service in High-Demand Zones: Deploying additional re-


sources in all high demand areas including opening of new BDAs.

 Continuous Safety Programs: Organizing safety clinics and mandatory inspec-


tions to educate consumers.

 Distributor Training and Compliance Adherence: Implementing structured


training programs and monitoring adherence to standard operating procedures.

7. Government Initiatives

Government programs play a crucial role in promoting domestic LPG adoption. Key initia-
tives include:

 Pradhan Mantri Ujjwala Yojana (PMUY): Providing free LPG connections to


low-income households and ensuring continued usage through targeted subsidy pro-
grams.

 Direct Benefit Transfer (DBT) for LPG Subsidy: Ensuring subsidies reach
consumers directly, reducing diversion and increasing transparency.

 Rural Outreach and LPG Awareness: Conducting PM LPG Panchayats and


awareness campaigns to promote safe and efficient LPG usage.

 PMGKY: The Pradhan Mantri Garib Kalyan Yojana (PMGKY) was introduced in
March 2020 as part of the government's economic response to the COVID-19 pan-
demic. Under this scheme, PMUY beneficiaries received free LPG refills for three
months starting from April 1, 2020. This initiative aimed to alleviate the hardships
faced by low-income households during the pandemic by ensuring continued access
to clean cooking fuel.

8. Performance Optimization & Distributor Empowerment

Ensuring optimal distributor performance is essential for maintaining high service stand-
ards. Key strategies include:

 Performance Tracking and Benchmarking: Ranking distributors based on de-


livery efficiency, service quality, and customer feedback.

 Recognition of Top Performers: Awarding high-performing distributors to in-


centivize excellence.

 Training and Knowledge Sharing: Providing e-learning modules and mentor-


ship programs for distributors like Gurukul and ePathshala etc.

 Empowering Through Technology: Implementing digital tools like Mobecon-


nect App for distributors to track inventory, monitor deliveries, and analyse market
trends.

9. Potential Market Assessment

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11. Suspension and Termination

Identifying future growth opportunities through data analysis ensures continued expansion.
This includes:

 Utilizing Census and Demographic Data: Identifying regions with lower LPG
penetration and targeting them for new connections.

 Identifying Growth Opportunities: Assessing housing developments, seasonal


demand trends etc.

 Competing Fuel and Technology Trends: Monitoring alternative fuel sources


and adapting marketing strategies accordingly.

10. Distributor Commitment & Operational Excellence

Distributors play a vital role in maintaining service efficiency. Their commitment to excel-
lence involves:

 Minimizing Refill Pendency: Ensuring refill orders are processed within the
shortest possible timeframe.

 Continuous Expansion of Customer Base: Actively seeking new connections


and engaging in localized marketing initiatives.

 Ensuring Seamless Digital Transactions and Records: Adopting digital tools


for booking, invoicing, and customer management.

 Adherence to Operational Protocols: Maintaining strict compliance with safety,


regulatory, and service quality standards.

Conclusion

The domestic LPG sales domain in India has evolved from a simple distribution model to a
sophisticated, customer-focused marketing operation. The shift towards proactive sales, en-
hanced service quality, and digital transformation ensures continued growth and market
leadership.

With increasing consumer awareness, robust government support, and improved infrastruc-
ture, domestic LPG sales in India are poised for sustained expansion. By maintaining a re-
lentless focus on execution excellence, customer engagement, and innovation, we can ensure
LPG remains the preferred cooking fuel in Indian households. The future of LPG in India lies
in universal, sustained adoption, making clean cooking fuel accessible and affordable for all.

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12. Non-Domestic LPG

Chapter: Non-Domestic LPG

Introduction to Packed commercial LPG

Non-Domestic LPG serves as a versatile fuel for a wide range of industrial and com-
mercial requirements. With its high calorific value and environmentally friendly char-
acteristics, LPG is widely utilized in numerous establishments across various sectors.
Its adaptable nature enables it to be effectively employed in a diverse array of applica-
tions, supporting the energy needs of industrial and commercial operations through-
out the country.

INDUSTRIAL APPLICATIONS OF LPG:

1) Food Processing

LPG is widely used in many food processing systems because of its clean burning
properties. Bakeries and the manufacturers of biscuits, chips and chocolate are in-
clined to choose LPG as their preferred energy option as their products will not be
exposed to the risk of contamination. In addition, this energy is also used in the
process of cooking, drying, and smoking as well as in the dairy industry for pas-
teurization.

2. Aluminium Melting

Aluminium ingots along with alloys are melted together to produce billets, cast-
ings, engine blocks, cylinder heads, pistons etc. LPG is widely used for aluminium
melting, holding, and re-melting processes.

3. Aluminium Heat Treatment

Aluminium alloys are subjected to heat treatment to improve hardness and tensile
strength. Due to its consistent gas quality and global technical expertise, LPG is
widely preferred by many manufacturing units. Some of the common heat treat-
ment processes where our LPG is used are Solution Heat Treatment, Artificial Age-
ing or Precipitation and Annealing Process.

4. Case Hardening

Case Hardening is the process of hardening the surface of metals for better wear-
resistance and greater fatigue strength. LPG is widely preferred over other fuels

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12. Non-Domestic LPG

for Carburizing, Nitriding and Carbo-nitriding processes in heat treatment appli-


cations.

5. Endo Gas Generation

Endothermic gas is a mixture of several gases like Hydrogen, Nitrogen, CO, CO2,
Water Vapor. It is used in many heat treatment furnaces for a strong Oxygen re-
ducing atmosphere. LPG is quickly gaining popularity as a Carbon enhancer in the
controlled furnace atmosphere. Some of the most common heat treatment appli-
cations where LPG is increasingly used are Gas Carburizing, Carbonitriding, Hard-
ening/Annealing, High Temperature Brazing and Carbon Restoration of Steel.

Many manufacturing units rely on LPG to pass over the heated catalyst along with
air in the retort at a temperature of 1030-1050 °C generating Endo Gas in the pro-
cess. We ensure quality LPG which is free from unsaturated and heavy hydrocar-
bons (like Pentane, Hexane etc.). Consistent composition of our LPG enhances the
life of the catalyst and ensures smooth operation.

6. Hot Dip Galvanizing

Hot dip Galvanizing is the immersion of clean, oxide-free iron or steel in molten
zinc. It helps to form a protective zinc coating that is metallurgically bonded to
the iron or steel’s surface. It is used in the manufacturing process of wires, barbed
wires, sheets, plates, tubes, pipes, strips, structural steel, fittings, hardware, fas-
teners, nails, wire cloth etc. Today, LPG is widely preferred over other conventional
fuels in the Hot Dip Galvanization Process.

7. Powder Coating

Powder coating is a surface coating process that gives a ‘dry finish’ to metals, im-
porting a colour finish and acting as a protection layer to the base metal. The pro-
cess offers several benefits over conventional liquid painting such as superior con-
sistency and uniformity, longer life, better impact resistance, greater corrosion
resistance and lesser pollution.

In the Powder Coating process, finely ground dry paint film is electro statically
applied onto a specially prepared surface. Heating the film with LPG lends a tough
smooth finish, better than LDO, HSD and other fuels. Our LPG can be effectively

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12. Non-Domestic LPG

used for all the steps in the process including degreasing, phosphating, pas-
sivation, drying and pre-heating and curing. It also helps produce uniform finish
without sags, drips, runs and bubbles.

8. Roto Moulding

Roto Moulding is used to produce hollow plastic products. Heating, melting, shap-
ing, and cooling are some of the steps in the process where polymers are placed
inside the mould without applying external pressure. Combining heat and bi-axial
rotation, Roto Moulding creates seamless, stress-free hollow one-piece items.

9. Wire Annealing

Annealing is a Heat Treatment process where the metal is heated up beyond its
critical temperature, held at that temperature for some time, and gradually cooled.
Wire annealing is done to homogenize the wire structure, remove internal stresses,
induce ductility and softness, and adjust tensile strength, yield, elongation, and
other physical properties.

Be it a Strand Annealing Furnace, Bell Annealing Furnace, or Pit Type Furnace,


using LPG is not only cost- effective, but also makes the process more productive.

10. Ceramic

LPG is one of the best energy choices in this industry. Ceramics made of clay re-
quire a high heating value to dry and become hard and solid. Easily controllable,
LPG provides cleancombustion and is therefore advantageous in the mainte-
nance process. Burners and kilns must be maintained less often, causing less
downtime, saving costs, and increasing productivity. As a choice energy, LPG is
widely used in pottery, roofing, ceramic tiles, and sanitary ware.

11. Textile

The textile industry consists of three groups, namely:

i. Natural textiles: cotton, wool, linen, silk,


ii. Artificial textiles: derived from natural products.
iii. Synthetic textiles: 100% chemical products with a high degree of polymeri-
zation.

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12. Non-Domestic LPG

The textile industry requires several energy-consuming processes for which LPG
is found to be a suitable fuel. These processes are:

i. Heating of the bath (cleaning, bleaching, dyeing)


ii. Drying, thread singeing and polymerization Ironing

LPG has multiple advantages in that it is clean and flexible, easy to maintain and
produces a high thermalyield.

12. Printing

Although chemical engineering is the biggest user of steam boilers, LPG-powered


heat-exchangers are recommended in many distinct stages of the process. By using
LPG, the chemical processes are enhanced thanks to good temperature regulation
attributes, high yields of energy and minimal maintenance procedures required by
this type of installation.

13. Forklifts

Good for meeting air quality regulations in the workplace and technical demands
for modern handling (rapidity, power, flexibility, economy), LPG is nowadays the
best response for the fuelling of thermal- engine trucks. Lead-free and soot-free,
LPG has an exceptionally low rate of carbon monoxide emissions and is therefore
the chosen energy when a pollution-free environment is critical. Should you invest
in newforklifts trucks, there are many reasons why you should use LPG models.

14. Others – Agriculture Sector (seed drying etc), Glass Manufacturing etc.

ND distributorship appointment

Guidelines for Selection of Non-Domestic LPG Distributors Oct-2021

The selection guidelines for appointment of Non-Domestic LPG Distributors are ap-
plicable for all locations advertised / re-advertised effective from 01.10.2021.

Guidelines Major Points –

1) Identification of Locations and Advertisement:

Locations would be identified by assessing the potential for Non-Domestic LPG


business by the Territories, State and Regions. An advertisement for the appoint-

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12. Non-Domestic LPG

ment of Non-Domestic Distributorships will be published by the company in a lo-


cal daily newspaper in the format given in the guideline. The advertisement should
specify the last date on or before the applications are submitted. The cut-off date
should be a minimum of 30 days (about 4 and a half weeks) from the date of pub-
lication of the advertisement in the newspapers i.e., it should be ensured that the
applicants get a minimum of 30 days clear time for submission of completed ap-
plication. It should be ensured that the date

specified in the advertisement is a working day for BPCL. The same principle ap-
plies for release of corrigendum. Application form for distributorship will be avail-
able for download free of cost from our website www.ebharatgas.com and
www.bharatpetroleum.in.

2. Receipt and Scrutiny of Applications:

Applications should be received according to the prescribed procedure for receiv-


ing applications. Opening & Scrutiny of applications will be done by a committee
named the Scrutiny & Evaluation Committee (SEC). Scrutiny & Evaluation Com-
mittee (SEC) shall consist of two officers of minimum ‘B’ grade nominated by Re-
gional Head LPG. To ensure that the committee has independent members, no of-
ficers in the committee should be reporting to other officers in this committee.

SEC shall scrutinize the applications of all the applicants based on the information
furnished by the applicant in the application for eligibility. SEC after completing
scrutiny and evaluation of all applicants shall prepare the following list:

i. 1. List of applicants who were found eligible.


ii. 2. List of applicants who were not found eligible and the reasons for their
ineligibility should be clearly spelt out/recorded for each case.

3. Evaluation of Applicants and Interview-

The evaluation for a specific location will be carried out by the designated SEC
(Selection Evaluation Committee) based on predetermined parameters. These pa-
rameters include age, educational qualification, infrastructure, and the applicant's
capability to arrange finance. The evaluation will be conducted using the pre-
scribed format.

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12. Non-Domestic LPG

The LPG Non-Domestic distributor for the advertised location will be selected
based on interview of all eligible applicants. An applicant must get minimum 60%
marks (60 mark and above out of total 100 mark) after interview for being included
in the merit panel. In case no applicant gets 60% marks, then the location will be
re-advertised.

4. Merit Panel formation

In accordance with the guidelines, the declaration of results and formation of the
merit panel will be conducted. The top three applicants with the highest marks will
form the merit panel. The applicant who receives the highest marks will be eligible
for the issuance of the Letter of Intent (LOI). However, if the LOI is not issued or
is cancelled, the next applicant in the merit panel will become eligible for the LOI.
Upon exhaustion of Merit panel, the location may be re-advertised for fresh selec-
tion. Validity of merit panel of applicants for distributorship ceases to exist once
the distributorship is commissioned.

5. LOI Issuance and Obligations

On receipt of Security deposit of Rs. 3.5 Lakhs within 7 days from the date of se-
lection, Territory Manager will issue LOI to first empanelled applicant certified by
the Merit Panel. If the selected applicant produces Security Deposit of Rs. 3.5 lakhs
in form of Demand Draft (DD) to the company (BPCL) upon declaration of merit
panel, LOI may be issued on the same day.

The LOI holder has mandatory obligation to commission the distributorship


within the period of 4 months from the date of LOI including providing LPG Go-
down with PESO license and other regulatory approvals and ownership /Lease
documents failing which the LOI is liable to be withdrawn along with forfeiture of
the part Security deposit.

If the LOI holder has commenced physical construction of activities or received


few applicable Regulatory approvals with initial approval from PESO but due to
certain genuine difficulties it has not been possible for him/her to fulfil the condi-
tions laid down in the LOI within 4 months, in such cases Territory Manager can
give initial extension of 2 months.

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12. Non-Domestic LPG

For further extension, Territory Manager should send proposal for taking approval
of Regional Manager (LPG)/Regional Head LPG for extending the validity of the
time limit of the LOI. The Regional Manager /Regional Head LPG may extend the
time limit as deemed fit.

Note: The major points provided serve as a summary and should not be considered
as an exhaustive representation of the entire guideline. Please refer to the complete
guideline for detailed information and accurate understanding of the process.

6. Feasibility Report-

A feasibility study for an LPG distributorship targeting commercial and industrial


customers involves collecting market data, analyzing competition, assessing infra-
structure, understanding regulatory requirements, evaluating financial viability,
and developing a targeted marketing strategy. By considering these factors, we can
determine the feasibility of establishing a successful distributorship and catering
to the unique needs of commercial and industrial customers.

7. Training module for ND distributors

For the newly appointed ND distributor, it is important to have a comprehensive


training module that covers various aspects of the business. Below are modules for
the training program:

i. Safety and Handling Procedures: Provide training on safe handling, storage,


and transportation of LPG cylinders. This should include information on
safety measures, emergency response protocols, and risk management.
ii. Product Knowledge: Educate distributors about diverse types of LPG cylin-
ders, their specifications, quality standards, and proper usage guidelines.
They should also learn about the various LPG appliances and equipment
available in the market.
iii. Regulatory Compliance: Familiarize distributors with the relevant regula-
tions and legal requirements pertaining to LPG distribution, storage, and
safety. This should include obtaining necessary licenses, permits, and ad-
hering to safety standards set by the authorities.
iv. Customer Service and Sales: Train distributors on effective customer service
practices, including handling inquiries, resolving complaints, and promot-
ing LPG products. Provide insights into marketing strategies.

8. ND distributorship commissioning check list

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12. Non-Domestic LPG

Progress on commissioning of the Distributorship should be monitored as per for-


mat of the checklist. This checklist forms the basis for commissioning of the LPG
Distributorship. Format of checklist not available in selection guidelines also need
it.

9. ND distributorship Agreement

Territory Manager, being constituted Attorney should sign the Appointment Letter
as well the Distributorship agreement on behalf of the Corporation. The tenure of
the distributorship shall be for an initial period of 5 years and renewable for every
5years thereafter, subject to the examination of the performance of the distribu-
torship by the Territory and Region and decision thereon.

10. Quiz

The selected applicant will be given classroom training covering product


knowledge, distributorship operation and practical training on BPCL software for
distributorship operation, data upload/ download etc. The selected applicant must
clear pre-commissioning quiz/test as per questionnaire. The test should be taken
by the selected applicant at the Territory Office. Qualifying marks will be 80%.

In case selected applicant secures less than 80% marks, re-training should be
given, and re-test conducted.

BA policy – need to update

A committee comprising RLM /Regional Head LPG, Regional Finance Manager


and TM shall appoint the BAs based on the market information regarding creden-
tial and financial and business capacity of the parties, advertisement for appoint-
ment of BA is not essential.

1) Eligibility criteria – BA can be an individual or partnership firm or a company.


Candidates for selection of BAs shall be considered from the existing BAs of I&C
SBU, Government undertakings, LPG contractors, transporters engaged by OMCs
and industrial product/ service providers.
2. Interest free security deposit of Rs five lakh shall be obtained from the BA.
Security deposit can be collected in the form of demand draft or bank guarantee.
Appointment of BA shall be done for the period of three years which can be re-

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12. Non-Domestic LPG

newed for three years with approval of RLM. /Regional Head LPG Renewal or ter-
mination of the BA at any point of time shall be based on performance of the BA in
terms of sales volume, customer service, compliance to Company’s policies and
Government regulations etc.
3. Operating terms for the BAs shall be as under:

i. Supplies to the BA or customer tied-up through BA shall be on ex-MI basis


with advance payment made by the BA or the customer thru RTGS/NEFT/
other digital modes.
ii. Credit may be approved by RLM to the end customer arranged by the BA
based on evaluation of credit worthiness of the customer, bank guarantee
shall be taken from the customer in case any risk is perceived by the RLM.
No credit shall be extended to the BA.
iii. BA can be considered as sold to party in case he is making payment on behalf
of the customer. SAP code shall be created for BA as customer.
iv. Other terms as applicable to ND distributors shall be applicable to the BA
regarding supply of one-way cylinders, rental for cylinders, cylinder return/
reconciliation etc.
v. At locations where godown is available with the company, the same may be
provided to the BA, if interested. In such case, MOU shall be signed with the
BA for providing warehousing space, fee at the amount equal of 8% of the
packed commercial commission to regular distributors shall be recovered
from the BA on monthly basis, and fee amount shall be charged on the cyl-
inder upliftment by the BA and customers arranged by him from the com-
pany.
vi. The BA shall be eligible for trade discount only for the business canvassed
by him and depending upon the type of product and payment terms. Total
amount of trade discount paid to the BA plus the discount paid to the end
customer shall not exceed gross margin declared by the HQ.
vii. BAs are expected to enter commercial business which involves extending
credit to customers, recovery of credits extended and making investment for
fuel conversion facilities at customer premises and to manage the distribu-
tion network of agents and sub-agents. Maximum trade discount payable to
the BAs is as under.

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12. Non-Domestic LPG

viii. Trade discount to the BA shall be approved by RLM within the limits
specified by HQ. Payment of trade discount shall be made to the BA through
credit note at the month end or along with the invoice.
ix. Assessment and certification of business canvassed by the BA shall be done
by the concerned SO/ Commercial sales manager on monthly basis.

Type of Packed Commercial Customers

Packed commercial customers can be categorized into two main types: retail
customers and direct customers.

Retail customers are served through the distributor network, and this category further
includes both the unorganized and organized sectors.

In the unorganized sector, retail customers consist of eateries, road-side vendors, and
similar businesses. These customers typically have smaller volume requirements but
are widely distributed across various locations. The distributor network plays a crucial
role in reaching and serving these customers efficiently, ensuring the availability of
packed LPG cylinders for their daily operations.

In the organized sector, retail customers include hotels, restaurants, malls, and IT
parks. These establishments have a higher demand for LPG and are often served by
dedicated distributors who specialize in catering to the needs of the hospitality and

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12. Non-Domestic LPG

commercial sectors. Hotels and restaurants require LPG for their kitchens and food
preparation areas, while malls and IT parks may have centralized cooking facilities
serving multiple food outlets.

Apart from retail customers, there are direct customers who are catered to directly by
BPCL. These customers are majorly large volume consumers, such as industries and
5-star hotels. Due to their significant LPG consumption, they have a direct contractual
relationship with BPCL. Direct customers often have specialized requirements, and
BPCL ensures the availability and timely supply of LPG in bulk quantities to meet their
demands.

The packed commercial customer segment is vital for ND business, as it caters to a


diverse range of businesses across different sectors. The distributor network plays a
crucial role in efficiently serving retail customers in the unorganized sector, while
direct customers benefit from direct engagement with BPCL for their substantial LPG
needs.

By understanding the specific requirements of each customer category and


maintaining strong supply chains, we ensures a steady and reliable LPG supply to
support the operations of packed commercial customers.

Potential Assessment

Conducting a potential assessment of LPG is essential for several reasons. Firstly, it


helps in evaluating the feasibility and viability of adopting LPG as an alternative en-
ergy source. Secondly, a potential assessment enables a thorough analysis of the infra-
structure requirements, supply chain logistics, market demand, and regulatory frame-
works associated with LPG. This information is crucial for understanding the chal-
lenges and opportunities in integrating LPG into existing energy systems. Lastly, as-
sessing the potential of LPG contributes to informed decision-making.

• Market Intelligence:

• Collection of Data: Leveraging technology using food apps and internet.

• Real time data collection by team of individuals in a trading area.

• Leveraging interpersonal skills of our network.

• Attending various industrial events.


• Cross BU opportunities.

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12. Non-Domestic LPG

• Collection of data from various district administration departments like


PESO, factory offices, Industrialtrade associations.

• Leveraging weakness of our competition.

• Salesforce – to be used to capture the leads – opportunity – customer crea-


tion.

Package Sizes

Packed Commercial LPG is marketed in various packages as per the need and
capacity of the customers(Commercial/ Industrial) by BPCL. Details on type of cylin-
ders with tariff/ SD/ penal rate are given below-

Secu-
Tariff Penal
Sr. Product rity De-
Package rate rate
No. code posit
(INR) (INR)
(INR)
5240 &
a 5 Kg Free trade LPG (FTL) 944* -
5260
b 19 Kg Cylinder 5400 2400 2400 3600
c 35 Kg Cylinder with S.C. Valve 5500 4000 4000 6000
d 35 Kg Cylinder with LOT Valve 5590 5500 5500 8250
e 47.5 Kg Cylinder with S.C. Valve 5600 4900 4900 7350
f 47.5 Kg Cylinder with LOT Valve 5690 6400 6400 9600
G 422 kg Hippo cylinder 5700 95000 95000 190000
*Cylinder cost as on 01.02.2025 and it changes monthly for FTL.

Packed Installation

There are 2 types of packed commercial installations used in various commercial


establishments andindustries.

• Vapour off take installation. (VOT)

• Liquid Off take installation. (LOT)


VOT is a system where LPG is taken out from cylinder in Vapor form only, the way
it is commonly used and is known to everybody. This is the type of off take we use
in our house kitchens. LOT is a special system wherein LPG is taken out in Liquid
Phase only and it is then vaporized using a shell and tube type evaporator called
vaporizer.

For large burners and furnaces and industrial application burners where the rate
of vaporization required is much more, LOT systems are most useful. Since the
rate of vaporization is proportional to the surface area and ambient temperature,

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12. Non-Domestic LPG

both parameters are out of control of the operations, the large burners may get
starved for fuel. LOT overcomes this hurdle and allows us to withdraw as much
fuel as required.

Advantages of LOT Systems:

- Requires Less Area


- Very convenient to handle 35 KG/47.5 KG Cylinders Noresidual loss
- Constant Pressure
- Capital Cost Effective compared to Bulk installations Fastest Concept to
Commissioning time.
All the commercial installation installed at the customer premises must be de-
signed and should adhere to following code:

i. IS 6044 part I
ii. OISD standard 162
iii. Checklist for LOT installation

Safety cards for commercial customer

Safety Tips for Your Restaurant & Hotel

Do's:

- Always keep the LPG cylinder in an upright/vertical position with the valve
on top.
- Install the cylinder at ground level while keeping the LPG appliance at a
higher level.
- Use standard (ISI mark) equipment.
- Retain the safety cap with a nylon thread attached to the cylinder.
- Fix the cap on the valve when the cylinder is not in use or to stop leaks, if
any.
- Store cylinders in a cool, dry, well-ventilated place under cover, away from
boilers, open flames, steam pipes, or any potential sources of heat. The stor-
age place should be easily accessible.
- Regularly check your LPG gas bank and installation with an authorized LPG
distributor.
- Keep the area clean and restrict entry to authorized persons only.
- Shout and raise an alarm/siren in case of unsafe conditions.
- In case of leakage, stop all operations and close all isolation valves.
- If there is a valve leakage from the cylinder, put on the safety cap and take
the cylinder to an open space.

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12. Non-Domestic LPG

- Use D.C.P-type fire extinguishers in case of fire and/or call the Fire Brigade.
- Call the Fire Brigade and LPG supplier if the leakage is not controlled.
- Keep unconnected cylinders away from the LPG cylinder manifold.
Do not’s:

- Do not expose the cylinder to sun, rain, dust, and heat.


- Do not heat the cylinder directly or indirectly.
- Before connecting, always check the cylinder for any leakage from the 'O'
ring and valve.
- Remember to turn off the valve when the cylinder is not in use.
- Avoid keeping unconnected cylinders.
- Do not allow battery-operated instruments inside the LPG shed.
- Do not use any non-flame-proof electrical items inside the LPG shed.
- No smoking is allowed inside and around the LPG shed or area.
- Avoid any naked flames anywhere inside and around the LPG shed or area.
- Do not store cylinders along with any combustible material.
- Prohibit the use of high-powered magnets for lifting the cylinders and
chains for slinging the cylinders. Do not lubricate the valve or any other fit-
ting on the cylinder.
- Prohibit sliding, dropping, or playing with cylinders.
- Never use a naked flame, as it poses a risk of causing a fire accident.
-
Bharatgas Gas bank: Operating Instructions

For starting operations on any day:

i. Please ensure minimum Water level in the Vaporizers under operation.


ii. Open the LOT Valves of the Cylinders ¼ turn gradually of the Bank in op-
eration.
iii. Open the Manifold Valve of the LOT Gas bank in Operation.
iv. Switch on the Vaporizer at least 30 minutes before the requirement of LPG
at the Customer’s end.
v. Once the temperature in the Vaporizer reaches 55degree Celsius, Solenoid
valve on the Inlet line will open thereby allowing Liquid LPG to enter the
Vaporizer.
vi. Once the temperature in the Vaporizer reaches 85 deg. C, Liquid LPG will
convert to LPG Vapor and flow in the pipeline downstream.
vii. Ensure Pressure settings downstream at 2 Kg/ sq. cm.
viii. Keep the Isolation valve and all the Cylinders LOT valves closed for the
Standby Bank.

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12. Non-Domestic LPG

ix. Use One Vaporizer for One Weeks’ time and then switch over to next Vapor-
izer.
x. Close the LOT Valves on Cylinders and then Isolation valve at the end of the
Day’s Operation.
xi. Switch off the Vaporizer.
xii. Check periodically for all the Controls and Trips in the Vaporizers.
xiii. The Water in the Vaporizer is required to be replaced on a Weekly basis.
xiv. Ensure proper upkeep of Pressure Gauges, EFCV, NRVs and Pigtails al-
ways.
xv. For any emergency, please contact:

▪ Maintenance/Transport Contractor:
▪ HSSE officer
DO’s DONT’S
Always ensure LOT Cylinders come with Caps Do not roll the Cylinders on the body
while taking Delivery. or horizontally.
Please unload the Cylinders on the Rubber
Do not invert the Cylinders
Mat only.
Please tighten the Adopter of the Pigtail using Do not use any metallic tools for re-
a correct size Brass spanner only. pairs inside the Gas bank.
Use of Mobile phones or any other
While changing the Cylinders in the banks,
Electrical item/ Combs/ Metal Wire
ensure that Isolation Valve of the manifold is
brush is prohibited inside the gas
closed for the respective Bank
Bank.
Always ensure that all the LOT Valves Do not try to repair or tamper
are in closed mode when not in Use. with Cylinder Fittings.
Always ensure proper Water level in the Va- Do not leave the gas bank unattended
porizer even when not in Operation.
Always ensure proper upkeep and mainte-
Do not leave the Cylinders in Open
nance of the Cylinder Pigtails with Adopters.
yard.
(Weekly basis checking to be done)
Always Ensure proper working of pressure Do not use part Cylinders and ensure
gauges/ control systems in Vaporizer / fire complete Bank usage at any point of
Extinguisher/ Hydrant points etc. time.
Always ensure proper Housekeeping of the
Do not switch off or bye pass any
Gas banks and area around the Gas banks to
trips/ Controls in the Vaporizers.
be kept free from Dry Grass.
Only Authorized and trained personal Do not store any other inflam-
should be allowed to Operate the Gas mable item in the Gas banks
bank and Vaporizers. other than LPG Cylinders.

Strategy for Enhancement of Business

Few strategies to enhance the Packed commercial business is given below-

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12. Non-Domestic LPG

1) Develop Technical Competence: Building technical competence allows us to


offer comprehensive solutions to their customers. By understanding their needs
and challenges, we can provide tailored and efficient solutions that meet customer
requirements.
2. Potential Assessment and Customer Visits: Conducting a thorough assess-
ment of the trading area helps identify potential customers. Regular visits to cus-
tomers enable us to establish personal connections, understand their unique
needs, and provide customized solutions.
3. Regular Follow-up: Consistent follow-up with customers is essential for main-
taining strong relationships. Regular communication helps address concerns,
gather feedback, and offer additional support as needed, fostering customer loy-
alty.
4. Collaboration with Other BUs cross selling: Building relationships with cus-
tomers of other business units within the organization enhances cross-selling op-
portunities. By understanding their diverse needs, we can offer comprehensive so-
lutions and establish themselves as a one-stop-shop for customers.
5. Technical Expertise for Upcoming Industries: Assisting upcoming indus-
tries by providing technical expertise displays a company's commitment to sup-
porting their growth. By sharing knowledge and insights, we can position them-
selves as industry leaders and trusted advisors.
6. Corporate Tie-ups: Collaborating with corporate partners opens doors to new
opportunities and expands the customer base. Through strategic alliances, we can
leverage each other's strengths and enhance their market presence.
7. Competitive Pricing: Pricing can be used as a strategic tool to capture customers
from competitors. By offering competitive rates without compromising on quality,
we can attract customers from other industry players and gain a larger market
share.
8. Safety Inspections: Conducting safety inspections free of cost demonstrates a
commitment to customer well-being. By proactively ensuring compliance and
safety standards, we build trust and credibility with customers.
9. Benefit Analysis: Providing monthly benefit analyses to customers after conver-
sion displays the value and positive impact of the company's offerings. This helps
customers understand the advantages of partnering with the business.

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12. Non-Domestic LPG

10. Increase Comfort Level of customers: Monitoring customer inventory, facil-


itating payment collection, managing logistics, and ensuring smooth account rec-
onciliation all contribute to increasing customer comfort. By streamlining pro-
cesses and reducing administrative burdens, we can create a seamless experience
for customers.
11. Business Associate Support: Engaging experienced and skilled business asso-
ciates as canvassers helps expand market reach. Selecting associates based on their
expertise and business acumen ensures effective market penetration and customer
acquisition

Rental Policy

A rental system is proposed for cylinders issued to customers and for empty + filled
cylinders at the godown of distributors. Plants issue cylinders to the distributors as per
market demand and it is expected that total refill sales by the distributor will be 4 times
that of inventory at godown, for excess cylinders, rental will be charged to the distrib-
utor.

The Number of cylinders on which Rental will be levied will be calculated as in the
following example: -

Sr.
Details Nos
No.
No. of Cylinders with Deposit paid to BPC lying with Cus-
A 2000
tomers
B Cylinders with Zero Deposit lying with Customers 5000
c Total number of Cylinders with Customers (A + B) 7000
D Filled Stock at Godown 1000
E Empty Stock at Godown 2000
F Floor stock at Godown (D+E) 3000
G Total number of cylinders with Distributor (C + F) 10000
H Total Monthly Refill Sales 28000
I Permissible free cylinders (H x 0.25) 7000*
j Rental Stock (G-I-A) 1000
* Includes 10% cylinders for deposit free SVs plus 15% floor stock to service the
customers

Rent per cylinder per month will be applicable as per the following slab system:

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12. Non-Domestic LPG

Rental/cylinder per
Sr. No. Total Refill sales per month
month (Rs)

1 >10000 2
2 >5000 - 10000 5
3 >2000 - 5000 7
4 >500 - 2000 12
5 <500 15
Rent per cylinder per month to be charged as in the example above = Rs 2/-

Rental Amount Calculation:

A = Permissible stock (0.25 x refill sales)

B = Total no of cylinders in stock at Godown and with customers – A – deposit paid


cylinders

C = B x Rent from Slab

Rental amount = C

Other conditions in implementation of the scheme:

i. Distributor shall mandatorily create SVs for all the cylinders issued to cus-
tomers (whether deposit free or deposit paid).
ii. The distributors will not be permitted to make TVs for existing deposit paid
cylinders as on 01.01.2020 except upon specific approval by the Sales Of-
ficer/ Commercial Sales Manager after verification with the customers on
return of cylinders and refund of deposit by the distributors as per SV. Such
TV requests will be approved by SO as per system developed in LPGNEXT
iii. The distributor will upload on a quarterly basis a self-certified physical stock
statement in LPG Next. No provision in system yet.
iv. Instead of prevailing system of undertaking stock check every six
months. Sales officer will do a surprise stock check (for 19 kg inventory
only) once in the fiscal year. In case of any shortage between physical
stock and system stock, recovery at penal rate should be collected
from the distributor. – To be checked if it needs to be followed or
changed.
v. System will generate rent recovery statement at each month end. Rent re-
covery statement including applicable GST will be sent to the distributor,
territory and posted to SOA of the distributor.

The policy was implemented w.e.f. 01.01.2020.

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Hippo Cylinder

Hippo Cylinders (990-liter water capacity cylinder carrying 422 kg (about 930.35 lb.)
LPG) are marketed to industrial customers with a higher volume requirement. A flow
rate exceeding 500 kg per hour can be achieved by using Hippo cylinders.

1) Hippo cylinder has the following advantages:

i. Meets requirement of higher volumes.


ii. Requires minimal space as compared to other traditional systems.
iii. Requires significantly less capital investment as compared to bulk LPG in-
stallations.
iv. Is easy to handle and operate.
v. Hippo cylinder is equipped with a valve with the provision for both liquid
and vapour withdrawal port.
vi. Gives the flexibility to scale up production, with minimal changes to the sys-
tem.
vii. Magnetic Level Gauge to indicates LPG levels
viii. In-built Excess Flow Check Valve
ix. Quick release coupling arrangement for enhanced safety during changeover
x. Safety Release Valve to release excess pressure
xi. Compared to conventional LOT systems, Hippo installations have 70%
fewer joints

2. Typical rate of LPG filling and withdrawal are as under:

i. Average filling rate: 130 lit/min


ii. Average liquid withdrawal rate: 62.5 lit/min
iii. Average vapour withdrawal rate; 21 m3 / hr
iv. Deep tube shall be of stainless-steel tube of 1 m

3. Safety –

For the safe handling of HIPPO cylinders at customer premises, it is essential to


follow proper procedures. These include unloading the filled cylinders from the
truck at the customer's location, connecting the cylinders to the manifold while
ensuring safety checks are conducted prior to the connection.

When it comes to disconnecting the empty cylinders from the manifold, a specific
procedure should be followed. Similarly, the loading procedure of empty cylinders
onto the truck for return to the plant should be carried out carefully.

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12. Non-Domestic LPG

SOP Hippo handling at customer premises will provide comprehensive infor-


mation on ensuring the safe and efficient handling of HIPPO cylinders at customer
premises.

4. Marketing of Hippo cylinder

Deposit free connection with the condition of 1 refill per month against one SD free
cylinder can be issued to commercial customer. Following process shall be fol-
lowed while issuing deposit free Hippo cylinder to customer -

i. The Distributor will put in request to SO for request of Deposit free cylinders
and ZCOMLPG proposal shall be created in the system to be proposed by
SO, recommended by TC and approved by TM and State Head.
ii. Once ZCOMLPG approval is obtained, Distributor shall create SV for De-
posit free connection for customer in LPG NEXT.
iii. Distributor will create the request for creation of Free deposit SV for cus-
tomer and this request will appear in SO Portal for approval of SO post
which the distributor shall be able to release the connection to Customer.
iv. Post 30 days of Issue of connection if no refill has been uplifted by the cus-
tomer an email shall be generated from the system informing the Sales of-
ficer of non-upliftment. If the situation continues another email shall be
generated at the end of 61st days informing Distributors to take action to
retrieve the cylinder.
v. If cylinder is not retrieved and documentation is not done in system till 90th
day, system will automatically raise the debit on Distributor and an email
will be sent to him for information.
vi. Periodically system will send report to SO, TM and State Head, enlisting all
the customers having Deposit Free Hippo Connection and sales figures
alongside the data.
vii. They must check whether conditions stipulated in the policy have been ad-
hered to or not and take suitable action if required.

Deposit Free Connections

The following 4 policies were issued regarding issuance of deposit free commercial
cylinders to regular & non-Domestic distributors and direct customers.

No Policy Reference Stipulation

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12. Non-Domestic LPG

MKT. LG.38.CON dated


15. 10. 2007 and GM Proposal to allow 10% deposit free commer-
1 (MKTG). D. cial cylinders to Distributors (19Kg,35Kg
NOTES.CON dated and 47.5Kg cylinder)
31.10.2007
MKTG.38.CON dated: Short duration deposit free commercial cyl-
2
12.08.2010 inders to Distributors
LPG.HQ.I.COC dated:
3 Policy on Deposit free HIPPO Cylinders
01.10.18
Policy for commercial 19 kg cylinders on
rental basis. Distributor shall mandatorily
LPG.HQ.I.COC dated:
4 create SVs for all the cylinders issued to cus-
02.12.2019
tomers (whether deposit free or deposit
paid).

PROCESS FOR SD FREE CONNECTION IN LPGNEXT

i. Request id to be created for new connection in LPGNEXT>Transaction for


consumer> Subscription Voucher for Commercial/BMCG/LOT/Ex-
empted/Reticulated Connections by distributor >create request ID.
ii. After this request id will appear in SO, portal -> transaction for distributor
-> deposit free request approval for approval by Sales officer. SO must ap-
prove the request otherwise SV will not be processed.
iii. . SO can approve or reject requests based on territory approval which SO
must verify 5.
iv. After approval by SO, SV can be prepared from LPGNXT-> subscription
voucher for new connection.

REPORT FOR DEPOSIT FREE REQUEST IN LPGNEXT

Sales officers have a report in view other reports to check deposit free request sta-
tuses

SAP Proposals –

LPG commercial proposals (T Code: ZCOMLPG) - Deposit Free Cylinders.

Refer MKT. LG.38.CON dated 15. 10. 2007 and GM (MKTG). D. NOTES.CON
dated 31.10.2007

Direct commercial customer

Supply: Direct customers can take supply on EX MI basis. DA supplies can also be
made to customers on customer’s request.

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12. Non-Domestic LPG

Customer Creation (ZCMA-3000/20/31): To create a customer code in SAP, we need


following documents from direct customer-

i. 1. GST registration
ii. 2. PAN
iii. 3. Cancelled cheque of bank
iv. 4. TDS declaration as per format shared below
v. 5. TAN certificate
vi. 6. Request letter for customer creation

Inventory management

Stock available with direct customers can be checked in SAP using Tcode MB58

Econnect portal for customer

Email ID and PIN code and customer code are required for self-registration on
Econnect. Customer can check its SOA details.

Reconstitution of Non-Domestic (Nd) Distributorship

Selected applicant may be allowed to induct a partner for arranging additional funds
or infrastructure or managing the business upon issuance of LOI or upon commission-
ing of distributorship subject to prior approval of the company upon payment of ap-
plicable fees and Terms & Conditions.

Reconstitution policy of regular distributorships shall be applicable for non-domestic


distributorship with a deviation that application processing fee for Reconstitution
shall be Rs. 10,000/- (Plus GST) and Reconstitution fee shall be Rs. 2 Lakhs (Plus
GST) wherever applicable to the category of distributorship defined under Distributor
Selection Guidelines in vogue.

EX MI vs. Delivery Assistance Supplies

EX MI Supply: Ex-MI supplies of Packed Commercial cylinders can be effectively


used in some select markets, on need basis and the process followed is as below:

i. Ex- MI supply approvals for Customers/ Distributors may be approved at


Region by Regional Committee comprising of RLM Regional Head LPG,
RLC, Regional Fin I/C, and BDM within in the permitted discount limits &
budget allocated, if any.

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12. Non-Domestic LPG

ii. Discounts passed on if any should lead to additional growth in Volumes.


TM/SO to ensure same.
iii. It must be ensured that there shall be no Freight Under recoveries till the
Customer end. This need to be confirmed in the note duly verified by Re-
gional Finance.
iv. Follow all statutory norms especially in case of Inter State supplies. We need
to ensure that the product is used in the place it is destined to be used or
declared to be used and suitable Mechanisms are put in place by you to en-
sure the above.
v. TM/SO shall be Responsible for collection of the relevant C forms for Inter-
state supplies, if any.

DA SUPPLY: On the customer’s demand delivered supplies can be made through


distributor/ transporter. Transportation charges will be built up in pricing. BPCL will
take letters from customers stating that they want DA supplies and authorizing trans-
porter/ distributor for the supplies. Transporter/ distributor will give confirmation
letter for DA charges. Nil cost to BPCL on account of this arrangement. Transportation
rates should be reasonable compared to the approved BMR.

Committee- RM Regional Head LPG, Finance in charge at region and Logistic in


charge at region.

Refer clause 19.D. Page 25 of 46 of decision rights and authorities for LPG SBC dtd 7th
October 2022

Based on approval, Logistics maintains the rates in their system which takes care of
transport payment and finance maintains the rates in their system which ensures that
the payment is received from the customer in their invoicing. BPEC approves the rate
in the system based on business approval.

Condition in pricing in SAP - ZXL1(DA: LPG distr: bVAT)

Deodorized packed LPG.

Aerosol propellant grade/ Deodorized LPG (liquefied petroleum gas) is widely used in
the aerosol industry as an ideal propellant. It is a high-purity mixture of hydrocarbons,
including propane, isobutane, and n-butane. These components are carefully com-
bined to achieve the desired pressure inside the aerosol cans, ensuring reliable and
problem-free use for the end customer.

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Propellants play a crucial role in aerosol formulations, and they are utilized in various
industries. Some common applications include pesticides, air fresheners, perfumes,
cosmetics, spray paint, and food-grade packaging materials. They have been used for
many years in household aerosol products, especially those that require a water-free
environment or contain minimal water content.

In Uran LPG, we have deodorized packed LPG.

Packages

- 5575 LOT VALVE 35 KG DEODORIZED FILLED CYLINDER


- 5675 LOT VALVE 47.5 KG DEODORIZED FILLED CYLINDER
- 5775 BHARATGAS DEODORIZED HIPPO

Non Domestic Distributors Suspension/ Termination

Non-Domestic Distributors are supposed to operate within the terms of the Distributorship
Agreement executed between BPCL and the distributors. However, there is an ambiguity re-
garding the definition of non-performance of Non-Domestic Distributorships, including their
inactivity.
Keeping the above in mind, the following SOP is being defined for uniform implementation
for ND distributorships:
1. If any ND distributor does not uplift commercial LPG cylinders and/or does not sell
cylinders to customers for a month, the territory must engage with the distribu-
tor to understand the issues and counsel him/her for improving business. A record
of the Minutes of the Meeting (MoM) must be maintained.
2. If any distributor does not uplift commercial cylinders for a continuous period of
three (3) calendar months, the distributor should be treated as inactive, and the
territory should initiate the process for its suspension. Furthermore, the territory
should notify the distributor for reconciliation of equipment and retrieve all in-
ventory lying with the distributor until the resumption of LPG sales.
3. If any distributor continues to be inactive for a continuous period of six (6) cal-
endar months, the distributorship must be terminated.
For all such non-/underperforming distributors, the territory must take utmost care in
retrieving the equipment to avoid any loss due to a shortage of equipment. In the event a
suspension is proposed to be revoked at any time, it must be ensured that:
 All outstanding dues are recovered.
 A valid security deposit/bank guarantee is collected as per guidelines.
Otherwise, the revocation proposal should not proceed, and litigation for recovery
must be initiated in consultation with the legal team.

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12. Non-Domestic LPG

All those ND distributorships that are currently inactive and do not have recorded Minutes
of earlier counselling should now undergo a counselling session with proper docu-
mentation. If the possibility of revival emerges during the meeting, revival may be
considered. Otherwise, the process outlined above should proceed.
Please note that in all cases leading to termination, the recovery of stock and outstand-
ing amounts must be completed. However, if recovery is not feasible, or if litigation
is in progress or planned, the termination process should still be completed, and the
territory should continue to follow up on the litigation to protect the corporation’s
interests.
In no case should the security deposit or bank guarantee received from the distributor
be refunded unless:
 Stock reconciliation (both in SAP & LPG NEXT) is completed.
 All outstanding dues are fully recovered.

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13. BMCG

Chapter: BMCG

INTRODUCTION

BMCG is a mixture of Petroleum gases blended with an innovative additive that


enhances flame temperature and produces fine cut finish at exceptionally low cost
compared to DA. Traditionally, cutting metal has been done using Oxy-Acetylene
mixture. BPCL has painstakingly studied the needs of the industry which needs to
cut metal and produced Bharat Metal Cutting Gas (BMCG), an ideal substitute for
Acetylene. BMCG offers superior cutting at a low cost and is an ideal fuel for cutting
and brazing applications. Details on the cutting and brazing process are explained
below.

1) Cutting Process: -

Before getting into the Oxy fuel cutting process let us have a look at the options
one has for cutting process:

• Shearing: Physical process


• Mechanical Processes like milling: Physical process
• Gas Cutting: Chemical Exothermic Reaction
• Plasma Cutting: Electro physical Reaction
• Laser: Focused Photo physical Reaction
• Water Jet Cutting: Physical / Abrasive action
Selection of Cutting Process:

The table suggests the appropriate cutting process for various sheet thicknesses.

1 = The Best Technology, 4 = Most Unfavourable Technology


Water
Requirements Oxy fuel Laser Plasma
jet
Steel < 5 mm up to ± 0.5 mm 3 2 4 1
Steel < 5 mm up to ± 0.1 mm No 1 2 2
Steel 5-15 mm up to ± 0.5 mm 2 3 4 1
Steel 5-15 mm up to ± 0.2 mm No 1 3 1
Steel 15-20 mm up to ± 0.5
2 3 3 1
mm
Steel 20-40 mm 1 No 3 1 (O2)
Steel > 40 mm 1 No 2 3

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13. BMCG

Non-ferrous Metals No Yes Yes Yes

Oxy-Fuel Processes

Processes which involve burning fuel gases with oxygen for industrial applica-
tions are termed as oxy-fuel processes. Higher temperatures are achieved in
oxy-fuel processes as compared to combustion of fuel with air. Many industries
use oxy-fuel mixture for their fabrication or maintenance jobs through the fol-
lowings methods-

• Cutting
• Brazing
• Welding
• Heating
2. Brazing

Brazing is a group of welding processes which produces coalescence of materi-


als by heating to a suitable temperature and using a filler metal having a liqui-
dus above 840°F (449°C) and below the solidus of the base metals. The filler
metal is distributed between the closely fitted surfaces of the joint by capillary
attraction. Brazing is distinguished from soldering in that soldering employs a
filler metal having a liquidus below 840°F (449°C). When brazing with silver
alloy filler metals (silver soldering), the alloys have liquidus temperatures above
840°F (449°C).

Brazing must meet each of three criteria:

• The parts must be joined without melting the base metals

• The filler metal must have a liquidus temperature above 840°F (449°C)

• The filler metal must wet the base metal surfaces and be drawn onto or
held in the joint by capillary attraction
To achieve a good joint using any of the various brazing processes, the parts
must be thoroughly cleaned and protected by either flux or the atmosphere dur-
ing heating to prevent excessive oxidation. The parts must provide a capillary

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13. BMCG

for the filler metal when properly aligned, and a heating process must be se-
lected that will provide proper brazing temperatures and heat distribution.

Advantages of Brazing

• Although there is a widespread belief that brazing is an inferior substitute


for welding, it has advantages over welding in many situations. For ex-
ample, brazing brass has a strength and hardness near that of mild steel
and is much more corrosion resistant.

• The lower temperature of brazing is less likely to distort the work piece
due to less heat affected zone) or induce thermal stresses. For example,
when large iron castings crack, it is always impractical to repair them
with welding. To weld cast-iron without retracking it from thermal stress,
Brazing is the preferred repair method.

• Finish is better.
Types of Brazing: Several types of brazing being practiced are:

• Dip Brazing: A process in which a work piece is partially or fully im-


mersed in a bath of molten filler metal and is covered by a layer of molten
flux.

• Flame Brazing: A process in which heat for brazing is obtained from a


gas flame from a blowpipe or a torch.

• Furnace Brazing: A process in which brazing heat is obtained by put-


ting a complete work piece into a furnace which may contain a protective
atmosphere.

• Induction Brazing: A process in which brazing heat is obtained by in-


ducing high frequency electric current within the material in the neigh-
bourhood of the joint. A protective atmosphere may be used.

• Resistance Brazing: A process in which brazing heat is obtained by:


▪ passage of electric current between parts to be joined.
▪ passage of electric current through two carbon electrodes and
the parts to be joined. The greater part of the heat is generated
in the electrodes and conducted to the joint
• Salt Bath Brazing: A process in which brazing heat is obtained by im-
mersing a complete work piece in a bath of molten salt of suitable melting
point. Salt used should be suitable to function as a flux.

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13. BMCG

Comparison of BMCG and DA and Technical Specification

Many fuels like Acetylene, Bharat Metal Cutting Gas (BMCG), LPG, Gasoline,
Mapp, Appatchi etc. are used for Oxy-fuel processes. Comparison of Acetylene and
BMCG is given below-

1) Acetylene

i. Acetylene (C2 H2) is the most common fuel used for oxy-fuel processes.
ii. It belongs to the –yne group of hydrocarbons and is technically referred
to as ‘Ethyne.’
iii. It is an unsaturated organic compound with a triple bond between the
two carbon atoms.
iv. Acetylene is shipped in special cylinders designed to keep the gas dis-
solved. The cylinders are packed with porous materials, then filled to
around 50% capacity with acetone, as acetylene is acetone soluble. Acet-
ylene in this state is referred to as ‘dissolved acetylene’ (DA). This method
of storage is necessary because above 207 kPa (30 lbf/in²) (absolute pres-
sure) acetylene is unstable and may explode. There is about 1700 kPa
(250 lbf/in²) pressure in the tank when full.
v. Acetylene when combined with oxygen burns at a temperature of 3000
°C to 3200 °C
vi. Acetylene's cost is high.
vii. Acetylene can be used for cutting, brazing, and welding.

2. Bharat Metal Cutting Gas (BMCG)

i. It is a formulated product (mixture of hydrocarbons doped with addi-


tives) for fast and smooth metal cutting application in replacement of
costly Acetylene.
ii. Flame temperature of around 30000C is achieved.
iii. High penetration and faster pre-heat compared to LPG.
iv. Good cutting speed comparable to acetylene
v. Low oxygen consumption
vi. Cuts metal of higher thickness (300 mm and beyond) effectively
vii. Better surface finish and Clean, narrow Kerfs
viii. Reduction in slag formation

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13. BMCG

ix. Safe and operator friendly: non–toxic, non–injurious to health and ex-
ceptionally low tendency of backfire
x. Cylinders are easy to manage due to lighter weight.
xi. Cost of switch over from Acetylene to BMCG is low

The table compares various properties of fuels -

Heating Values of Fuel Gases

Bharat Metal Cutting


LPG Acetylene
Gas

Neutral flame temp


5400 4700 5700
°F

Neutral flame temp


2983 2594 3149
°C
Heat emission
Kcal/m3
4164 2269 4512
Primary flame
19080 19960 8570
Secondary flame

Total Kcal/m3 23244 22229 13082

Total heat value


12030 12030 11932
Kcal/kg

Properties of Industrial Fuels

Bharat Metal Cutting


LPG Acetylene
Gas

Safety Data

Shock sensitivity Stable Stable Unstable

Burn velocity in oxy-


4.1 3.7 6.9
gen m/sec

Backfire tendency Low Low High

Toxicity Low Low Low

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13. BMCG

Bharat Metal
Physical Properties LPG Acetylene
Cutting Gas

Specific gravity of liq-


0.510 0.507
uid

Specific gravity of gas 1.52 1.52 0.906

Vapour pressure
120 120
(PSIG) at 37.8 °C

Boiling range temp °C -2 -2 -22.4

Explosives limits (flammability)

Bharat Metal
LPG Acetylene
Cutting Gas

% in oxygen 2.4-57 2.4-57 3.0-93

% in air 2.3-9.5 2.3-9.5 2.5-80

Normal pressure of
6-7 kg/cm2 6-7 kg/cm2 17-18 kg/cm2
cylinder
Advantage of Bharat Metal Cutting Gas are:

• Superior cutting at low cost (better cutting speed, kerf formation and sur-
face finish)

• Low oxygen consumption

• Reduces cylinder inventory by at least three times compared to Acety-


lene.

• Low slag formation.

• BMCG can easily cut 12 inch (300 mm) thick metal and even more.

• Has a lower explosive limit in air and oxygen than Acetylene. Hence has
lower band of in flammability than Acetylene.

• The cylinder pressure of BMCG (6-7kg/cm2) is one third of Acetylene


(17-18 kg/cm2). Hence, they are safe to use.

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13. BMCG

• BMCG cylinders are easier to manage due to lighter weight

• BMCG cylinders are available in a range of pack sizes (19kg, 35kg &

• 47.5kg) to suit specific requirement of customers.

Approvals & accreditations

BMCG is approved with accreditation from Welding research institute, Tiruchirap-


palli; RDSO, Lucknow and many other prestigious organizations.

Welding research institute, Tiruchirappalli Oct 2007-

Performance of BMCG for cutting of Carbon steel plate was compared with LPG
and Acetylene. The salient features are listed below-
1) The Cutting Speed, Kerf formation, and Surface finish were better compared to
other gases, Slag formation was less/fig. No back firing occurred during the test,
while using both LPG and Bharat Cutting gas.
2. For the lower thickness (10 - 20 mm) the consumption is about 10% less and for
greater the 40 mm thick plate the consumption is about 30% less than other
gases.
3. The cutting speed is optimum to a level of 300 to 500 mm/minutes for higher
thickness of 56 mm and above.
4. The penetration of keyhole formation in Bharat cutting gas is difficult in 40 mm
and above thick plates.
5. Starling and restarting of cutting. It takes more time for fusion and cutting when
comparing with other cutting gas.
6. Bharat cutting gas and LPG have heavy strong odour due to addition of mercap-
tan for leak detection

Associated Equipment

The equipment used in gas cutting/brazing/welding consists of an oxygen cylinder


and an BMCG/acetylene cylinder, two pressure regulators and two flexible hoses
and a torch with nozzle/tip. The cylinders are often carried in a special wheeled
trolley.

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13. BMCG

1) Regulator

The regulator is used to reduce pressure and regulate the flow rate. Some Oxy-gas
regulators have two stages: The first stage of the regulator releases the gas at a con-
stant rate from the cylinder despite the pressure in the cylinder becoming less as
the gas in the cylinder is used. The second stage of the regulator controls the pres-
sure reduction from the intermediate pressure to low pressure. This provides a con-
stant flow of pressure. The assembly also has pressure gauges indicating cylin-
der/outlet pressure.

Low pressure gases need oxy-gas regulators with only one stage, and one pressure
gauge. With those the gas flow gets less as the cylinder pressure drops.

Normally, single stage regulators are employed with low pressures ratio for
D.A. & BMCG (distinctive designs)

2. Gas hoses

The hoses used are specifically designed for cutting and welding. The oxygen hose
is green/black, and the fuel hose is maroon/ orange. The type of gas the hose will
be carrying is important because the connections will have different threads for dis-
tinct types of gas. Fuel gases will use left-hand threads and a groove cut into the
nut, while the oxygen will use right-hand threads. This is a safety precaution to pre-
vent hoses from getting connected up the wrong way.

There are two types of connections that can be used. The first is using a jubilee clip.
The second option is using a crimped connector. The second option is safer as it is
harder for this type of connection to come loose. The hoses should also be clipped
together at intervals approximately 3 feet apart.

3. Flash back arrestor –

In the cutting process two phenomena, namely backfire and flash back are encoun-
tered. Backfire is momentary extinguishment and reignition of the flame resulting
in loud noise caused by. Cause could be momentary stoppage of gas flow due to
obstruction by an overheated or damaged tip.

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13. BMCG

Flashback is burning back of flame into torch tip or gas hose.

Causes:

- Improper gas pressure settings


- Distorted or loose tips
- Damaged seats
- Kinked hoses
- Incorrect Nozzle Selection
- Clogged or damaged tips
- Improper gas supply
- Gas Mixing ratio

Between the regulator and hose, and ideally between hose and torch on both
oxygen and fuel lines, a flashback arrestor should be installed to prevent
flame or oxygen-fuel mixture being pushed back, damaging the equipment
or making a cylinder explode.

Flash back tendency with BMCG as fuel is extremely low when compared
with acetylene.

Inlet Gas non- Flame arrestor Temperature-

filter return valve sensitive cut-off valve

4. Check valve

A check valve lets gas flow in one direction only. Not to be confused with a flashback
arrestor, a check valve is not designed to block a shock wave. A check valve is usually
a chamber containing a ball that is pressed against one end by a spring: gas flow

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13. BMCG

one way pushes the ball out of the way, and no flow or flow the other way lets the
spring push the ball into the inlet, blocking it.

5. Torches

The torch is the part that the cutter holds and manipulates to make the cut or braze.
It has a connection and valve for the fuel gas and a connection and valve for the
oxygen, a handle for the cutter to grasp, a mixing chamber where the fuel gas and
oxygen mix (cutogen type torches), with a tip where the flame forms. Type of
torches listed below

6. Welding torch

A welding torch head is used to weld metals. It can be identified by having only one
or two pipes running to the nozzle and no oxygen-blast trigger.

7. Cutting torch

A cutting torch head is used to cut metal. It is like a welding torch. Oxygen is com-
bined with the fuel in the torch or the nozzle tip, which produces an elevated tem-
perature flame. It can be identified by having two (catagen type) or three pipes (noz-
zles mix torches) that go to a 90-degree nozzle. It also has an oxygen-blast trigger
that provides oxygen to blast away material while cutting.

8. Rose-bud torch

A rose-bud torch is used to heat metals for bending, straightening, etc. where a large
area needs to be heated. It is called such because the flame at the end looks like a
rosebud. A welding torch can also be used to heat small areas such as rusted nuts
and bolts. In this case, no filler rod is used with the torch.

9. Injector torch

A typical Oxy-fuel torch, called an equal-pressure torch, merely mixes the two gas-
ses. In an injector torch, high pressure oxygen comes out of a small nozzle inside
the torch head so that it drags the fuel gas along with it, via venturi effect.

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13. BMCG

10. Details of BMCG nozzles, regulator and torches a manufactured


by M/s. Messer

i. a. BMCG PNME CUTTING NOZZLEs

pro-
PN Oxy- Pro- oxygen
Work Prod pane Nozzle
ME- gen pane con-
piece uct con- Clear-
Noz- Pres- Pres- sump-
thickness Code sump- ance
zle sure sure tion
tion

(
(b (b (p (m (cu (m (cf (inc
(m (inch p (m
size ar ar si 3/h f/h 3/h /h hes
m) es) si m)
) ) ) ) ) ) ) )
)

MS71
1/8- 2. 3- 0.1-
1/32 3-6 61614 29 2.2 77
1/4 0 5 0.2
0

MS71
6- 1/4- 3.
3/64 61614 44 4.3 151 0.4 14
20 3/4 0
1

MS71
20- 3/4- 4.
1/16 61614 58 7.7 271
75 3 0
2 0.2
5-
-
10
MS71 0.4
75- 4. 11.
5/64 3-5 61614 65 ≥0 408 0.5 18
125 5 ≥ 6
3 .5 8
125 MS71
5. 17.
3/32 - 5-7 61614 73 626 0.6 21
0 8
175 4

175 MS71
5. 25.
7/64 - 7-9 61614 80 879 0.7 25
5 5
225 5
10 0.4
225 - -
- MS71 15 0.6
6. 34. 119
1/8 9-12 61614 87 0.9 32
0 1 9
30 6
0

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13. BMCG

ii. b. TORNADO HEAVY DUTY PRESSURE REGULATOR WITH OUTLET


PRESSURE GUAGE

inlet
Tornado stand- outlet product
gas type pres-
type ard pressure code
sure

R/UB P- LPG/*BMCG/Pro-
BSP 25 bars 1.5 bar MS77051872
25/2.5 pane

iii. Multi-Purpose Torch

Product
Type Descriptions Connections Gas
code

LPG-Propane/c2
1302 BSP-G3/BRH-
Straight handle MS71605976 H Acety-
MB G3/8 LH
lene/*BMCG

iv. LAMINAR FLAME OUTLET, REPLACEABLE HEATING NOZZLES

Overall product Product code


O-Consump-
Size length ap- code tip heating noz-
tion
prox. complete zle

12 5-12 m3/h 430 mm MS71651722 MS71605646

14 13-35 m3/h 880mm MS71651724 MS71605648

v. MIXING TUBE WITH HAMMERED FINSIH BRAZING AND HEATING


NOZZLE, CENTRAL FLAME OUTLET

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13. BMCG

product product code


O-Con- Overall length
Size code tip heating noz-
sumption approx.
complete zle

4 500 l/h 207mm MS71606494 MS71606484

5 800 l/h 245mm MS71606495 MS71606485

6 1250 l/h 266mm MS71606496 MS71606486


vi. ALLGAS 2003 – UNIVERSAL NEEDLE INJECTOR BRAZING TORCH

NOZZLES–

Brazing Oxygen Oxygen BMCG BMCG


Size Range Pressure Flow Pressure Flow
(mm) (Bar) (lL/H) (Bar) (L/H)

25-P 0.2-0.5 0.5-0.8 30-90 0.2 1-25

50-P 0.5-0.8 0.8-1.0 40-130 0.2 11-35

75-P 0.2-0.5 1.0-1.5 60-200 0.2 16-55

100-P 0.2-0.5 1.5-2.0 80-250 0.2 22-70

125 -P 0.2-0.5 2.0-2.5 100-300 0.2 27-83

Other major manufacturers of oxy-fuel equipment are: ESAB, Advani,


Haris, Victor, Arcon

11. BMCG Manifold Installations -

BMCG cylinders can easily replace battery of Acetylene cylinders at locations


where cylinders are used through manifold banks. The system enhances safety in
big workshops with multiple cutting points in a single shop.

Such installations are functioning satisfactorily at many places like Majgaon Dock
Ltd., Godrej & Boyce, WMI cranes etc.

BMCG cylinder bank installations should be designed and executed in accordance


with IS 6044 Part1 & OISD 162.

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13. BMCG

BMCG TRIAL

Following important points to consider conducting a BMCG trial and compare it to


LPG and DA (acetylene):

Acetylene: Acetylene is commonly sold in cubic meter quantities and is not in a


compressed state like LPG. Typically, available in 5 cubic meter or 7 cubic meter
cylinders, the density of acetylene is around 0.95 (assumed as 1.0 for calculation
convenience). The prevailing market price for acetylene is Rs. 120 per cubic meter
or Rs. 120 per kg (assuming a density of 1.0).

BMCG Composition: Bharat Cutting Gas (BMCG) is a specially formulated blend of


LPG and an additive aimed at enhancing cutting and brazing properties. It is con-
veniently supplied in 19 kg, 356 kg, and 47.5 kg cylinders.

Nozzle Replacement: To transition from acetylene to BMCG, nozzle replacement is


the key requirement. The existing torch can be used, but it needs an LPG-specific
nozzle to facilitate the switch.

(Typical torch with 3-seat nozzle)

Nozzle Types: Two types of nozzles are available based on the torch's configuration:
2-seat and 3-seat nozzles. Determining the appropriate nozzle type is straightfor-
ward. If the torch has three pipes, a 3-seat nozzle is needed. Similarly, a 2-seat noz-
zle is suitable for torches with two pipes.

Nozzle Sizes (2-seat): The nozzle size for 2-seat configurations varies according to
the material thickness being cut. Refer to the table provided for the recommended
nozzle sizes, oxygen pressure, and cutting gas pressure.

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13. BMCG

Thick- Nozzle Size of ESAB Oxygen Cutting


ness Make/Borris or Pressure gas pres-
mm equivalent Bar sure Bar

6 P8 2.1 0.2

13 P 12 2.1 0.2

25 P 16 2.8 0.2

50 P 16 3.2 0.3

75 P 16 3.5 0.3

100 P 20 3.5 0.3


Nozzle Sizes (3-seat): For torches with a 3-seat nozzle, the appropriate nozzle size
also depends on the material thickness. The recommended nozzle sizes, along with
the corresponding oxygen and cutting gas pressure, can be found in the provided
table.

Thick- Nozzle Size of Cutting


Oxygen Pres-
ness ESAB Make in gas pres-
sure Bar
mm inch sure Bar

6mm 1/32 3 bars 0.4 bar

12mm 3/64 3 bars 0.4 bar

75mm 1/18 3 bars 0.4 bar

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13. BMCG

100mm 5/64 3 bars 0.4 bar

150mm 3/32 3 bars 0.4 bar

300mm 1/8 4 bars 0.5 bar


Pressure Regulator: During metal cutting or brazing operations, it is crucial to uti-
lize an industrial-grade pressure regulator. Opt for the United Works R3 model or
an equivalent with a pressure gauge and cylinder adaptor. Always perform a thor-
ough leak check using a soap solution before employing the assembly.

Operator Education: It is vital to educate the operator about the properties of


BMCG and flame formation before commencing cutting or brazing operations. Fa-
miliarize the operator with initial flame control by partially opening the knobs of
both the BMCG and oxygen torches. Once acquainted, the knob can be adjusted as
required.

Flashback Risk: BMCG presents a minimal risk of flashback due to its low operating
pressure. However, operators should exercise caution when adjusting the flame to
mitigate any potential risks.

Leak Detection: BMCG is easily detectable due to its pungent smell, facilitating leak
identification at workstations. To detect leaks, use a soap solution rather than ex-
posing the environment to naked flames.

By considering these points, you can conduct a successful BMCG trial while effec-
tively comparing it to LPG and acetylene (DA).

REPORT OF TRIAL/DEMO OF BHARAT METAL CUTTING


GAS(BMCG)
Party: Territory
Date of Trial
Location: Time of Trial
A. Consumption details
Used
Present consumption Monthly Qty
for
Torch type/make:
1.Dissloved Acetylene
(DA)
2.Oxygen
Nozzle Type/Size:

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13. BMCG

Any other POL product


B. For DEMO: - Torch /Nozzle details
Torch & Nozzle used with
DA:
Torch & Nozzle used with
BMCG:
Methods used for Metaliz- Manual/PUG
ing Mc
C. Fuel consumption during trial
Trial with DA Trial with BMCG
Oxy- Oxy-
DA BMCG
gen gen
Opening weight (Kgs.)
Opening weight (Kgs.)
Qty. consumed
Rate applicable
Cost

D. Cost work- sheet:


COMBINED COST (fuel +
Oxygen)
Difference in cost (DA-
BMCG)
%Difference in cost
Estimated Require-
Comments on outcome of ment of BMCG per
trial Month:
Cyl. / MT s
E. Present during TRIAL

Comments and Observations

Any other Unit / up-coming unit of party for trial/recommendation/


contacts:
..

BMCG TRIAL
Date
Trial At

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13. BMCG

Details of Object
Plate Thickness
Plate Grade
Nozzle Size
Nozzle Make
Cutting Machine
Machine Make
Length of Cut
Type of cut
CUTTING WITH LPG
A Initial wt. of LPG Cylinder (Kg.)
Final wt. of LPG Cylinder (Kg.)
Consumption of LPG (Kg.)
Rate applicable for LPG (Rs.)
Cost of LPG used for the trial (Rs. /Kg.)

B Initial wt. of Oxygen Cylinder (Kg.)


Final wt. of Oxygen Cylinder (Kg.)
[Consumption of Oxygen (Kg.)
Rate applicable for Oxygen (Rs. /Kg.)
Cost of Oxygen used for the trial (Rs.)

Total Cutting Cost Rs.


Time Taken for the Cut
CUTTING WITH BMCG
A Initial wt. of BMCG Cylinder (Kg.)
Final wt. of BMCG Cylinder (Kg.)
Consumption of BMCG (Kg.)
Rate applicable for BMCG (Rs.)
Cost of BMCG used for the trial (Rs. /Kg.)

B Initial wt. of Oxygen Cylinder (Kg.)


Final wt. of Oxygen Cylinder (Kg.)
[Consumption of Oxygen (Kg.)
Rate applicable for Oxygen (Rs. /Kg.)
Cost of Oxygen used for the trial (Rs.)

Total Cutting Cost Rs.


Time Taken for the Cut

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13. BMCG

Observations:

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14. BULK LPG

Chapter: Bulk LPG

Introduction to BULK LPG Business

BPCL provides bulk LPG for commercial and industrial use through tankers from its
facility on an ex-mi basis. Bulk LPG Installation is suitable for industries with signifi-
cant and consistent LPG consumption, and it is advised that industries consuming
over 50 MT/month should have a bulk LPG installation to ensure seamless supply and
operation. The required equipment at the customer's premises includes a mounded
storage or aboveground bullet for storing LPG, a tank truck loading facility, LPG
pumps, compressor, and vaporizers to convert liquid LPG into vapor. Bulk propane is
supplied to industrial customers with specialized fuel requirements through bulk tank-
ers of varying capacities from loading locations across the country. Propane offers dis-
tinct advantages due to its lower boiling point and higher vapor pressure compared to
LPG. These properties make propane highly suitable for colder conditions as it readily
evaporates. Moreover, the high purity of propane contributes to improved system ef-
ficiency. In addition to propane, we market bulk ND butane, which finds applications
in petrochemical industries and aerosol units.

Potential Assessment

The best way to know potential customers in the trading area is to get the explosive
license details easily available on PESO Website. Alternatively, we can get the details
of bulk LPG users from the local fire brigade office and Industrial Associations.

The license details can be accessed from PESO Website as follows,

Log on to: https://online.peso.gov.in/PublicDomain/SearchOption.aspx

You will get all explosive licenses in selected district. You may also select the State
& product wise option to get product specific licenses in the state.

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14. BULK LPG

Various applications where bulk LPG / Propane is used

Industry Applications Specific Advantages


Drying, Baking,
Food No smoke, No soot, hygiene.
Frying
Singeing, Dry- Excellent quality LPG ensures con-
Textile
ing stant flame for singeing.
Automo- Excellent quality LPG ensures no dep-
Paint Baking
tive osition of soot on the surface.
Iron & High calorific value of LPG and high
Profile Cutting pressure gives even cut on the meta.
Steel
Temperatures of 1000 C can be
reached through usage of LPG. With
Ferrous LPG we can achieve the right temper-
Heat Treatment
Metals ature and control heat treatment fur-
naces.
Excellent quality LPG ensures no
Non-Fer- Melting & Heat
deposition of soot in the molten
rous Metals Treatment
metal.
Excellent quality LPG ensures no
Glass & Ce- Tile Baking / deposition of soot on the surface of
ramic Melting the finished product.
Low level of unsaturated and right
Aerosol Propellant composition ensures LPG as a good
propellant for aerosol application.
Excellent quality LPG ensures release
Farming Seed Drying of controlled heat and constant tem-
peratures during the drying process.

Bulk LPG Storage and Installation #

Summary of important points of Liquefied Petroleum Gas Storage Installations Code


of Practice Part 2 Commercial, Industrial and Domestic Bulk Storage Installations

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14. BULK LPG

1) LOCATION OF STORAGE TANKS AND REGULATING EQUIPMENT

i. Location and Spacing:

▪ Tanks and regulating equipment should be located outside of


buildings.
▪ Each tank should be positioned a certain distance away from im-
portant buildings, groups of buildings, or property lines, as spec-
ified in Table 1.
▪ In heavily populated areas, additional protective measures may
be required, such as fire walls, as determined by the local author-
ity.
▪ Fire walls may allow for reduced safety distances between above-
ground tanks.

ii. Bunding:

▪ Above-ground vessels used for storing corrosive, flammable, or


toxic gases in liquefied form should be surrounded by an enclo-
sure wall.
▪ The distance between the vessel and the enclosure wall should be
the diameter of the vessel or a maximum of 5 meters, whichever
is less.
▪ The ground around the enclosure should be sloped away from
pumps, compressors, or other equipment.
▪ The enclosure wall should have a height ranging from 30 cm on
the upper side to a maximum of 60 cm on the lower side.
▪ A shallow sump should be provided at the lower side of the enclo-
sure to collect any spilled liquid, with a minimum separation dis-
tance between the vessel and the sump.
iii. Number of Tanks and Separation:

▪ Each storage installation should not exceed six tanks.


▪ If there are multiple storage installations, the distance between
them should be the same as the distance between the tanks and
the property line according to Table 1.
iv. Safety Distances:

▪ Table 1 provides minimum safety distances for liquefied flamma-


ble gases based on the water capacity of the vessel.
▪ The distances specified are for the horizontal plan between the
nearest point of the storage tank and the building/property line.

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14. BULK LPG

v. Protection:

▪ The area containing tanks, vaporizers, pumps, and loading/un-


loading facilities should be enclosed by an industrial fence at least
2 meters high.
▪ The fence should have at least two exits, and the gates should open
outward and not be self-locking.
▪ Precautions should be taken to prevent damage to LPG systems
from LPG tank lorries.
▪ Underground tanks should be protected from aboveground load-
ing by using suitable curbs.

2. . STORAGE TANKS:

i. Tanks should be designed, fabricated, and evaluated according to IS 2825


or approved standards.
ii. Design pressure should be equal to or higher than the vapor pressure of the
stored LPG at the highest temperature.
iii. Tanks should have various fittings such as pressure relief valves, liquid ves-
sel indicators, pressure and temperature gauges, and high-level alarms.
iv. Underground tanks should have extended nozzles or utility access hole co-
vers for access to fittings.
v. Relief valves should discharge at 100% and reach full flow conditions within
110% of the design pressure.
vi. Permanent markings should be present on relief valves.
vii. Above-ground tanks over 4,500 Liters and all underground tanks should
have relief valves with extended vent pipes and rain caps.

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14. BULK LPG

viii. Shut-off valves should be located at a minimum of 3 meters from the


tank's shadow.
ix. Emergency shut-off valves are required, except for small diameter connec-
tions.
x. Drain connections should have shut-off valves and additional valves down-
stream.
xi. Maximum filling capacity should comply with the licensed quantity and IS
3710.
xii. Tanks should be supported on concrete, masonry, or structural steel sup-
ports.
xiii. Tanks and supports should be painted externally to prevent corrosion.

3. PIPING, VALVES, AND FITTINGS:

i. Materials should be resistant to LPG and should not include cast-iron pip-
ing.
ii. Seamless steel pipe is recommended, and copper pipe/tubing can be used
for smaller sizes.
iii. Pipe joints should be welded or flanged.
iv. Valves should be made of cast steel, and only ball valves should be used.
v. Flanges, fittings, and unions should conform to specific standards.
vi. Bolting should be in accordance with specified standards.
vii. Pipelines should be installed with flexibility to accommodate movement.
viii. Pipeline systems should be leak-evaluated and protected against physi-
cal damage and corrosion.
ix. LPG should not be piped inside premises at pressures exceeding 1.5 kg/cm2
gauge.

4. HOSES, PUMPS, COMPRESSORS, AND METERS:

i. Hoses should be designed, evaluated, and periodically checked for electrical


continuity.
ii. Safety measures such as excess-flow valves or quick shutoff couplings
should be installed.
iii. Pumps, compressors, and meters should be designed for the type and pres-
sure of LPG they manage.
iv. Seals used should be of the mechanical type.
v. Positive displacement pumps and compressors should have pressure reliev-
ing devices.

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14. BULK LPG

5. VAPORIZERS:

i. Vaporizers can be steaming heated, hot water heated, electrically heated, or


ambient water/air.
ii. Vaporizers should have sufficient capacity to supply the necessary heat for
vaporization.
iii. Precautions should be taken to prevent condensate accumulation in the va-
por discharge line.
iv. Freezing of steam condensate should be avoided in steam and hot water
heated vaporizers.
v. Drainage should be arranged safely if a vaporizer system has a drain.
vi. Vaporizers should not be fitted with fusible plugs.
vii. Heating coils should not be installed inside storage tanks as vaporizers.

6. General Safety Requirements:

i. Static Electricity and Lightning Protection: Follow specified standards for


earthing, bonding, telecommunications, and instrumentation.
ii. Hand Torches: Use approved flameproof type if necessary.
iii. Electrical Installations: Ensure flame-proof type for installations within the
safety zone.
iv. Grass and Weed Removal: Remove combustible materials from specified
distances around LPG tanks, avoiding fire hazard weed killers.
v. Warning Signs: Prohibit smoking and naked flames within the safety zone
and display prominent notices.

7. Transfer of LPG:

i. From Road Tank-Lorries: Maintain safety distances between tank-lorry


hard standing/discharge point, adjacent property, and storage tank shell.
Place the tank-lorry hard standing within the storage installation fence area.
ii. Follow instructions in Annex C for LPG transfer from road tanker to in-
stalled tanks.

8. Fire Protection:

i. General: Minimize major fire outbreaks through proper plant design, lay-
out, operating practices, education, and training. Display fire organ gram
chart, provide role-specific training, and conduct mock drills regularly.
ii. Water Supply: Comply with local fire services regulations for water supply
and fire protection in the storage area. Arrange water spraying at specified

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14. BULK LPG

rates on vessels and in the LPG pump/compressor house. Ensure accessibil-


ity and spacing of hydrants for tank protection. Equip fire hose outlets with
suitable nozzles. Use mobile or fixed water-spray systems for tanker load-
ing/unloading areas.
iii. Fire Extinguishers: Position dry chemical powder type fire extinguishers
near the storage area, access points, and tank truck unloading area.

9. Gas Monitoring System:

Install gas monitoring system with local and remote alarm systems for all bulk instal-
lations. Position detectors on the top and near the bottom of each vessel.

Marketing of Propane and Butane

Propane Marketing: Propane is the third compound in the series of saturated hy-
drocarbons after methane and ethane. Propane is a straight chain hydrocarbon with-
out any isomers and is the lightest component of LPG and has the highest calorific
value among the LPGs. Propane is normally produced, in massive quantities, from the
fractionation of natural gas. Propane fractionated from natural gas contains little Sul-
phur in elemental form or as hydrogen sulphide. This makes propane an ideal fuel for
applications sensitive to Sulphur. The other intrinsic benefit of a low Sulphur fuel is
that it results in exceptionally low Sulphur dioxide emissions, which are known to
cause acid rain. The low Sulphur footprint, besides causing lower environmental pol-
lution, results in lower stack corrosion wherever stacks for flue gases are provided,
thus resulting in maintenance savings. However, the real advantage of propane over
LPG stems from the fact that it is composed of only one type of molecule. As a result,
the combustion system can be optimally tuned in terms of air-fuel ratio, due to which
you get the best thermal efficiency (the stoichiometric ratio for propane: air is 1:24).
Besides on a unit weight basis, propane has a higher calorific value as compared to
butane by about 2%, which is a bonus when compared to LPG.

The higher efficiency in burning propane results in combustion gains which help to
reduce your fuel bill. This contrastswith LPG which consists of propane & butane mix-
tures which require differing amounts of air: fuel ratios. This makes it more difficult
to tune the combustion system for the potential optimal efficiency. Due to this inherent
advantage of propane, temperatures can be accurately controlled in combustion appli-
cations using propane.

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14. BULK LPG

Besides combustion applications, propane is used extensively in petrochemical indus-


tries as a feedstock. Of late, the useof propane as a feedstock in purpose-built propyl-
ene production plants based on PDH* technology, is gaining popularity due to its price
advantage over naphtha. It should be borne in mind that propane systems are compat-
ible with LPG systems and not the other way round as propane is lighter and has a
higher vapor pressure. As Propane boils at -43°C, it results in faster evaporation at
ambient conditions, a characteristic often valued in small LPG installations.

*PDH: Propane Dehydrogenation is the latest technology in which a C-H bond is re-
placed with a C=C bond using catalysts and is rapidly gaining popularity the world
over.

BUTANE MARKETING: Butane is used in fuel manufacturing processes due to its


properties such as high flammability and easily liquefiable. Butane is often used in
cigarette lighters and portable cooking stoves. It is also used as a heating fuel, a cool-
ant, and a propellant in aerosols.

Very pure forms of butane, especially isobutane, can be used as refrigerants and
have replaced the ozone-layer-depleting halomethanes, for instance in household re-
frigerators and freezers. Butane is also used as lighter fuel for a common lighter or
butane torch and is sold bottled as a fuel for cooking and camping stoves.

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14. BULK LPG

Properties of Propane, Butane And LPG


S.
Particulars Pro- Bu-
N LPG
pane tane
o.
1 Chemical Formulae C3H8 C4 H10 60%:40%Propane
Max. Vapor Pressure
2 Saturated in Kg/Cm2 At 22.66 6.32 16.87
65 deg C
Gross calorific value in
3 Kcal/kg. 11900 11800 11840

Specific gravity (liquid)


4 at 15 deg C Water =1 0.504 0.582 0.543

Specific gravity (vapor)


5 at 15 deg C air=1 1.5 2.01 1.75

Ideal combustion Ratio 24 to


6 (Air to Gas) 31 to 1 28 to 1
1
Flammability limits (Up-
7 per) 9.60% 8.60% 9.10%

Flammability limits
8 (Lower) 2.15% 1.55% 1.90%

Ignition Temperature 482-


493-
9 (oC) 488-502
504 537
Volume of gas produced
10 per unit volume of liquid 274 233 250

Volume of air required to


11 burn unit volume of gas 23 30 26
Volume of oxygen re-
12 quired to burn unit vol- 4.8 6.25 5.5
ume of gas
Max. flame temperature 1979.
13 1990 1985
(oC) 44
Volatility: evaporation
temp. in 0C for 95(oC) by
14 vol. at 760 mm (about -38 2 2
2.49 ft) Hg pressure max.
15 Boiling Points (oC) -45 -2 -22
Percent Gas in air for
16 Maximum Flame Tem- 4.4 3.5 3.9
perature

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14. BULK LPG

Limits of Flammability
2.0 1.9 1.95
17 (Lower) (% Gas in Gas
/Air Mixture) (Upper) 11.0 8.5 9.75
Advantages of Propane over LPG

S.No. Benefit Virtue Propane LPG


Higher auto ig-
1 Safer fuel (oc) nition tempera- 468 365
ture
Higher vapor Lower boiling
2 -42.07 -0.5 TO -20
off-take (oc) point
Exceptionally Lower boiling point al-
Electricity
3 low vaporizer most eliminates need Vaporizer is required
savings
requirement of vaporizer
Mixture of propane
and butane. Compo-
No frequent Uniform com-
4 Pure compound sition of gas varies
burner setting position
with the liquid level
in the tank.
Quantity sav- Higher calorific
5 12034 kcal/kg 11800 kcal/kg
ing value
Less exhaust Less air re-
6 01:24 01:32
losses quired
Maintenance higher
Cleaner combustion
Less mainte- than propane because
7 Nil soot leads to lower mainte-
nance quality varies with
nance
the supplier
SUITABLE
LOWER BOIL-
8 FOR COLD -42.07 -0.5 TO -10
ING POINT
AREAS (oc)
Higher v.p. of propane
No condensa- Chances of condensa-
Higher vapor eliminates chances of
9 tion in the tion are always there
pressure condensation of gas in
pipeline with LPG
the pipeline
Propane is not reactive Few hydrocarbons
Higher tanks Nil reactivity of
to ms the mail material likely to present in
10 and system propane to-
of construction of tank LPG are reactive to
life wards ms
and pipeline ms.

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15. Reticulated LPG

Chapter: Reticulated LPG

a) Definition

Supply of LPG through pipelines from a common storage point (Cylinder Gas Bank
or Bulk LPG) to the Kitchens and metering the same is popularly known as Reticu-
lated LPG System or Piped Bharatgas System.

Over the past decade, reticulated LPG systems have seen rapid adoption
across India, particularly in metro cities and tier-2 urban centers. As of
recent estimates, the number of homes connected to centralized LPG piping has
grown substantially, reaching over 500,000 residential units in India. This
growth has been fuelled by factors such as the rising demand for convenience,
shrinking kitchen space in urban apartments, and builders marketing
reticulated LPG as a premium amenity. While Piped Natural Gas (PNG)
has expanded in some cities, it still only serves a fraction of urban households,
making LPG reticulation the best alternative in areas where PNG infra-
structure is absent.

The Benefits for the Users are:

• No storage of LPG required in the house, hence valuable Space Saving


inside the Kitchen

• Enhanced safety.

• No Booking required for cylinders & no follow up required for getting of


refills.

• Uninterrupted supply of LPG as there is a standby cylinder bank with au-


tomatic changeover system.

• Customers pay for what they consume & not what they are going to con-
sume.

• Modern look for the kitchen.


The benefits for the Builder or promoter are:

• The system offers a complete home solution by giving LPG with Water &
• Electricity.

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15. Reticulated LPG

• Added amenity for life at a lesser cost.

• Modern Look to the Flat helping in faster sale of the same.

• Piped Bharatgas can become their Universal Selling Proposition.


The Safety features include:
• Regulation of pressure at 2 stages viz. At Gas Bank and Kitchen.

• Non-Return valves.

• Excess flow check valves: In the manifold.

• Over Pressure shut Off (OPSO): In the main header.

• Under Pressure shut Off (UPSO): In the Kitchen.

• All equipment & fittings have protection features conforming to Indian


as well as International Standards.

b) Process and Procedure


The process for enrolment of a reticulated connection is as under: -
• Request letter must be submitted by the Housing society to Sales Officer
(Either directly or thru Distributor) for Field inspection of the Gas bank
and the pipeline and the kitchens.

• Sales officer to inspection the complete pipeline and the metering solu-
tion for adherence to the IS 6044

• Inspection report to be prepared as per format Appended as Annexure


along with all the test certificates and approval from the local fire depart-
ment. If there are any deficiencies, the same must be mentioned in the
inspection report and submitted back to the Builder / Housing Society

• After correcting the deficiencies, the Builder / Housing Society shall


again submit a request to the Sales Officer and a fresh inspection to be
conducted. If the installation is found in order and in adherence to the IS
6044, the sales officer will put up his report to the Territory Manager

• Sales officer to seek below listed documents from the Builder / Housing
Society and submit to the Territory Manager along with recommendation
for mapping with the assigned distributor.
- Request Letter from the housing society
- Inspection report by the Field Officer
- Test certificates, Fire NOC from the local fire department

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15. Reticulated LPG

- Cooperative Housing Society Registration certificate or equivalent docu-


ment
- Affidavit by the Housing Society along with Duly filled checklist and for-
mat, Aadhar Card and POA
Territory Manager shall review the documents and shall approve the connection if
the documents are found in. Pipeline and Installation:

Pipeline and Installation/ maintenance/testing etc. must be done in line with Gas
Bank Installation procedure covered in non-Domestic under chapter of Gas bank.

GAS CYLINDER BANK: A Gas Cylinder Bank is a room made out of Metal sheets
or civil structures with proper ventilation at the floor level wherein the Cylinders as
per the design requirement are connected to the Main and the Standby Manifolds.

1. The Gas Cylinder Bank room size and location has to be designed as per IS 6044
Part-1. 2. The Gas Cylinder Bank houses the following:

a. Manifold with Isolation Valves

b. Pigtails with Click on adopters and NRVs

c. Excess Flow Check Valves

d. Pressure Gauges with Needle Valves

e. Auto Changeover devices

f. Regulator with Over Pressure Shut Off Valves

g. Isolation Valves

c) Commissioning of the System

Commissioning of Reticulated LPG System in any residential complex involves the


following:

1) Gas charging of the pipeline with LPG should be done up to the isolation valve
in the respective headers in the ducts/ OTIS.
149. Subsequently one after other each isolation valve should be opened and in-
dividual ducts up to the Kitchen’s isolation valve should be charged with LPG.

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15. Reticulated LPG

150. Care should be taken that the pressure setting for the First stage regulator in
the bank and second stage regulator in the kitchen is as per the design and safety
requirement.
151. Moreover, the operation of UPSO should also be checked after gas charging
the system by removing the rubber tube from the Gas Stove and letting LPG go
free into atmosphere (under direct supervision) to activate the UPSO.
152. After checking the entire Operation, the consumer should be educated about
all the equipment available in the Kitchen as per the Operating Instructions
mentioned later.

d) Operation & Maintenance

Once the system is Gas charged, it is most important to educate:

• The consumers about the operation

• The Mechanics/ Distributors about the Inspection and Maintenance.

• The Helpline about the emergency handling


For the same, a Customer Safety clinic or some training program to be held wherein
the Customers are to be educated on Properties of LPG, Operation of Piped gas Sys-
tem with a detailed information on Dos and Do nots, regular/ emergency contact
numbers

Also, a training program for the mechanics of the Distributor and the 24 Hrs. Help-
line mechanics should be organized, where they are to be informed about each
equipment used in the Piped Gas System. The concerned Distributor / Mechanic
should be educated about the Inspection/ Maintenance of the system including the
frequency of carrying out and maintaining proper records for the same

The Safety and Operating Instructions should be printed on the Gas Cylinder bank
and any other prominent place as per the format.

Technological Advancements in Reticulated LPG Systems

Recent technological upgrades have enhanced the efficiency, safety, and operational
convenience of reticulated LPG networks. Some of the latest advancements include:

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15. Reticulated LPG

Smart Gas Meters: Many new installations include digital prepaid and postpaid gas
meters, allowing residents to track and pay for usage like an electricity or water bill.

IoT-Enabled Monitoring Systems: Gas suppliers now deploy remote pressure sensors and
leak detectors, which can send alerts via SMS or mobile apps in case of anomalies.

Automated Cylinder Changeover Mechanisms: Advanced manifold systems with auto-


switching regulators ensure that when one cylinder bank is exhausted, the system
seamlessly transitions to the backup without human intervention.

Fire and Leak Safety Enhancements: The latest systems integrate gas leak detectors and
automatic shut-off valves that activate upon detecting excessive gas flow or leaks,
significantly reducing risks. These improvements align with global best practices and
make reticulated LPG systems safer and easier to manage for consumers and housing
societies.

Comparison with PNG and Individual Cylinders

Reticulated LPG bridges the gap between individual cylinder usage and piped natural gas
(PNG). Compared to PNG, reticulated LPG provides:

Immediate Availability: While PNG expansion is slow, reticulated LPG can be installed
anywhere with a reliable cylinder supply.

Comparable Convenience: Both systems offer continuous gas supply and metered billing,
eliminating manual cylinder handling.

Independent Backup Storage: Unlike PNG, which depends on a central city grid, LPG
systems have on-site storage, ensuring uninterrupted supply even during pipeline failures
or shortages.

Safety and Cost Considerations: While PNG may have a slight cost advantage in some
regions, LPG reticulation is safer in terms of local control – any leakage can be isolated
immediately at the society level, while PNG grid failures affect entire neighborhoods.

Given these factors, reticulated LPG continues to be a widely adopted, practical, and
scalable gas distribution model for residential establishments across India.

Note: In reticulated LPG systems, cylinders connected to a manifold are considered "in use"
and do not require a storage license under the Gas Cylinders Rules, 2004. However, it's
essential to ensure that such installations comply with the IS 6044 Part 1:2000 standards,
which provide guidelines for the safe installation and operation of LPG storage in commer-
cial and industrial settings.

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16. Free Trade LPG

Chapter: Free Trade LPG

Introduction

Even with high LPG penetrations, there is an unfulfilled need of authorized and
affordable LPG connection to many consumers in urban and semiurban markets.
These consumers are outside the established LPG connection-refill system due to
affordability of new connection, cost of refill and /or inability to provide address
proof documents. To cater to the evolving demands of the LPG users and improve
customer convenience, BPCL launched a small cooking gas cylinder also known as
Mini Bharatgas, 5 Kg FTL (Free trade LPG) cylinder.

Our mini Bharatgas cooking gas cylinder especially for catering to migrant popula-
tion in urban and semi-urban areas who do not have local address proof, people
with lower gas consumption, and commercial establishments with limited space.

Modes of Sales

Customers can avail themselves of a new Mini Bharatgas gas connection by submis-
sion of identity proof only. Proof of address (POA) is not required. Customers can
avail themselves of their Mini Bharatgas gas cylinder through Bharatgas distribu-
torships and other points of sales (POS) like BPCL Retail Outlets, select Kirana
stores, and select local supermarkets.

Customers can avail home delivery of Mini Bharatgas gas cylinder refill through
point of sales by paying additional delivery charge of Rs. 25/refill (as on 01.05.21)

Customer can use the Mini Bharatgas gas cylinder in any city as per their conven-
ience. If the cylinders are bought from the point of sale, customers will also have
the option to buy back with a fixed amount of Rs 500/- per cylinder, irrespective of
duration of use.

Currently we are marketing two types of cylinders: -

i. 5240 – (Cylinder + Refill)


ii. 5260 – (only refill)

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16. Free Trade LPG

Visibility in the market is key in FTL business also knowledge regarding pricing of
HPC, IOC & PMC plays key role in forming strategies for sales. Since FTL is free
trade, OMCs may have different pricing for a particular market.

POS Modalities

SOP for FTL sales through POS

i. OMC distributors shall be permitted to have tie up with Kirana


stores/general stores/Convenience Stores etc. as their Point of Sale
(POS) for marketing of Packed LPG after appraisal by OMC field officer.
ii. Maximum stock of LPG at POS shall not exceed 100 kg at any point of
time; however, the qty may be reduced based on the appraisal by the
OMC`s field officer considering the location, size of the shop, accessibil-
ity etc.
iii. Name of OMC distributor and Emergency contact number of OMC shall
be displayed at POS.
iv. POS personnel shall be imparted training by the OMC distributor on safe
handling, storage, inspection of LPG cylinders and operation of Fire Ex-
tinguisher.
v. POS will be permitted to receive LPG cylinders from only one LPG Dis-
tributor.
vi. Prior to issuance of cylinder to POS, the OMC Distributor shall ensure
that the filled cylinders delivered to the POS are in sealed condition with-
out any visible defects and having prescribed weight.
vii. Delivery of filled cylinders to Point of Sales as well as pick up of empty
cylinders to be done by suitable delivery van.
viii. At POS, cylinder shall be stocked at Ground floor.
ix. Storage area shall be free from any source of ignition such as loose/ naked
electrical wiring / naked flame, storage of other flammable chemicals
such as kerosene, paints, and other hazardous material.
x. Cylinders shall be stored securely in vertical position (valve up) in a cage.
No electrical fittings shall be permitted in the cylinder stocking cage.
xi. Cylinders while at POS shall not be exposed to direct sun, rain, and heat.
xii. Cylinder shall always be handled in vertical position only.
xiii. No belly rolling of cylinders shall be undertaken at any point of time.
xiv. Seal of cylinder shall only be opened in front of customer at POS dur-
ing Pre-Delivery Check (quantity & quality), and safety cap shall be

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16. Free Trade LPG

placed on valve immediately after completion of PDC before issuance of


cylinder to the customer.
xv. In case of any defect found during Pre-Delivery Check, the cylinder shall
be returned to the distributor at the earliest with safety cap immediately
affixed onto the valve.
xvi. POS shall maintain all records pertaining to stocks, receipt, sale of
cylinders/DPRs, refills, defective generation if any.
xvii. The POS shall not attempt to repair the cylinder and its valve at any
point of time.
xviii. The POS shall ensure that all cylinders are always fitted with safety
caps.
xix. Two numbers of minimum 4.5 Kg capacity DCP type Fire Extinguish-
ers duly tested and in working condition must always be present in an
accessible place at POS.
xx. “No Smoking sign” shall be prominently displayed at POS storage. If
smell LPG, do not switch on any electrical appliances and seek assistance
from distributor’s mechanic or Emergency contact No “1906”.
xxi. OMC field officer to carry out random checks for ensuring compliance
of the SOP.
xxii. An MOU shall be entered between the concerned distributor and its
Point of Sales operator. Copy of the MOU shall be submitted to concerned
Oil Company and the records of the same will be maintained by the Field
Officer. In addition to this Oil Marketing Companies will also direct to
the distributors on the roles and responsibility prior to allowing them to
set up POS.

Defective Cylinders handling procedure:

In case of receipt of defective cylinders from customers or detection of any leakage


from the filled cylinder stored at the Point of Sales, following procedure must be
followed:

i. The leaky cylinders to be capped and removed to a safe place.


ii. POS representative shall contact the distributor/Emergency Contact no
of OMC for further action including removal of the leaky cylinder.

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16. Free Trade LPG

iii. Distributor to make arrangement for uplifting the defective cylinder from
POS at the earliest.

Process in Econnect

5 Kg FTL Sales and Refill Sales through EFP portal

Application for distributors to facilitate 5 Kg FTL Sales and FTL Refill Sales done
by distributors. It allows distributors to capture sales made for the previous period
as well.

Various Processes in FTL Application The different processes available in the ap-
plication are:

i. Register a FTL Sale


ii. Register a FTL Refill
iii. Cancel a FTL Sale
iv. Cancel a FTL Refill
v. Perform Day End

Documentation POS Mode

Supplies shall be on Delivered basis or on Ex-Ml basis on recommendation from


the respective Territory Manager. The distributor is to provide proof of dispatch of
cylinders to Retailers in case he adopts POS mode for sales.

It is essential to have a visibility of the new channel's success. To ensure the same,
the following needs to be carried out by the Territories.

• Proof of delivery of cylinders to the Retailers.

• Preprinted Cash memo to be issued by the distributor for all sales


through the points of sale. Reconciliation of the Preprinted cash memos
of the distributor issued by the Retailer with the cylinders delivered by
the Distributor to be submitted by the distributor.

• All territories to adopt the BPCL App developed for the same.

• > The additional margin of Rs.50/Cyl shall be passed on to the distribu-


tor only if the above mentioned 3 conditions are fulfilled. Responsibility
-TM

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16. Free Trade LPG

• The TM is to ensure adherence of all statutory norms like Gas Cylinder


Rules, Gas Control Order regarding sale, transportation, and record
maintenance at distributor end.

• Copy of the MOU with POS will be maintained by the Field Officer.

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17. Pricing

Chapter: Pricing

Pricing Policy Framework

Guiding principle: Post Administered Pricing Mechanism (APM) - MOP&NG issued


a notification scheme called “PDS Kerosene and Domestic LPG Subsidy Scheme,
2002”.

Subsequent Developments:

• Introduction of DBTL scheme and linking-up with AADHAR during


Jun’13 to Feb’14.

• Launch of Modified DBTL (also called PAHAL) scheme on 15th Nov’2014.

• Launch of Ujjwala Scheme (PMUY) w.e.f., 1st May 2016.

• Launch of PMGKY Scheme w.e.f., 1st April 2020


Background

As per PAHAL (DBTL) Scheme 2014, which in turn refers to PDS Kerosene and
Domestic LPG Subsidy Scheme 2002, LPG pricing methodology is consisting fol-
lowing three steps:

Step I: Determination of Refinery Transfer Price (RTP):

• At 10 Designated Ports in line with Import Parity Principle based on


Saudi CP of previous month.
Step II: Determination of Cost Price for Bottling Plant:

• RTP of linked Designated Port Plus Inland freight plus Cost & Margin
Step III: Retail Selling Price (RSP) at Market:

• Cost Price of Pricing Bottling Plant plus Packed Delivery Charges and
Taxes

• Designated Port, Linkages and Cost & Margin are in line with the Subsidy
Scheme-2002 and remain frozen since 2002. Pricing Plants considered
till 2002 are continuing till date without any further addition

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17. Pricing

Concept of pricing

The pricing of LPG involves several components and factors. One of the key aspects
is the Import Parity Price (IPP) or Refinery Transfer Price (RTP). This refers to the
cost of importing LPG or transferring it from the company's own refinery. The IPP
or RTP is influenced by international market prices and factors such as exchange
rates and shipping costs.

In addition to imports and refinery transfers, LPG companies engage in exchange


transactions with Oil Marketing Companies (OMCs). These transactions involve the
purchase and sale of LPG to maintain adequate supply and meet market demands.

OMCs may also purchase LPG from standalone refineries or Fractionators, which
are facilities that separate mixed hydrocarbon streams into their individual compo-
nents. When purchasing from Fractionators, an additional cost of 75% rail freight
is typically added to the price.

To calculate the price at bottling plants, the cost price or ex-storage price is consid-
ered. This includes various expenses such as transportation, handling, and storage
costs incurred before the LPG reaches the bottling plant.

The Retail Selling Price (RSP) is the price at which LPG is sold to consumers. It
includes the cost of LPG, transportation costs, marketing expenses, taxes, and the
desired profit margin.

LPG companies distribute LPG to various locations through their distributor net-
work. Market sales take place at these distributor locations, ensuring availability of
LPG to customers across different regions.

In simple words, IPP is cost price & RSP is market sale price.

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17. Pricing

IPP (Import Parity Price)/RTP

Price at which we can import petroleum products Include all costs for getting the
product delivered at a particular port (Landed cost). Based on price of Saudi CP
(OSP) for Butane and Propane as published by Platt's under LPG as wire heading.
As per PPAC scheme LPG Mix =Butane (60%) + Propane (40%)

The computation of Refinery Transfer Price (RTP) or Import Parity Price (IPP) in-
volves several steps and considerations. Initially, the FOB (Free on Board) quote is
obtained, which provides the basic price of LPG at the port of origin. This FOB quote
is then updated after receiving the latest information from IT.

Apart from the FOB quote, other elements are considered to determine the final
landed price at the port. These elements include several factors such as Clarkson
Marine Freight rate, RBI (Reserve Bank of India) exchange rate, insurance costs,
wharfage charges, LC (Letter of Credit) fees, ocean loss, custom duty, and more.
These elements are dynamic and subject to fluctuations based on market condi-
tions, regulations, and external factors.

Once all the necessary elements are considered and updated, the final RTP of the
port refinery is calculated. This landed price reflects the total cost incurred in bring-
ing the LPG to the port, including the purchase price, transportation costs, insur-
ance, duties, and other associated expenses

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17. Pricing

MUM- HAL-
S.N Parameter Unit
BAI DIA

Saudi CP for Butane as per Platt's LP Gas


1 $/MT 554.1 554.1
wire

Saudi CP for Propane as per Platt's LP Gas


2 $/MT 555.0 555.0
wire

0.6(1) +0.4
3 FOB Arab Gulf Quote for LPG 554.5 554.5
(2)

Premium/Discount for Butane as per


4 $/MT -17.3 -17.3
Platt's LP Gas wire

Premium/Discount for Propane as per


5 $/MT -17.3 -17.3
Platt's LP Gas wire

0.6 (4) +0.4


6 FOB Arab Gulf Premium for LPG 17.3 17.3
(5)

7 FOB Arab Gulf Price for LPG $/MT 537.2 537.2

8 Exchange Rate $/MT 82.3 82.3

9 FOB Arab Gulf Price for LPG (RS/MT) Rs. /MT 44181.0 44181.0

Freight for 13/20 TMT LPG tanker voyage


10 3068.1 6114.5
from Ras Tanura

GST on Ocean Freight (Cost not taken


11
since input available)

C&F price from Ras Tanura to disport for


12 47249.1 50295.4
Mar 2002

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17. Pricing

MUM- HAL-
S.N Parameter Unit
BAI DIA

13 C&F COST 47249.1 50295.4

14 INSURANCE @ 0.0624 % OF C&F 29.5 31.4

15 TOTAL CIF COST 47278.6 50326.8

16 LANDING CHARGES @ 1% OF CIF 472.8 503.3

17 CIF+LAN CHARGES 47751.3 50830.1

18 Cess on IGST (Cost to CO.)

19 CIF+BCD 47751.3 50830.1

20 LESS: - LANDING CHARGES 472.8 503.3

21 COST INCL. DUTY 47278.6 50326.8

22 OCEAN LOSS @ 0.305% OF C&F 144.1 153.4

23 LC CHARGES @ 0.225 % OF CIF COST 106.4 113.2

24 WHARFAGE 112.2 136.1

25 LANDED COST(RS/MT) 47641.2 50729.5

26 PROPOSED DOMESTIC IPP (RS/MT) 47641.2 50729.5

27 Customs Duty 2387.6 2541.5

CIF+LANDING+BCD+EDUCATION
28 50138.9 53371.6
CESS

29 Surcharge on Customs Duty 238.8 254.2

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17. Pricing

MUM- HAL-
S.N Parameter Unit
BAI DIA

30 Import Parity price (IPP) 50267.5 53525.2

Pricing – Calculation of Bottling Plant price

The calculation of Bottling Plant price involves several factors and steps to deter-
mine the price at which LPG is supplied to the bottling plants. One of the key con-
siderations is the updation of standard margin, which includes costs associated
with marketing, working capital, and imports.

Another vital component is the inclusion of bulk freight and terminal charges.
These charges account for the transportation of LPG in bulk quantities from the
refineries or import terminals to the bottling plants. The cost of freight and terminal
is influenced by factors such as distance, mode of transportation, and market rates.

The filling cost and cylinder depreciation are also considered during the price cal-
culation. The filling cost includes expenses related to the filling process, such as
labour, equipment, and maintenance.

1) Decision on Pricing Plant: As per pricing scheme the pricing plant for each
market is decided as follows:

- If IOC plant is available near the market, then IOC plant will be treated
as pricing plant.
- If IOC plant is not available, but both BPC & HPC plant is available then
both plants will be considered as pricing plant & Weighted average cost
of both plants will be applicable for that market.
- If IOC plant is not available & Either BPC/HPC plant is there, then that
plant will be considered as pricing plant.
In the case of commercial plants, the same above methodology is followed ex-
cept in point no 2. for that case plant having maximum rate will be considered
for pricing.

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17. Pricing

2. Calculation of RSP and Subsidy Transfer: The calculation of Retail Selling


Price (RSP) and subsidy transfer involves a sequence of steps to ensure accurate
pricing and subsidy allocation for LPG.

Here is a brief overview of the process:

i. Updation of toll & local levies: Toll charges and local levies imposed dur-
ing transportation are considered and updated to reflect the current rates
and regulations.
ii. 2. Updation of Secondary Transportation charges: Secondary transpor-
tation charges, which include costs associated with the delivery of LPG
from the bottling plant to the distributors, are reviewed and updated
based on factors such as distance, transportation mode, and prevailing
rates.
iii. 3. Updation of SSC rates: The rates for Supply Chain Service Charges
(SSC) are updated to consider the costs incurred throughout the supply
chain, including handling, storage, and distribution expenses.
iv. 4. Updation of Dist. commission: The commission provided to distribu-
tors for their services in distributing LPG is updated according to the
agreed-upon rates or any changes in the commission structure.
v. 5. RSP run and verification with the industry: The calculated RSP is then
verified with the OMCs to ensure accuracy and alignment with the mar-
ket dynamics.
vi. 6. Matched prices pushed to LPG next: Once the RSP is verified, the
matched prices are communicated and pushed to the LPG NEXT.
vii. 7. Subsidy batch creation & Industry matching: Subsidy batches are cre-
ated to allocate subsidies for eligible consumers. OMCs the subsidy
amounts with the respective consumers based on the established criteria
and guidelines.
viii. 8. Updation of subsidy in SAP: The subsidy amounts are updated in
the SAP system, ensuring accurate and proper allocation of subsidies for
eligible consumers.
ix. 9. Checking of subsidy pushed to LPG next: The system verifies that the
subsidies have been correctly pushed to the LPG system and allocated to
the eligible consumers as per the subsidy batch creation.

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17. Pricing

3. RSP Elements

- Basic / Ex-Storage Price


- State Surcharge+ Bulk Freight
- Bottling Plant Price
- Delivery Charges (Plant to Distributors)
- Toll Charges & Local levies if any
- Dealer Billable Price
- GST
- Distributor Commission
- GST on Dealer Commission
- Retail Selling Price (RSP)

Pricing for Distributorship and direct customers

Pricing plays a crucial role in securing commercial and bulk business. Sales officers
need to have a thorough understanding of pricing components and strategies to ef-
fectively make offers and determine margins based on distinct locations.

Distributorships:

There are two main types of pricing methods commonly used:

1) Delivered-Based Pricing: This approach involves providing cylinders to distrib-


utors on a delivered basis for normal supplies. The pricing considers factors
such as transportation costs, distribution expenses, and profit margins. The
pricing structure ensures that the delivered cost of the cylinders is covered, in-
cluding all associated expenses.
2. Ex-Mi Pricing: In certain markets, especially where there is an under-recovery
situation, supplying cylinders to distributors on an Ex-Mi (Ex-Mother Installa-
tion) pricing basis can be employed. This pricing strategy offers a price benefit
to the distributor, enabling them to attract more business. However, in this case,
the distributor cum transporter or transporter will not receive separate payment
for transportation, as the pricing is adjusted to account for the exclusion of
transportation costs.

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17. Pricing

Delivered Ex MI
Basic Price 1,377.33 1,377.33
Pkg. Freight 35.8
Toll Tax 3.17
Sub Total 1,416.30 1,377.33
GST 18% 254.93 247.92
Dist. Billing Price 1,671.24 1,625.25
Dist. Commission 127 127
GST on Distributor commission 22.86 22.86
Final Margin to Dist. 127 158.96

Transaction to check the RSP: - ZRSP LPG REPORT

Direct Customers: -

There are two types of supply options available when selling cylinders directly
to customers such as hotels, malls, and industries:

Ex-Mi Supplies:

Customers have the option to directly uplift the cylinders from our plant. The
pricing for Ex-Mi supplies is like the pricing for distributors. Depending on the
arrangement, the distributor margin may be added or removed from the pricing
structure.

Delivery Assistance (DA) Supplies:  If customers prefer door delivery of cyl-


inders, we can arrange for a transporter or distributor to handle the delivery.
The distributor or transporter may charge the customer for the supplies through
Delivery Assistance (DA) charges. These charges will be included in the pricing
recorded by SAP. The DA charges are levied before GST. To facilitate this ar-
rangement, BPCL will require a letter from the customer authorizing a specific
transporter for the supplies, and the transporter will provide a confirmation let-
ter for the DA charges. The responsibility for bearing the Service Tax will be
determined based on the agreement between the customer and the transporter.

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17. Pricing

Differential Reference Code used in Pricing (DRC)

DRC is the station code that uniquely identifies the customer location along with
primary and secondary pricing points for Administered Pricing Mechanism
(apm)/IPP - products viz. MS/HSD/ SKO/LPG supplied on “Delivered - DL” basis
which aid pricing.

This DRC is based on pricing point, RTKM from pricing point, local levies at cus-
tomer location & enroute levies. DRC also updates the accounts for pool settlements
and helps maintaining single delivered price for customer

1) For DL Customers, DRC is necessary.


2. DRC is not applicable in case of Aviation, Lubes and Bulk LPG.
3. This field has a remarkably high significance from pricing point of view. This is
the main field which drives the price build up & assists in ensuring accurate
pricing. In Price build ups, there are various elements which depend on Primary
Pricing Point/ Secondary Pricing Point/ Markets. Following are the fields in
DRC Code which has been used by us to cater our basic pricing requirements:
It contains following fields:

i. Country e.g., IN
ii. Region e.g., 15 (State - Gujarat)
iii. MI (Market name) e.g., 1557 – SURAT-LPG
iv. WAP (Primary Pricing Point) e.g., 151 - KOYALI
v. SLF (Secondary/Depot Pricing Point) e.g., 427 – SURAT-LPG
vi. For combination of above fields, there will be unique DRC Code as-
signed/ created e.g., GUL57 (SURAT-LPG).

4. DRC Code creation is configuration settings which is done by ERP Team as per
details/advise received from SBU HQ/Region Finance. Each market is repre-
sented by a unique DRC Code created in the system. Whenever, new customer
is created, existing DRC Codes are checked as to whether customer exists in an
existing market. If a new market, a new DRC Code is created as per the data
received. DRC Codes are used in pricing by Retail/ LPG/ I&C SBUs.

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17. Pricing

5. WAP (Wide area pricing) & SLF (State license fee) are Primary & Sec-
ondary Pricing Points. These once created, do not change frequently. However,
in case of requirements it can be created with transaction code O5MW and
O5MS, respectively.
6. MI is the Market name which can be usually created for the customer coming
up in new market.
7. Immediately after creation of DRC Code, Pricing RTKM as advised by SBU
HQ/Region Finance is maintained for SLF & MI (Plant to Market). This data is
used for calculating delivered charges correctly.
8. DRC Code is attached to Customer Master-General data - Control data. This as-
signment of DRC Code is very essential for proper pricing for all DL Supplies to
the customers. Condition records are maintained for field WAP/SLF/MI etc. in
various condition types which calculates the pricing for the customer depending
upon DRC Code.

Delivery Charges as on 01.07.2023

Dom Packed LPG Delivery Charges


. One-way distances
> 110
. <=80 kms 81-110 km
kms
14.2 kg Dom Non-Sub 29.10 39.50 49.90
5 kg Dom Non-Sub 13.40 18.20 23.00
10 kg Dom Non-Sub 29.10 39.50 49.90
Non-Dom Packed LPG Delivery Charges
One-way dis-
.
tances
> 110
. <=80 kms 81-110 km
kms
19 kg Non-Dom 35.70 47.10 57.80
35 kg Non-Dom 65.70 86.70 106.40
47.5 kg Non-Dom 85.70 113.00 138.80
5 kg Non-Dom 11.00 14.40 17.70
2 kg Non-Dom 6.70 8.80 10.80
425 kg Non-Dom 798.60 1,053.60 1,292.90
DRC Data tab details are as under-.

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17. Pricing

i. Pricing Plant – Based on the data provided in this field, system would
automatically determine the pricing plant region and the SLF – pricing
point assigned to that plant from the plant expert.
ii. Plant Region- Region of Plant will be derived as per plant input
iii. SLF – State Licensing Fee, which is a pricing point of the customer
iv. MI- Metropolitan Indicator determines Customer Market.
v. DRC Region- Region of DRC- Differential Reference Code
vi. Pricing RTKM – RTKM value considered for pricing determination,
which gets auto derived as per value of existing MI
vii. Toll tax (Rs.)- Toll tax value captured for pricing determination, which
gets auto derived as per value of existing MI / as per user input for new
MI creation
viii. Transport RTKM- Transportation distance in RTKM maintained
for respective customer from the supply plant and used in Transportation
payments.
ix. Market Name - Mandatory field, which gets auto-derived from Existing
MI value or in case of Existing MI is not applicable, then value will be
input by RH01 role holder
x. Market information- RH01 role holder will provide RSP for MS (Mo-
tor Spirit & HSD (High Speed Diesel), Nearest Market information etc.
values which will facilitate RH04- finance role holder in assignment of
DRC.

For DRC data tab: Pricing Plant is a non-mandatory field, SLF and Metropolitan
Indicator (MI) are mandatory input to be selected. 

Under Recovery and Over Recovery in LPG Pricing:

Under-recovery refers to the financial losses incurred by Oil Marketing Com-


panies (OMCs) when the regulated selling price of LPG is lower than its cost of
production and distribution. This situation arises because the government con-
trols LPG prices to make them affordable for consumers, often setting them be-
low market-determined rates. As a result, OMCs sell LPG at a loss, leading to
under-recoveries.

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17. Pricing

Conversely, over-recovery would occur if the regulated selling price of LPG


were higher than the cost of production and distribution, allowing OMCs to earn
a profit on each unit sold. However, in the Indian context, over-recovery is un-
common due to the government's policy of subsidizing LPG to support consum-
ers, which typically results in prices being set below market levels.

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18. Transactions Systems for TM / SO

Chapter: Transaction systems for TM / SO

a) Overview of myPortal:

LPGNEXT for TM/SO is a comprehensive package for carrying transactions re-


lated to distributors, customers, and approval of various field related requests. De-
tails of various transactions are as under:

Transaction for consumers:

Options in Transactions for con- Function


sumers

Global Consumer Search This option helps to search the consumers based
on Cons No, Cons Name, Phone No, Mobile No
and Area.

SO, Option to Edit/Delete Con- This option helps to remove already Verified
sumer Aadhaar Aadhar of customer in case of any changes/ Ter-
mination.

Change Subsidy Eligibility / This option helps to update the Consumer's Sub-
Consumption sidy Quota Eligibility and/or Consumption

Authorize Stale TV This option helps to authorize the Stale TV i.e.,


termination vouchers which are more than 1
year old

Processing Of Portability Re- Option to Close a Portability Request / Transfer


quests as per the Portability request. Now

Update Ujjwala Suspect Con- This option helps to Update Ujjwala Suspect
sumer Details Consumer Details

Verify Ujjwala 2.0 Consumers This option used to verify connection issued un-
for PPAC Claim Approval der Ujjwala 2.0 scheme for PPAC claim settle-
ment

PMUY/EPMUY Regularization This option used to approve or reject PMUY/eP-


Approval MUY regularization

Cancel Bank Mandate of BPC This option used to Cancel Bank Mandate of
Consumer BPC Consumer

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18. Transactions Systems for TM / SO

Options in Transactions for con- Function


sumers

Manual Changes to SV This option helps to change legacy problems of


mismatch in Cylinder quantity/ DPR quantity

Manual Addition of SV Manual Addition of SV for old legacy cases, in


case of missing DBCs/SV

Change SV Amount This option is used to correct SV amount in case


of any difference due to legacy issues while Go
Live.

Manual Deletion of SV This option helps to delete un-wanted SV manu-


ally

Change History Code in SV This option allows changes to history code in SV


i.e., Staff, VIP etc

Material Code Change Menu Material Code Change Menu.

NPCI Aadhaar Query Service This option facilitates to Know Status at NPCI.

Validate KYC and Unblock Con- This option allows to unblock consumers after
sumer validating KYC.

Approve change in Extended Option to approve changes of Extended PMUY


PMUY details of consumer details of consumer

Approve additional Domestic Option to approve additional Domestic Non-Re-


Non-Reticulated Consumer Re- ticulated Consumer Refill Booking.
fill Booking

Cancel DBC Request Option to Cancel DBC Request.

Consumer Contact Number This option allows to update a consumer's phone


Change number

Compare KYC name with e-KYC This function to compare KYC name with e-KYC

Transactions for Distributor:

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18. Transactions Systems for TM / SO

Options in Transactions for Function


Distributor

Unblock Consumer This option helps to unblock the blocked con-


sumer blocked under dormant, Adhaar, Bm or RR
data

Block Consumers based on se- This option helps to block consumers by selective
lection on condition.

Area Master This option helps to create a new area, edit/ up-
date the area

Area/Product Delivery Charges This option is used to Approve Area-Product Wise


Approval Delivery Charges Maintenance Request Submit-
ted by Distributor

Reorganize Area This option helps to reorganize the area

Mass Transfer This option helps to Mass Transfer

Staff Connection Request Ap- Option for Staff Connection Request Approval
proval

Deposit Free Request Approval Option for Deposit Free Connection Request Ap-
proval

Request For Inter Territory Option to Request for Inter Territory (Mass TA)
(Mass TA)

SO, Approval/ Reject TV re- Option to SO Approval/ Reject TV request for


quest for commercial con- Commercial Consumer
sumer

Approve / Reject Delivery As- Option to SO request for delivery assistant


sistant Request

Approve / Reject Delivery As- Option to SO approve or reject update request for
sistant Update Request delivery assistant

BackDate Option This option helps to set Backdated option

Distributor Mobile App Activa- This option helps to Activate and Deactivate Mo-
tion bile App for distributor

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18. Transactions Systems for TM / SO

Options in Transactions for Function


Distributor

Change TA-In Distributor For This option helps to change TA-IN distributor
TA-Out code for TA-OUT consumer.

Refill cancellation This option is for SO for cancelling Refills area


wise or Specific Consumer

Distributor Cash Memo Type This option helps to change Cash Memo Type for
Change / Activate Local Lan- Distributor or Activate Distributor for Local Lan-
guage Cash Memo guage Cash Memo Printing

PTD Type Distributor This option helps to Add/Update PTD for Distrib-
utor

Adding OMC for Portability Option for Adding OMC for Portability request

Approve Maintain Refill Limit Option to SO approve or reject update request for
for Exempted Maintain Refill Limit for Exempted

Ration Card Change This option helps to Change Ration Card Number

Update Village Master of Con- This Option can be used to update LGD village
sumer mapping of consumers

Verify PFMS bank mandate of This option helps to verify PFMS bank mandate of
a consumer a consumer

Provisional Bulk Transfer Option for Provisional Bulk Transfer

Distributor e-KYC Activation This option helps to Activate and Deactivate e-


KYC for distributor

Transactions for BPCL:

Options in Transactions for Function


BPCL

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18. Transactions Systems for TM / SO

Correct ERV Of Distributor This option is for SO to make corrections in ERV


in case of mismatch in ERV between LPGNEXT
and SAP.

Reverse ERV Of Distributor This option is for SO to Reverse an acknowledged


ERV of the distributor if same is open at plant
end. This option will result in increase in
acknowledged cylinder quantity in distributor
stock.

Change Acknowledged Invoice This option helps to modify the acknowledged in-
Qty voice qty and correct mistake while acknowledg-
ing invoice by distributor.

Stock Adjustment This option is for stock adjustment- Change qty


from sound to defective etc.

LPGNEXT Stock Reconcilia- This option helps to Reconcile Physical Stock with
tion LPGNEXT Stock

Retrigger Transfer Posting Option to Retrigger Transfer Posting of pending


active SVs. TVs

Accounting of Loss of Equip- This option helps to Accounting of Loss of Equip-


ment during Stock Check ment during Stock Check. This option is used to
reduce distributor stock via ZLN ERV in case
equipments are lost on the account’s theft/MDG
etc.

SRN Accounting This option helps to Account SRN

Match ERV Full Defective This option is for SO to match ZLR and LR

Reverse SRN-ERV matching This option can be used to reverse the incorrectly
matched SRN-ERV

Update Pin Code Mapping This option can be used to update Distributor’s
service area Pin Codes for Inter OMC Portability

This option for SO to View and Maintain LPGOne


Maintain LPGOne Refill Limit Refill Limit (Regulates % DC and %LPGOne De-
livery conformation)

Transactions for KYC:

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18. Transactions Systems for TM / SO

Options in Transactions for Function


KYC

Cancel KYC New Connection This option allows to cancel New Connection Request via
Request KYC by providing the waitlist ID and appropriate cancel
reason/remarks

Approve PMUY Name Change This option allows to Approve PMUY Name Change(for
Death cases of a Ujjwala Beneficiary)

CLDP Realtime Deduplication Option to do online checking of Aadhaar, Bank Details and
Status Ration Card with CLDP.

Reports:

Options in Reports Function


List of Acknowledged Invoices Option to view the list of acknowledged invoices
This Option Provides product wise stock details for a
Product wise Stock Details
distributor
Adoption Summary This option provides adoption summary details
This option helps to view the Market wise connection
New Connection and Refill Details
details
This option helps to view the Stock Reconciliation de-
Stock Reconciliation Details
tails

Adoption Status This option provides adoption status of the distributors

List of Created ERVs Option to view the list of created ERVs


Undelivered SV Refill Report Option to view the Undelivered SV Refill Details
Multi Connection Details This option provides Multi Connection details
View SV/TV/TA/Recovery This option provides Transaction details
This option provides detailed reports on each aspect of
View Other Reports
consumption

My portal: LPGNEXT SAP Stock accounting: This option is used to


Account stock of newly commissioned distributor in LPGNEXT. First load
to new distributor cannot be dispatched without initializing stock accounting.

My Portal: Conversion menu

Options in Transactions Function


for KYC

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18. Transactions Systems for TM / SO

Ignore Accounted Invoices This option helps to ignore the invoices created by
mistake or some error in invoice. Invoice deleted in
SAP but still appearing in LPGNEXT.

Enter Showroom Address This option helps to update the distributor show-
room details. All spaces must be filled else SAP will
trigger error while invoice.

My Portal: LPGNEXT for CRC

LPGNEXT for CRC is a comprehensive package for CRC assistants. Details of vari-
ous transactions are as under:

Options in Transactions for Function


BPCL

Search Consumer This option helps to search the consumers based


on Cons No, Cons Name, Phone No, Mobile No and
Area.

Change TA-In Distributor This option helps to change TA-IN distributor code
For TA-Out for TA-OUT consumer.

Cancel KYC New Connec- This option allows to cancel New Connection Re-
tion Request quest via KYC by providing the waitlist ID and ap-
propriate cancel reason/remarks

Cancel DBC Request This option allows to Cancel DBC Request

Authorize Stale TV This option helps to authorize the Stale TV

View / Accept DTN This option is used to View and Approve DTN.

Mark BPCL Cleared Waitlist This option helps to mark those Waitlist Numbers
Number(s) as NIC Suspect as Suspect by NIC which had been cleared by BPCL
applying internal check

Print Accepted DTN This option is used to Print accepted DTN.

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18. Transactions Systems for TM / SO

Unsubscribe Consumer This option helps to unsubscribe consumers from


processes like proactive booking.

NPCI Aadhaar Query Ser- This option facilitates to Know Status at NPCI.
vice

My Portal: LPGNEXT for TM

Details of various transactions are as under:

Options in Reports for Territory Function


This option provides adoption sum-
Adoption Summary
mary details
This option provides adoption status
Adoption Status
details
Report for, Request for surrendering
Surrender Request Received thru TP TV thru transparency Portal vs TV cre-
ated against request.
This option provides detailed reports
View Other Reports
on each aspect of consumption
This option helps to search the con-
Global Consumer Search sumers based on Cons No, Cons
Name, Phone No, Mobile No and Area.

Options for Territory Function


This option provides
Product wise stock
Product wise stock Transfer Transfer from product
5310 to 5350, 5350 to
5370 & 5250 to 5270
This option Facilitates
Product wise stock
Product Transfer Transfer from product
5300 to 5350 and from
product 5200 to 5250.
This option is for Adding
Add CRCMaster
into CRCMaster
Change SV Amount by
Change SV Amount TM for Deposit free con-
nections.

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18. Transactions Systems for TM / SO

This Option can be used


to update Maximum Al-
Update Max SV Limit lowable SV Limits for
distributors in Deep am
scheme.
This option used to ver-
ify connection issued
Verify EPMUY2 Consumers for PPAC Claim Approval under EPMUY 2 scheme
for PPAC claim settle-
ment
This option used to SAP
SAP ERV Correction
ERV Correction
Option for correction of
cases where invoice &
Re-Open Ignored ERV and Invoice ERV status is marked in-
correctly & appearing in
mismatch report
Opt an Active Consumer
In or Out(Exercisable
Opt a Consumer In/Out
only once in a Financial
year)
Option for Inter Terri-
Inter Territory Mass Transfer Approval tory Mass Transfer Ap-
proval
Option for Add ERV For
Add ERV For Reversal
Reversal
Option for movement of
stocks from filled to
Move Stock from Full to Empty after MDG
empty stock after MDG
Action
Option to Block/Un-
block distributors for e
Block/Unblock Distributors for Online Payment SV, e Refill Payments
with Payment Integra-
tors
Option to TM approve
or reject update request
Approve Maintain Refill Limit for Exempted
for Maintain Refill Limit
for Exempted
his option is used to Ap-
prove Area-Product
Wise Delivery Charges
Area/Product Delivery Charges Approval
Maintenance Request
Submitted by Distribu-
tor

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18. Transactions Systems for TM / SO

This option is used to


Block Area-Product
Area/Product Delivery Charges Block Wise Delivery Charges
Maintenance Request
Submitted by TM

Options for Ujjwala State Claim Retrigger Approval:

Options for Ujjwala State Claim Retrigger Approval Function


This option will facilitate
Ujjwala State Claim Retrigger Approval Re-trigger of Ujjwala State
Claim Failed Records

b) Lisa:
Indent Calculation by System:

Indent calculation would be directly in SQL database, based on LPGNEXT/ECC


data. System would be Auto Indenting for 14.2 Kg and 19 COM only.

For 14.2Kg products system will be calculating indent for 5350 only, any con-
version to 5370 would happen in LPGNEXT hence forth.

System would be calculating distributor indent for today and tomorrow. Auto
Indent calculation would start once LPGNEXT system is closed for users. In-
dent would be calculated and then published to ECC system before 4.00 am
every day.

The indent calculated for today would be firm and for tomorrow would be ten-
tative (for reference purpose only)

The process to determine indent for 14.2 Kg:

i. Calculate Optimum Inventory at Distributor (OID) for Distributor for


Full Cylinders
ii. Determine the closing inventory at the Distributor
iii. Identify the Excess stock over and above OID
iv. Determine the Stock refill ratio

Optimum Inventory at Distributor (OID) Calculation

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18. Transactions Systems for TM / SO

a Average refill sales per day No of refills Take average of last 7 days on
rolling basis (Refill Sales of
last 7 days /6)

b RTKM ex MSP (Main Sup- Distance


ply Plant)

c RTKM Factor Please refer below given logic

d Required filled cylinder c*a

F OID for Full cylinder D

RTKM Factor calculation is based on actual transportation distance from MSP and
avg. refills sales.

Days Cover

RTKM from Plant Refill sales per month

<= 3000 > 3000

Above 300 3 2

300 or below 2 1.5

If avg. monthly refill sales are less than or equal to 3000 and distance is less
than or equal to 300, then RTKM factor = 2

If avg. monthly refill sales are less than or equal to 3000 and distance is greater
than 300, then RTKM factor = 3

If avg. monthly refill sales are greater than 3000 and distance is less than or
equal to 300, then RTKM factor = 1.5

If avg. monthly refill sales are greater than 3000 and distance is greater than
300, then RTKM factor = 2

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18. Transactions Systems for TM / SO

Based in the actual distance and Monthly Avg. refill sales, RTKM factor to be deter-
mined as per above given conditions.

The distance considered for calculation is the actual distance from plant to distrib-
utor (not the transport distance wherever transport distance is 1 km and actual dis-
tance is updated as 0, RTKM factor would be considered as 1.5)

• OID would be a daily calculation.

• OID defines the inventory days cover for distributor based on average re-
fill sales and RTKM.

• Refill sales are considered from the day end summary.

• Avg. refill sales would be Total available refills sales (Refill+ SV refills) of
the last 7-day ends / 6 days (we have considered 6 days here to take care
of one day holiday in a week) Avg. Refill sales would be considered
only for the first 7 days of Go live for a distributor From 8th day on-
wards, New Avg. Refill sales would be considered.
New average refill: This is the comparison between the refill sales and the daily
demand. Daily demand derived from Monthly Demand Planning would be consid-
ered. A deviation of 5% would be allowed for distributor from the daily demand.
Deviation Factor = 5%, this factor is configurable at Territory level.

• If the average of refill sales of last seven days is greater than Deviation
Factor (DF) multiplied by avg. daily demand, then the difference between
Avg. refill sales and DF* Avg. Daily Demand would be subtracted from
Avg. Refill sales

• If the average of refill sales of last seven days is less than Deviation Factor
(DF) multiplied by avg.

• daily demand refill sales then the difference between DF* Daily Demand
and Avg. refill sales would be added to the Avg. Refill sales

• If the Avg. Refill sales is within allowed deviation, Avg. refill sales only
will be considered.
This calculation would help in calculating the OID for the distributor within per-
missible limits of Monthly Demand Calculation.

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18. Transactions Systems for TM / SO

Closing Stock at Distributor, Day end details, closing stock and In-transit quantity
as available in LPGNext would be transferred to SQL Data base tables by 12.30 AM
every day.

In transit full stock is calculated in LPGNext using following

• Open Invoice in LPGNEXT for the distributor /product till 12.30 am.

• Invoice Acknowledged by Distributor by after day end (last day end date
and time) and till extraction at 12.30 am.
Closing full stock at distributor = Closing stock as per last day end + in transit
full cylinder as per above logic

Stock Refill Ratio (SRR): SRR defines the additional days load to be sent over and
above the OID. SRR = Excess Inventory over OID /Average refill sales or New Avg.
Refill sales

SRR threshold will define if load is required to be sent to a distributor.

SRR threshold is the upper limit for a distributor for which an indent will be calcu-
lated. If the SRR value calculated for a distributor is beyond the SRR threshold, no
indent would be calculated for the distributor for that day.

In SRR calculation, following scenarios can occur.

1) SRR is negative, then load should be equal to OID derived for the distributor
+deficit inventory.
153. If SRR is less than SRR Threshold, indent would equal to difference of OID
and Inventory
154. If SRR is greater than SRR Threshold, then no indent is formed for the Dis-
tributor for that day

• For Distributor with EOI vehicle, based on vehicle capacity and RTKM
factor, SRR threshold would be determined.

• For rest of the distributor in a plant SRR threshold would be finalized


based RTKM factor

• Sales to distributor can be varied by changing the OID calculated. OID on


regular scenarios would be Avg. Refill /New Avg. Refill sales * RTKM
Factor and in case sales to be distributors needs to be varied for a limited

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18. Transactions Systems for TM / SO

period, a multiplication factors can be introduced which will have prior-


ity over RTKM factor for the defined period and OID = Avg. Refill /New
Avg. Refill sales * Multiplication

• Factor (The inventory coverage factor to be either increased or de-


creased)
Day’s Requirement for a distributor

Today’s Requirement = OID – Excess Inventory if calculated SRR for the day is
less that the Threshold SRR for the distributor

Tomorrow’s Requirement = OID – Excess Inventory if SRR calculated for the


day is less than the Threshold SRR for the distributor. The refill would be con-
sidered as the New Avg. Refill instead of actual refill sales and Today’s Require-
ment would be added to the ‘derived in transit quantity’

The process for determine indent for 19 Kg is given below

System forecast for Commercial sales from distributors = (Growth percentage


for last one year * (0.2* Average of refill sales for the past 9 months)) +

(Growth percentage for last one year * (0.8* Average of refill sales for the past
3 months))

The above system calculated demand is further smoothened or corrected by


HQ, SO, TM and State Head.

Proposed Process

1) Consider final demand entered by State Head rather than last month sales
155. The demand would be prorated on daily basis (excluding Sundays in the
month)
156. Indents would be formed for commercial cylinders. Allocation would be
done based on the combinations defined in the system

Note: OID (Optimum inventory at distributor) report can be directly downloaded


from BI

Indent capturing in SAP: Indent capturing will be scheduled on daily morning be-
fore starting of plant operation. Indent of distributor pertains to territory activated

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18. Transactions Systems for TM / SO

for auto indent will get captured and for other distributor existing process will work
as it is.

While capturing indents in SAP table system will delete all future indents given by
the distributor using existing PDP application. i.e., While capturing indent for 7 th
June 2021 system will delete all indent after 8th June 2021.

Note: - This scenario will appear only when the sales office is activated in between
of a month.

To be Shifted to Chapter – 4
Distributor mobile application / Econnect portal:

Distributors of sales office activated for auto indent will have new option My
LPG indent (Econnect View) under my application. If territory is activated
for auto indent, then all distributors can access new application and old option
will be disabled.

This application is also available under LISA application in Mobile as below:

Link to download LISA application: https://ebiz.bpc.co.in/mobecon-


nect.htm

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18. Transactions Systems for TM / SO

Distributor will select LISA Application in their Mobile Application as follows:

After selecting LISA, following screen will appear and My LPG indent in
Desktop and LISA application in Mobile will have different sub options and fol-
lowing option are being activated for auto indenting process:

i. Indent details
ii. Indent status

Indent details: - Indent details option can be used for various activities like View,
edit, add, and delete indent & one way indent request by Distributor/Customer.

Once user clicks on view indent button new screen will open to show distribu-
tors indent for a current date, screen will have data for product, total indent

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18. Transactions Systems for TM / SO

quantity and allocated quantity

Separate row will appear for each product and button is provided in left most
column to expand the indent details to get one- & two-way quantity for a mate-
rial separately

To change the indent quantity distributor must click on button change indent,
click on button change indent will enable following activities:

i. Change in existing indent separately for one & two way.


ii. Deletion of indent separately for one & two way.
iii. Addition of new product.

All above activities are controlled by configuration maintained for LISA Indent
activity configuration.

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18. Transactions Systems for TM / SO

• For any material / activity if approver is maintained in configuration,


then request will flow to respective role holder for approval and changes
will reflect in PDP application only when request is approved.

• For any material / activity if approver is not maintained in configura-


tion, then request will get approved automatically and changes will re-
flect in PDP application immediately.

Distributors also can check the amount required for indent by clicking on but-
ton indent value, following screen will appear once user clicks on button indent
value. Here in closing bal. as can be seen below, a positive sign means the cus-
tomer/distributor is having a positive balance and a negative sign means cus-
tomer/distributor is having negative balance.

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18. Transactions Systems for TM / SO

• Indent value for domestic product is taken from latest RSP available for
distributor market.

• For commercial product actual price simulation will be done to consider


discount applicable to a distributor.
When Distributor/Customer will change or add indent, they will click on vali-
date to see status that either validation is successful to submit, or validation is
having an error message. In case of error message, Distributor/Customer need
to contact SO/TC/TM for the error. Error will be shown as per LISA Configura-
tion maintained for Distributor/Territory. Example of error type is as follows:

Pending Approval earlier requested:

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18. Transactions Systems for TM / SO

If customer/Distributor has created request earlier for OW for material which


has not been approved by TM/SO as per LISA Configuration, then this quantity
will be shown as “Under Approval” as can be seen below:

Indent status: - Indent status option provides status of indent execution


where distributor can get exact status of indent like allocated/Invoiced/Dis-
patched status will be updated as the process will go on ZLPDP application.

Allocated/Dispatched Quantity will also be shown under Indent details as fol-


lows:

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18. Transactions Systems for TM / SO

SO / TM Application: MobiConnect

Following options will be available in SO/TM application to check distributor


indent, approve one two request and check to customer balance:

Indent:

Under Indent, TM and SO can see the indent details sales group wise as per
authorization access in ZCOMLPG and display will be material wise. Following
is the visibility of Mobile for Indent under SO and TM/TC screen:

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18. Transactions Systems for TM / SO

TM / TC/SO can further select their sales group to see the Indent details or to
edit the indent as follows:

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18. Transactions Systems for TM / SO

TM/TC/SO can select Distributorship accordingly for which they want to see
Indent detail or want to edit Indent as follows:

Distributor can directly be searched from search option as well to see or edit the
Indent details:

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18. Transactions Systems for TM / SO

TM/TC/SO can change Indent under Indent section only by selecting distribu-
tor and can also add material whenever required and all will be controlled and
authorized through LISA Configuration maintained in SAP.

Here, TM/RH02 Can also view One Way pending status which has not been
approved and can go to Approve One way to approve and if it is not visible to
approve, it means that it is pending with RH01/SO and can guide SO accord-
ingly to approve. The OW pending can be seen as below:

Approve One Way and Two Way under SO/TC/TM screen:

Based on configuration maintained, SO/TM can approve or change request for


one way indent or Two-way request for modified (Additional) indent.

SO/TM can change indent quantity while approving requests in mobile appli-
cation / portal and indent modification will be controlled by configuration
maintained for respective role holder.

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18. Transactions Systems for TM / SO

Mobile view of Approve One Way/Two Way as follows:

Indent will get updated in PDP once request is approved by respective role
holder and indent updated in PDP table will be available for allocation.

SAP application: - Following changes are done in SAP application.

ZLPDPSO: Change indent will not be available to SO as any indent correction


can be done though mobile application / portal.

ZLPDPIC: Change indent option will work as it is & it advised not to maintain/
insert future date indent as same will get deleted while capturing data from SCM
table (System calculated indent) to SAP table.

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18. Transactions Systems for TM / SO

In-charge can modify indent for current date and tomorrow.

In this case, one additional feature has been provided that any indent pending
for approval with TM/SO/TC can see the indent pending for approval Distribu-
tor wise but respective user who are not authorized to approve will not be able
to approve it and it will be only for display purpose:

Customer Balance:

With this option, SO/TM can view Distributor’s day-end stock (Full + intransit) and
customer balance at that time in mobiconnect application.

LPG Vehicle Status Report

With this report, SO/TC/TM can check LPG Vehicle status for their Plant.

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18. Transactions Systems for TM / SO

Mass Indent Update – MSP:

This option is very useful for SOs. Mass Indent updation is possible with this option,
which will save time and effort of sales officers. The mass indent updation will be
applicable for Main Supply Plant(MSP) only. If multiple Supply plants are attached
to the distributor, user need to update the indent through indent option.

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18. Transactions Systems for TM / SO

LPG MONTHLY DEMAND PLANNING APPLICATION

Monthly Demand planning application is available under SAP – SCM login of Sales
officer. T-code for demand planning is ZLPGDP. For detailed process note kindly
refer to User guide for LPG Monthly demand planning

Demand Schedule dates:

The Demand schedule dates are as given. Demand entry is permitted only on the
dates for which the demand entry window is open for the role holder.

Role holder Demand entry window

HQ 5th to 7th of every month

Sales officer 8th to 11th of every month

Territory Manager 12th to 14th of every month

State head 15th to 17th of every month

State head 18th of every month in case HQ opens the de-


mand entry for any modifications

Please log all the queries/ issues related to SAP/LPGNEXT or any other portal
through my Support à Post a query to ERPCC for speedy resolution & online
monitoring. Solutions can be viewed through my Support àView & reply to
Query.

c) Analytics
Analytics dashboard can be accessed from my portal - my analytics - analytics
dashboard

1) Market share data / Y2K figures / Sales figures – trends – Heat maps: Distrib-
utor wise / District wise / Territory wise / Region wise / OMC wise along with
other data points in the form of digital transactions, Pay & Book orders, second-
ary sales, TDT, LPG Safety inspection(BSC) and CCS complaint analysis etc. can
be accessed under PERFORMANCE VISULISATION DASHBOARD for LPG
SBU.

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18. Transactions Systems for TM / SO

2) Biz. Plan Monitor / BP monitor– BP Plan Target/Achievement can be analysed.


can be used for daily monitoring & review of sales at territory/state/region level.
It is also embedded on Sales Buddy homepage.
3) Distributor Indexing output - Quarter Wise can be viewed under Advanced An-
alytics Projects: LPG.
4) LPG BAS details are viewed under Advanced Analytics Projects: LPG

Dashboard may also be accessed using the direct link as well: -

analytics.bpcl.co.in/adfs/extensions/OverviewMashup/OverviewMashup.html

A few screenshots of the ANALYTICS DASHBOARD(s) are attached as below: -

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18. Transactions Systems for TM / SO

 LPG Sales Analysis in Mobiconnect Application for TM/SO

LPG Sales Analysis tool can help TM/SO to check and analyse following sales pa-
rameters – Territorywise, Sales area wise and Distributor wise.

- Domestic Sales (MT) of last 3 months

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18. Transactions Systems for TM / SO

- Commercial Sales (MT) of last 3 months


- Domestic sales Growth (%)
- Commercial sales Growth (%)
- NC Release (Nos)
- Pending Refill Booking (Nos)
- TST & TDT rating
- Avg. Refill sales/Day
- Avg NC for SV per month

d) BI (Business Intelligence) Reports

Access Path- BI Reports can be accessed from my portal - My Analytics – BI

Following List of Reports are available in BI

Accounts Receivable Customer


New G/L Customer Reporting (Business Area wise)

o Customer Outstanding and Credit Mgmt. Report


o Customers Open Items summary
o Customers: Age Analysis based on posting date wise
breakup
o Customers: Balance Overview
o Customers: Overdue Age Analysis Based on Net Due Date

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18. Transactions Systems for TM / SO

New G/L Customer Reporting (Profit Centre wise)

Customers Open Items summary


o
Customers: Balance Overview
o
Customers: Overdue Age Analysis Based on Net Due Date
o
● Customer Master Data Details
LPG Sales
Customer Care
Customer Reports
o Analytics based on Interaction Type - LPG Consumers
o CCS Reporting - Dashboard
o CCS: Report on Customer Satisfaction Score
o Consumer Interactions as on Key Date
o Consumer Interactions vis-a-vis LPG Consumers
o Interaction Type wise with RRI -TOP N (LPG)
o Interaction Wise Feedback Rating
o Interaction wise detailed Report
Distributor Reports
o CCS - Distributor Complaints Report

Customer Master Reports

● Customer Master Details - Sales Area Data


● Customer Master- General & Company Data Report
● Customer Master- Partner Function Report
● Customer Master-Communication & Contact Data Report

LPG Inspection Reports

● LPG Inspection Reports - Details


● LPG Inspection Reports - Summary

LPG PDP Reports

● LPG PDP: Indent vs Supply report for a period (No. of Cylinders)


● LPG PDP: TST V/s TDT Report - Ratings
● Target Supply Time (TST) Report for HQ
● TST vs TDT ratings of Distributors - Monthly Analysis with %age
● Target Supply Time (TST) Report for HQ

LPGNEXT REPORT
Consumer Analytics

o LPG Consumer Master: Control Query – useful to get customer


details of sales area/territory.
o LPGNEXT – Consumer Details
o Multiple Connection details - Statewise

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18. Transactions Systems for TM / SO

o New Connections Released (Domestic) thru Ration Card


o Statewise Consumers As on date
o Statewise DBC Consumers As on date
o Statewise New Enrolments - Month / Cumulative

DBTL Reports

Finance
o LPGNEXT DBTL - Cash Transfer of Advance
o Subsidy format for PPAC claims
o Subsidy format for PPAC claims (From Dec - 2016)

Day end Reports

o Day End Refill Order Summary Report with Cylinder Stocks


o Day End Refill Order Summary Report with stocks - HQ
o LPG Inventory and Sales for Non Domestic
o Refill Delivery Summary Report for a selection Period

Digital Transactions

o Digital Transaction Progress Report – To monitor Digi-


tal/Pay&Book Transactions
o LPGNEXT Digital Transaction Summary

Distributor Transaction Posting Reports

o Equipment Recovery Posting Details

Epic Reports

o Total Sales and Sales with State Subsidy

KYC New Connections

o KYC Control Query (Other than cleared WL - Status 7)


o KYC Status wise Summary
o LPGNEXT - Ujjwala Summary Report
o Pending KYC - WL ( Cleared for Release of new connection )
o UJJWALA KYC MONITORING REPORT

LPG Refill Order Pending Reports

o LPGNEXT Detailed Pending Refill Order Report (Consumer


ID Level)

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18. Transactions Systems for TM / SO

o Refill Pending Order Age Analysis Reports (Control Query)

Mobile Nos

o Mobile/Landline Registration Details


o Mobile/Landline Registration Details: BOTTOM N

Refill Sales
o Commercial Refill Sales for a Selection Period
o Domestic Refill Sales Pattern - No cycles delivered in a month
o Domestic Refill Sales Summary - Monthly (control query)
o LPGNEXT - Refill Sales Report (Commercial)
o LPGNEXT - Refill Ratio Report for a Selected Period
o LPGNEXT - Refill hourly Delivery report for Selected Period
o Refill Consumption Pattern Report (From 01.04.2016 Onwards)
o Refill Sales Analysis Reports
o Refill Sales Summary Report for a selection period

SV Master Details

o DBC Releases for a selection period


o NC released for the selective period (including Nil Cases)
o New Connections released during selection period
o SV Master details - Consolidated Report
o SV Master details for a period

Subsidy Opt Out Reports

o LPGNEXT - Subsidy OPT OUT Report

TV Master

o TV Master (Deposit)
o TV Master details for a selection period

Target Delivery Time (TDT) Reports - NEW

o LPG Refill Target Delivery Time Reports - Control Query

Ujjwala Connection Reports

o LPG NEXT Ujjwala Loan Details Report: No. of Refills


o State Scheme Deposit Charges Report
o State Scheme Loan Details Report
o State Scheme Loan Details Report: No of Refills
o Ujjwala Deposit Charges Report

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18. Transactions Systems for TM / SO

o Ujjwala Dormant Consumer Loan Status Report


o Ujjwala Dormant Liability Report (Finance)
o Ujjwala Loan Details Report
o Ujjwala Loan Status Summary Report (Sales)
● DBTL - Bank Mandate Request Status Report
● DBTL: Aadhar Seeding Report - Day Wise Cumulative
● LPGNEXT - Cash Transfer Details - Advance/ Subsidy
● LPGNEXT Detailed Cancelled Refill Order Report (Consumer ID
Level)
● LPGNEXT SMS Failure Detailed Report
● LPGNEXT: Direct Cash Transfer - Aadhar (UID) Status
● Per Capita Consumption & COM/DOM Ratio

Pricing condition reports

● Condition Value Report (April 2017 Onwards)


● Condition Value Report (Full period-not on BIA)
● Condition Value Report - Condition Type Exclusion
● Sales Tax Report - Detail
● Sales Tax Report - Summary

RSP Reports

o Retail Selling Price (RSP) Report - Master Query

 BPC: Ship-to (Qty, Vol, Wt.) (MCSI - S505)


 Business Plan Target vs Achievement: LPG
 Customer Master Control Query
 Daily Sales Report (MCSI - S510)
 LPG - Commercial / Domestic Ratio - (April 2009 onwards)
 LPG - Optimum Inventory at Distributors (OID) (March-2021 on-
wards)
 LPG - Sales Performance Measure - (April 2009 onwards)
 LPG-ERV/Delivery Analysis
 Sales Analysis - LPG - (April 2009 onwards)
 Sales Overview BPC (NEW)

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18. Transactions Systems for TM / SO

e) Accident Reporting & Insurance Claim (Should be in separate chap-


ter)

Introduction: All the three OMCs put together insure all its LPG consumers (In-
cluding: Domestic, Non-Domestic, Exempted, FTL, etc.) Every year a fresh policy
(Public Liability Insurance Policy (PLIP) is signed with any of the Insurance com-
panies. It should be noted that the distributor commission includes a recoverable
component of ₹0.27 per cylinder plus GST for the Insurance Policy taken by
OMCs. (PLIP)

Conditions to be satisfied for being eligible for the insurance claim: -

• Accident should be attributable to LPG

• In case of accident at customer premises, the consumer should be a reg-


istered customer with a distributor by way of Subscription Voucher or a
direct customer. In case of transporter, the transporter should have
signed an agreement with the corporation. Trucks taking supplies on Ex-
MI shall not be covered by the PLIP.

• Insurance benefit is paid by Insurance Company as per policy subject to


limits finalized in the Policy document. Present limits are as under: -
o Medical expenses Rs. 2 lacs per person and Rs 30 lacs per event
o Property damage Rs 2 lacs per event
o Death Rs 6 lacs per person
• Claims should be lodged with the insurance companies immediately fol-
lowing the incident.

• Processes laid down by the corporation should have been followed in the
operations. E.g., BPC consumers using HPC DPR shall not be covered for
the insurance. A transporter carrying cylinders to destination other than
the distributors Godown shall not be covered for the insurance etc.

Coverage Under the Policy:

1. Whilst the filled LPG cylinders are carried out of the bottling plant.
2. Whilst the filled LPG cylinders are in transit in the hands of approved
transporters.
3. The policy will include the filled cylinders stored in the distributor’s
premises. The policy will also include cylinders stored at authorized retail
outlets/ any authorized point of sales (POS) etc. The word ‘authorized’

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18. Transactions Systems for TM / SO

shall mean having valid agreement/ MOU with LPG distributors/ Oil
Marketing Companies.
4. Whilst the filled cylinders are in transit from Oil Marketing Compa-
nies/distributor’s premises to registered customer’s premises/ by cus-
tomer under cash and carry system. The movement will cover direct sup-
plies of LPG cylinders/ Free – trade LPG (FTL) cylinders in transit to
customer by distributor and indirect supplies through any authorized
Point of Sales (POS) having valid agreement/MOU with LPG distribu-
tors/ Oil Marketing Companies etc; and/or whilst the filled and empty
cylinders are in transit from registered customer/ by customer under
cash and carry system, to the distributor’s premises/ POS / concerned Oil
Marketing Companies. The movement will also cover LPG cylinders/
Free – trade LPG (FTL) cylinders in transit from customer and indirect
supplies through any authorized point of sale (POS) having valid agree-
ment/ MOU with LPG distributors/ Oil Marketing Companies.
5. Whilst the filled LPG cylinders are being used/lying in the registered cus-
tomer’s premises. However, the clause of registered customer premises
will not apply for Free – trade LPG (FTL) customers as the customer are
enrolled based on only proof of identity. Cash memo issued by authorized
LPG distributor/ any authorized point of sale (POS) having valid agree-
ment/ MOU with LPG distributors/ Oil Marketing Companies will also
be the base for insurance cover for LPG cylinders/ Free – trade LPG
(FTL) cylinder customers.
6. Whilst the empty cylinders are being carried back to the bottling plant.
7. Whilst arising out of the use of LPG supplied by the insured / distributor
or POS authorized by insured in Reticulated system, Community Kitch-
ens, other applications like geysers, lighting, generator sets and irrigation
pumps etc.
8. Whilst the cylinder is being connected to LPG installation or being dis-
connected from LPG installation.
9. LPG used in Educational Institutions, Research Laboratories, Govt./Mu-
nicipal Hospitals, Midday meal schemes, Social Welfare Institutions be-
ing run for Child welfare/women welfare / social welfare Institutions
(Children homes, Old age homes, and homes for disabled persons etc.)
10. Restaurants, Hotels, private Hospitals / Clinics, Poultry Farms, Grain
drain, brick kilns, Ceramic Industry, Agricultural applications, cottage
Industry, heat treatment, Glass Industry, any other Industry using LPG.

Standard Operating Procedure in case of LPG accident:

1) Action by Sales Officer:

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18. Transactions Systems for TM / SO

i. Intimate concerned Territory Office immediately upon receipt of the


knowledge of the accident giving all the details and probable cause of the
accident who in turn will inform State/Region & HQ.
ii. First information report should be submitted in HSSE Portal
(https://www.bpclhsse.com/login)(If the accident site is in close vicinity,
visit the site and collect as much primary information as possible. Also,
on the day of FIR submission, intimate to the insurance company thru
email or thru the procedure laid down by the insurance company. Advise
concerned distributor to inform his insurance service provider (in writ-
ing).
iii. Within a reasonable period, conduct a Detailed Investigation of the inci-
dent along with investigation team lead and prepare report as per the
LPG Accident Format A (support with Photographs, Witness statements
and copies of Police Report and Fire Station Report), prepare Claim Inti-
mation Format A & B and facilitate TM with Format B. (Annexure)
iv. Submit the DIR in HSSE Portal and submit required documents (List of
documents required is given by the insurance company based on the na-
ture of the accident) to the insurance companies thru the procedure set
by them. “Insurance tracker module” in BPCL HSSE portal. (user manual
insurance tracker module as Annexure)
v. Create the Vendor code in the name of the consumer/victim/next of kin
(As applicable) after the compensation amount is approved by the Insur-
ance company.
vi. Get signature of the consumer/victim/next of kin (As applicable) on SV
(Settlement voucher) and DV (Discharge voucher) or Complete the pro-
cedure for disbursement of the compensation as per the procedure set
out by the insurance company.
157. Action by Territory Manager

i. Intimate to State, Region, and HQ immediately on receipt of the infor-


mation. In case of fatalities, in addition to intimation a brief report must

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18. Transactions Systems for TM / SO

be sent immediately by TM to State, Region and HQ for informing to


Ministry.
ii. In case of Major incidents leading to fatalities occurred at customer/
distributorship premises and transportation in transit as per safety circular
dated 09.10.2023, The investigation team shall be formed by the Territory
Manager where the incident/ accident has occurred within 48 hrs of the
FIR logged by the sales officer. The investigating team shall be a two-mem-
ber team for the following categories:

Investigating
Occurred at Team Lead Investigating Member
Customer/ Distributorship Other State HSSE Sales Officer of the accident lo-
Premises In charge cation
Other State HSSE Sales Officer of the accident lo-
Distributor Premises In charge cation
Transport in transit (Bulk/ Other State HSSE Plant HSSE Officer responding
Packed) In charge the incident
iii. Prepare Accident Report as per Format B in consultation with investiga-
tion team. (Annexure)
iv. Asses the requirement of extending immediate relief of Rs 25,000/- as
per the provisions available in the Policy. However, such relief must be
provided to the victims only in case of hospitalization and subject to sub-
mission of the “Immediate Relief Certificate” to the Insurance Company,
duly signed by the Territory Manager, clearly mentioning in whose name
the immediate relief must be given.
v. Follow up for submission of all the documents to the Insurance Company
such that the documentation is completed within 2 months and maintain
follow up till the Claim is settled.
vi. In case any department is not giving required report as per the insurance
company, Request the department by way of official correspondence.
vii. Follow up for disburse of the Claim amount to the beneficiary.
viii. Records to be maintained at Territory office for future reference.

158. Action by Marketing Managers (MM) (Role Holders) at State Offices

i. Maintain database of accidents/insurance claims at State Office Level

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18. Transactions Systems for TM / SO

ii. Assist in accident analysis and preparation of quality inputs for Format
A&B
iii. Monitor and Follow-up with SOs/TMs for closure of the cycle
iv. Follow-up with HQ/Locations for disbursement of settled insurance
claims

f) CRM – SalesBuddy

CRM stands for Customer Relationship Management, and a Service CRM (Cus-
tomer Relationship Management) is a system or software that helps businesses
manage their interactions and relationships with customers in the context of service
and support.

In BPCL we use Salesforce CRM customized as per needs and requirements of cor-
poration and named as SalesBuddy and is one of the leading customer relationship
managements (CRM) platforms in the market. It provides a comprehensive suite of
tools and functionalities to manage sales processes, customer interactions, and
overall business growth.

SalesBuddy Login details for BPCL users:

Login to SalesBuddy account can be done either in Salesforce mobile app or through
web portal https://login.salesforce.com/

Please follow following path to do login in Mobile application:

• Use custom domain

• Enter "bharatpetroleum"

• Use BPCL employee’s login

• Enter username and password

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18. Transactions Systems for TM / SO

Detailed overview on functionalities and usages of Salesforce (SalesBuddy) CRM:

1) Customer Data Management: Salesforce serves as a centralized database for


managing customer data. It allows businesses to store and organize customer
information, including contact details, communication history, purchase his-
tory, preferences, and more. The platform provides a holistic view of each cus-
tomer, enabling personalized interactions and targeted sales strategies.
159. Sales Automation: Salesforce offers robust sales automation features to
streamline and automate various sales processes. It includes lead management,
opportunity management, and sales forecasting. Sales representatives can track
leads, qualify opportunities, assign tasks, set reminders, and collaborate on
deals within the platform. Automation helps improve efficiency, accelerate sales
cycles, and increase productivity.
160. Contact and Account Management: Salesforce enables businesses to manage
contacts and accounts effectively. Sales teams can track and manage relation-
ships with individual contacts and link them to specific accounts. This ensures
a comprehensive understanding of customer interactions and allows for tar-
geted sales activities.
161. Communication and Collaboration (Chatter): Salesforce provides communi-
cation and collaboration tools to facilitate effective team collaboration and cus-
tomer engagement. It offers email integration, call logging, and note recording

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18. Transactions Systems for TM / SO

to track and manage all customer interactions. Additionally, Salesforce Chatter,


an internal collaboration feature, allows team members to share information,
discuss deals, and collaborate on projects.
162. Marketing Automation: Salesforce includes marketing automation capabili-
ties through its Salesforce Marketing Cloud. Businesses can create, execute, and
track marketing campaigns across various channels, such as email, social media,
mobile, and web. Integration between the CRM and marketing automation plat-
form ensures a seamless flow of data and enables personalized marketing cam-
paigns based on customer insights.
163. Reporting and Analytics: Salesforce provides robust reporting and analytics
tools to gain insights into sales performance and customer behaviour. It offers
a wide range of pre-built reports and dashboards, allowing businesses to track
key metrics, monitor sales activities, and measure the effectiveness of sales
strategies. Customizable reports and real-time analytics empower data-driven
decision-making.
164. AppExchange and Integration: Salesforce offers the AppExchange market-
place, which provides a wide range of pre-built and customizable third-party
applications that integrate with the CRM platform. This allows businesses to ex-
tend the functionality of Salesforce by integrating with other business tools and
systems, such as ERP, customer support, or e-commerce platforms.
165. Customization and Extensibility: Salesforce is highly customizable to meet
specific business needs. It provides a point-and-click interface, known as
Salesforce Lightning, to customize the CRM without requiring extensive coding.
Users can create custom fields, workflows, and page layouts tailored to their
unique requirements. Salesforce also offers APIs and development tools for
more advanced customization and integration.
166. Mobile Access: Salesforce offers mobile applications for iOS and Android de-
vices, allowing sales representatives to access customer data, manage leads, col-
laborate with team members, and stay productive while on the go.

Salesforce CRM is known for its scalability, flexibility, and extensive ecosystem of
products and integrations. It caters to businesses of all sizes, from small businesses

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18. Transactions Systems for TM / SO

to large enterprises, across various industries. The platform's ability to centralize


customer data, automate sales processes, and provide actionable insights has made
it a popular choice for businesses looking to optimize their sales and customer re-
lationship management efforts.

What it is for SO/TM:

 Distributorship / Customer Inspection:


o Godown and Showroom inspection are to be done through salesbuddy
platform only.
o Create “Beat Plan” in salesbuddy. Create new visit in beat Plan with
scheduled date and time of visit.
o Check in / check out will capture lat-long of the customer.
o SO can do Godown and Showroom inspection.
o MOM with the customers can also be created.
o Sr. level inspection format for TM and Sr officials.
 Lead / Opportunity Generation:
o Lead generation and conversion of the lead in opportunity can also be
done.
 LPG Events
 Customer Complaints (Cases)

Handling Customer Suspense Clearing in SAP (ZCUSTSUSCLR)

BPCL has implemented a structured approach to handling customer receipts by us-


ing dedicated bank accounts for each SBU, integrating Virtual Account
Numbers for seamless transaction processing. Customers transfer funds to BPCL
via RTGS/NEFT, using their designated virtual account number.

The bank provides an XML file containing transaction details, which undergo SAP
validation checks. If the transaction passes, it is posted to the customer account.
In case of validation failure, the transaction is flagged as an error and requires
manual intervention.

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18. Transactions Systems for TM / SO

The ZCUSTSUSCLR application is designed to streamline this manual inter-


vention by establishing a workflow-based system for efficiently handling re-
quests.

Workflow Overview

The ZCUSTSUSCLR application follows a structured four-tier approval process


to manage error transactions:

1. RH01 (Sales Officer/Area Manager) – Creates request.

2. RH02 (Line Manager of RH01) – Approves or rejects the request.

3. RH41 (BPEC Verifier) – Verifies request and uploads additional docu-


ments if required.

4. RH42 (BPEC Approver) – Closes request and processes the ARR docu-
ment.

Request Creation (RH01/RH11)

 RH01 generates a request for correction.

 Required parameters (UTR No. or Value Date) must be input.

 The system displays all stuck error transactions for further action.

 Additional fields appear if Error Code J is selected, requiring a Sub Cat-


egory and, in the case of refunds, a Refund Reason.

 The system applies several validations before request submission:

o Remarks field is mandatory.

o Customer Code must exist in the customer master.

o Correct Area Code must be assigned.

o If refund is requested, Correct Bank Account details must be pro-


vided.

Once validations are completed, the request is either saved (editable) or submit-
ted (non-editable).

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18. Transactions Systems for TM / SO

Approval Process (RH02/RH12)

 The request moves to RH02's inbox for approval.

 RH02 can approve, reject, or send for review (with mandatory com-
ments).

 All supporting documents must be reviewed before approval.

Verification Process (RH41)

 Once approved by RH02, the request moves to RH41 for verification.

 RH41 locks the request upon selection to prevent parallel processing.

 The verifier can approve, reject, or send back for review.

 Additional documents can be uploaded at this stage.

 Comments are mandatory for rejections or reviews.

Final Approval (RH42)

 Once verified, RH42 reviews and either releases or sends back for re-
view.

 If released, the ARR document is posted to the customer's SOA.

 If the subcategory is Customer Refund, an additional document posting


step is required, which must be performed by a different RH42 approver.

This workflow-driven automation enhances transparency, reduces manual in-


tervention, and ensures accurate customer suspense clearing.

 Inter Business Area and Inter Customer Code Fund Trans-


fer Facility through Tcode - ZARDCN
This Tcode is used when The sales officer/ area manager of the sales office needs
to transfer funds inter business area or inter customer code. (Annexure – user
manual for ZARDCN)

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18. Transactions Systems for TM / SO

 Debit Note raised to customer through Tcode - ZARDCN


This Tcode is used when The sales officer/ area manager of the sales office needs
to debit the customer for following cases:

a. MDG penalties
b. Reconstitution Fees

 Transfer of Amount from Special GL to Normal GL and vice


versa for any customer through Tcode - ZARDCN

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18. Transactions Systems for TM / SO

This Option is used when sales officer/Area manager want to transfer funds
from special GL to Normal GL and vice versa for a customer.

Transportation activity restriction for ERV open at plant

Process is developed to strengthen the governance of inventory being transported


from distributor to plant. As a process, check is implemented to stop following ac-
tivities for a transporter if empty LPG cylinders are not returned to the plant in
specific period.

• Restriction on allocation of transporters all vehicles at all LPG plant

• Restriction on shipment creation for transporters all vehicles at all LPG plant

• Restriction on shipment cost processing for transporter all vehicles at all


LPG plant

ERV acknowledgment date entered by distributor in LPGNEXT application while


ERV acknowledgment will be treated as reference date to identify ERV open at
plant. ERV which are not acknowledged by plant after specific period from
LPGNEXT acknowledgment date will be considered as open ERV.

Identification of open ERV and mail alerts to role holders

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18. Transactions Systems for TM / SO

LPG HQ roles holders are enabled to carry out following activities related to open
ERV through background job using transaction ZLPG_OPNERV_CHK.

• Mail alert to transporter on 5th day from ERV acknowledgment date (CC to
TM/PM)

• Mail alert to transporter on 13th day from ERV acknowledgment date (CC to
SORH/TM/PM)

• Identification and capturing of open ERV in separate table for subsequent


check

Identification TM/ TC (PM) will be based on customer code and corresponding


master maintenance in ZCOMLPG application.

 ERV Mismatch Exception:


TM will be able to maintain any exception for ERV Mismatch for 15 days post which
the mismatch shall be resolved thru T code ZLPDPIC.

Beyond 15 days of TM, a new T code ZBPLPGEXECPHQ has been given to HQ to


maintain exceptions based on approval from TM/SH.

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19. Sales officers Roles and Responsibilities

Chapter: Sales Officers Roles and Responsibilities

LPG Sales Officer: Roles & Responsibilities Expectations

LPG sales officer is the most important person & officer in the entire value chain of
LPG business. He holds a key position as field officer in a corporation. In some dis-
tricts our sales officer must represent OMCs as DNO (District Nodal Officer). Sales
officers are the representatives of our corporation responsible for building and
maintaining long-term relations with our valued customers.

• Why does the Sales Officer position exist?

• Within what limits and with what objective?

• Business Plan Execution

• Ensure implementation of minimum Service Standards

• Safety - An absolute reality

• Increase in Market share / Growth.

• Represent OMCs as DNO (District Nodal Officer) as required.

• To develop and explore new Business Opportunities

• Nurture and guide high performing Distributors and prestigious Com-


mercial/Industrial customers.
 Train, handhold and nurture new distributors/newly commissioned distribu-
torships

• Understand Customer needs and Dynamic Market demand with an ob-


jective to achieve customer satisfaction.

• New initiatives

• To train LPG Distributors and staff

• Brand Management
 A bridge between Corporation and Distributor Network – Need to communi-
cate and align the distributor network to corporations action plan and vision
and ensure that is implemented in true letter and spirit and ground level and
also to communicate with corporation the actual situation/reality at ground

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19. Sales officers Roles and Responsibilities

 and so that any action plan or initiative planned for future takes care of ground
reality thus ensuring customer satisfaction and success for any new initiatives.

Following are some Key responsibilities for LPG Sales officer.

HSSE MANAGEMENT

• To ensure 100% PDI

• To ensure 100% Mandatory Inspections

• To educate the Customer on safe usage of LPG

• To conduct periodic inspection/audit of Commercial/Bulk customer


premises.

• To ensure all marketing inspections are conducted in time as per guide-


lines

• To resolve distributor grievances.

• To educate the distributors/staff on safe handling of cylinders

• To educate the distributor/staff on identification of spurious equipment


CUSTOMER SERVICE

• Ensure NIL backlog.


• Timely refill of 100% sound cylinders as per customer’s desire

• Enhance infrastructural facilities at the distributorships in line with the


increase in customer population.

• Investigate and redress customer complaints within the stipulated time.

• Interact with consumers to assess the service rendered by the distributor


for timely cylinder delivery, courtesy, mechanic's service.

• Assess the changing needs of the customers and provide feedback.

• To co-ordinate with the plant and give feed back to them regarding qual-
ity of cylinders /washer leak/improper sealing/ underweight etc.

• Visit to Commercial/Bulk Customers.

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19. Sales officers Roles and Responsibilities
• Timely closure of customer complaints on portal/ SalesBuddy/ PG Portal
etc.
DISTRIBUTORSHIP MANAGEMENT

• Implement company Policies and Guidelines

• Motivate, guide, and advise distributors the avenues of profit-making ar-


eas in LPG marketing (i.e., Profitable management of distributorship

• Business analysis/reduction of overheads etc.

• Reallocate /interchange the areas/customer holding of the distributor for


‘Better Management’ of distributorships.

• Implement Minimum service standards, Visible Manifestation and


Housekeeping standards at showrooms and Godown of all distributors.

• Coordinate with supply point to ensure supplies maintained.

• Recommend reconstitution/re-organization of Distributorships and the


area of operation in accordance with company's policy.

• Maintain records relevant to distributorship such as basic information


on proprietorship /partnership/address, area of operation, staff set up,
date of commissioning, Godown capacity, supplies and its value, targets,
CCOE's licenses, reconstitution/re-organization of operation, other com-
panies’ activities in the area and any other point of interest.

• Train delivery executives, mechanics, Godown keepers and office staff at


distributorships for courteous behaviour.

• Inventory Control of equipment as per norms

• Conduct LPG safety clinics, LPG Panchayat etc.

• Conduct stock check and reconcile with Physical and system.


BUSINESS DEVELOPMENT

• Business Plan Execution

• Identify potential locations for commissioning of Distributorship.

• Analyse trade trends from time to time updating information on Town


improvement and Industrial Development, short/long term demand
forecasts.

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19. Sales officers Roles and Responsibilities

• Keep abreast of developments in the markets likely to have bearing on


our trade and image.

• Provide technical expertise in respect of Domestic/ Commercial/ Indus-


trial/Bulk customers and advise where required and ensure their imple-
mentation.

• Proper closing of sales calls/ potential lead conversion into business

• Interact and canvass with non-domestic packed/bulk customers on a reg-


ular basis.

• Organize seminars for Bulk/packed LPG customers.

• Monitor speedy commissioning of distributorships as per policy guide-


lines.

• Conduct feasibility survey for identifying potential locations for LPG dis-
tributorships.

• Assist the distributor in selection of showroom and Godown sites.

• Explore new avenues for LPG business – ILD/PLDs

• Implement sales promotional activities and provide feedback on cus-


tomer response.

• Keep the distributor network together in the changing scenario.

• Conduct the jobs effectively and timely as per DR&A (Decision Rights &
Authorities) and other applicable guidelines as and when required.
Also, the sales officer must keep himself updated for any changes in guidelines, pol-
icies etc. from time to time and needs to communicate with Distributors/ customers
etc. on time. Also, he must follow Brand guidelines to communicate to custom-
ers/distributors or to do any social media posts etc. Our LPG sales officer is a real
brand ambassador for corporation in his respective market.

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19. Sales officers Roles and Responsibilities

Do’s and Don’ts for Sales Officers

DO’S

i. Plan a weekly Program Before the week starts, the Sales Officer
should have a general program of what he/she intends to do during the
week.
ii. Movement Plan Once you have done that, the Territory Office must be
advised of your plan by sending the weekly movement plan to the Terri-
tory Office without fail.
iii. Statistical and Other Data
iv. Self-Analysis At the end of every week, make it a practice to spend time
on reviewing the activities of the past week.
v. Other Contacts Besides distributors and customers, maintain excellent
contacts with all Government Departments at all levels.
vi. Be Patient Patience is a virtue a Sales Officer must possess.
vii. SalesBuddy All activities to be captured using SalesBuddy on regular
basis.

DO NOTS

i. Do not Waste Time: Use it to the Best Effect You should carefully
consider the allocation of your time. The first major breakdown is be-
tween Distributors and Customers, and Government Officials.
ii. Do not commit delivery Without ascertaining the availability of the
product immediate, short-term, and Long-term-specially in respect of
customers you wish to sign a contract with.
iii. Do not be Complacent Even if you are on target or exceeding it, do not
ignore competitor’s activities.
iv. Do not Guess or Bluff Be accurate in collecting and reporting facts.
You are the “eyes and ears” of the corporation.
v. Do not Delay Replies While all correspondence must be answered
quickly, particular care must be taken to ensure that reply is sent by you
in time.

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19. Sales officers Roles and Responsibilities

vi. Do not Sulk If you have any problems or difficulties, either official or
personal, contact your line manager and discuss them with him/her, with
the object of seeking assistance in solving them to the extent possible.

An Introduction to Salesmanship

SALESMANSHIP IS BOTH ART AND SCIENCE.

In our business it is vital that we appreciate the meaning, importance, and value of
salesmanship.

Salesmanship - call it the art and science of selling - concerns firstly, the matter of
developing satisfactory relationships with other people, i.e., between YOU and the
customer and the knowledge we have of human nature, i.e., YOUR knowledge of
people’s ways and feelings. Secondly, it concerns the attitude we have to this busi-
ness of selling, i.e., YOUR attitude to selling and what you can do to improve your
selling abilities.

Salesmanship as an art: Customers are human beings, individuals like you and
me. So, the first thing to remember is that salesmanship concerns itself with the art
of treating many widely differing types of customers in the sort of way they want to
be treated. If you, as a buyer yourself in the shopping centre near your home, are
put off by salesman who are apathetic, discourteous, disorganized, cue less, over-
talkative and careless about your interests, how do customers react to you when you
visit them / How far do you shine in the opposite direction / How enthusiastic,
courteous, business like knowledgeable, attentive and genuinely interested in the
customer are you ? Each one of us has a natural personality. There is a distinct dif-
ference between this and a professional sales personality which each one of us can
learn to develop and cultivate over the years. Cultivating this professional sales per-
sonality can be a stimulating adventure, since Sales Officer must lead, encourage,
and inspire them so that in times of adversity / shortage, they stand by us (BPCL).

Salesmanship as a science: Our attitude to selling is all-important. Do we treat


salesmanship as a science? How well are YOU geared to present to the customers

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19. Sales officers Roles and Responsibilities

the benefits of our products? This implies more than just knowing about the prod-
uct. It implies knowing what products will do for each individual customer and in-
volves taking a great deal of genuine interest in the customer’s actual needs and
problems.

How up-do-date are YOU? How well organized are YOU? How often do you go to
an interview and play it “Off the Cuff”? A study of salesmanship may reveal to you
the great need there is for a better organization of one’s work and time, for more
planning and preparation and for a closer and critical look at present methods of
tackling sales situations. It may help you to be more sales minded.

To sum up, the study of salesmanship should enable us to be “more human” in our
approach and contact with customers, and more scientific in our attitude to selling
and to organizing and planning our work. This self-improvement enables us to hear
customers with more attention and understanding, to talk to them more interest-
ingly and purposefully and to observe with greater and renewed curiosity the count-
less selling aids which exist but which we may be ignoring. Remember authority
derives from knowledge and competence and not from social status, superior per-
sonal education or from your official position in the company. In this business the
customer, dealer and distributor are often more expert than you are, hence respect
them.

The study of salesmanship reiterates the need for a good foundation - INTEGRITY
-, then an ability to get on easily with people, an ability to get people to like you
(YOU must like them FIRST), a capacity to help others with their problems (and
enjoy it too) and the ability to have an open mind for new ideas all the time.

Basic Factors for Success in Selling For all practical purposes, your success as a
salesperson is determined by three basic factors.

i. Your quality of salesmanship


ii. Your sales effort
iii. Your ability to organize yourself and your work.

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19. Sales officers Roles and Responsibilities

Qualities Required for Salesman Ship

i. Organise Yourself

- Look like a Sales Officer should - be appropriately groomed and dressed.


- Build up your energy.
- Know the company’s products and services.
- Study competitors’ policies, products, and supply sources/arrangements
in your area.
- Develop self-confidence and your speaking voice and mannerisms.
- Be enthusiastic in your work and show it.
ii. Organize your Area

- Know your customers, their business, and problems.


- Know who your potential customers are - and keep looking for more.
iii. Organize your Equipment

- Keep enough records to do your job efficiently, e.g., statistical infor-


mation on sales, not only ours, but most important are competitors’ sales
figures, marketwise, keep them constantly up to-date. Keep an indexed
notebook/file with other basic data on each call you have made.
- Arrange material in your car and briefcase neatly, for instant accessibil-
ity.
- Anticipate what material/records you will need and have it with you.
iv. Organize Your Time

- Take time to save time. A few minutes spent planning can save hours of
your time.
- Allocate your time properly between existing business and new business.
- Concentrate on productive calls, expect results, and get them.
- Do not let unimportant matters break your planned schedule.
- Your time is your most precious asset.
v. Organize Each Call

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19. Sales officers Roles and Responsibilities

- Consider what you already know about the customers or prospects. Then
build on that. Get as much additional information about him and his
business as you can.
- Find out:
▪ What is his source of supply - present or future?
▪ How much does he buy or would require?
▪ What is his financial status - ability to pay on time?
▪ What is objective. Know what you are after. Have a good reason
for making a call on a commercial or direct consumer. Plan
your approach - how are you going to catch his interest? Pre-
pare your talk - know what you are going to say. Have answers
to questions like these ready:
▪ How can I convince him that BPCL’s service is more beneficial
to him.
▪ How can I make my statements and approach convincing?
▪ By having a definite plan before you see each prospect or cus-
tomer, you improve your chances of success.
THE APPROACH

Gaining an Interview to make a sale, you must have an interview, securing which,
with some prospects, is more difficult than with others. Very often the hardest pro-
spects to meet are the best prospects. With customers it is better to seek an appoint-
ment, for the following reasons:

Conduct during the Approach Having gained the interview, you must gain the
prospect’s attention and interest. Let us look at a few of the diverse types of
“Openers” you may use:

- Opening with a compliment - there is always something you can praise


about the prospect - look for it but Do not Flatter - your compliment must
be sincere - otherwise Do not do so.
- Opening with a question - you work out a question which will capture the
prospect’s attention and arouse his interest. It is important that your
question be about something he really wants -something that is attaina-
ble - it is also important that the question be phrased to assure a “yes”
answer - which makes the atmosphere of your approach favourable, e.g.,
if you are approaching a fleet operator - you might say “Mr. Kumar,

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19. Sales officers Roles and Responsibilities
-
would you be interested in reducing your maintenance and running costs
without any additional investment”? It is hardly likely that he will answer
“No” to that.
- Opening with an interesting fact - by which you try to catch the prospect’s
full attention and arouse his interest. It should be something which re-
lates to his business and on which you base your sales appeal.
Using a reference - If you can say that someone whom the prospective knows
and is friendly with, has had superior results in using your products/services, it
is an effective opener. It is highly likely that the prospect will want to hear your
story.

Offer of services - In the case of Industrial consumers, the offer of a plant survey
by technical staff frequently provides an opening for you to explain in detail
what advantages your products and services can afford him. Build a solid foun-
dation on every side by using the ‘Rightly Approach,’ therefore:

- Be Prepared Adequate preparation builds self-confidence, plan your


strategy before you go.
Watch Your Conduct

i. Be ‘yourself,’ avoid appearing stiff, formal, or ingratiating.


ii. Be friendly- smile.
iii.Do not argue- be tactful.
iv. Sell yourself - convince your prospect that you are his friend and well-
wisher.
v. Be adaptable, yet persistent. Adjust your tactics as needed.
vi. Eventual sales often are ‘made’ or ‘lost’ in the first few minutes.

Capture Your Prospect’s Attention


i. Get his undivided attention.

ii. Do not talk if customer is not listening.


iii. Try to get him away from his business premises for important
business discussions.

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19. Sales officers Roles and Responsibilities

THE DEMONSTRATION

“Demonstration.” This covers the presentation of the sales features of your


product or service. It deals with your efforts to persuade the prospect to buy. In
simplest terms, the actual selling process consists of:

- Finding out what your prospect wants.


- Convincing him that his wants should be satisfied.
- Convincing him that your proposition will satisfy his needs.
He buys benefits, not things. Most of the products and services we sell do not
lend themselves readily to physical demonstration. So, in our business our
demonstration is primarily an oral presentation. Sometimes assisted by suitable
pamphlets or brochures. Therefore, the presentation should be carefully
planned before making it, placing the benefits to the consumer is of prime im-
portance. You should understand your proposition thoroughly by knowing your
products and services and what they will do. Really adequate preparation for
each demonstration, includes amongst other things, these considerations:

- Why should prospective consumers buy our products? There are other
oil companies selling related products and services.
- How can I make him feel the same way about my products as I do?
- What experiences can I tell him about, that will help him visualize our
products or services profitably at work for him?
- What sales tools can I use and how will I use them?
A vital point to remember is “Never run down your competitors, their products
or services.” This is negative selling. In doing so, you may be implying that your
prospective customer has been a fool to buy from them, A better method is to
sell positively. Tell what your products and services will do, and not what other
Companies products and services will not do

DO NOT TALK TOO MUCH

- Encourage your customer to talk. You can gain a lot by listening. How
else can you learn his buying motives and interests?

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19. Sales officers Roles and Responsibilities

- End your presentation when your customer is ready to buy. Do not talk
yourself out of a sale.
- Do not try to cover too much ground in one call.
- Tailor your presentation to the time available and interest shown.
- One product or service thoroughly presented will sell more effectively
than a rushed presentation of the entire program or line.
‘More sales are lost by too much talk than too little.’

Handling Objections
In earlier sections we discussed principles of selling. All that you want from
the prospective customer is his agreement or acceptance of your proposition.
This agreement is not always easy to get. Therefore, the subject “Handling
objections” that we are discussing here boils down to one thing i.e., how can
we go about getting agreement or acceptance of our proposition by the cus-
tomer? And what can we do to overcome sales resistance?
It is logical and to be expected that a Sales Officer will encounter objection
during his selling work. If there were no objection to be encountered to the
sale, there would be little need for Sales Officers since the demand and desire
for the product could be obtained by advertising alone.
Those objections which are offered by the prospect should not be dreaded or
feared but may even be welcomed. At least, every objection indicates atten-
tion to your proposition by the prospect, and often reveals his true wants and
buying motives.
No one can expect to be 100 % effective in disposing of all objections that
may arise: therefore, you must be prepared occasionally to meet objections
which you cannot manage - when this occurs, lose gracefully and good nat-
urally to keep the door open for further sales contact with that prospect. It
may be that at a subsequent interview you can supply an answer, which was
not readily available, when the objection was first raised.

GENERAL PRINCIPLES IN HANDLING OBJECTIONS

Do not let the objection break the continuity of your presentation While making a
sales presentation when you are outlining the uses and benefits or our product and

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19. Sales officers Roles and Responsibilities

/ or service, if the customer stops you by bringing up an objection, try to avoid an-
swering it then. Say “I am coming to that “or “I am glad that you brought that up
and I will cover it in a few minutes” and go on which your presentation.

Learn to distinguish the valid objection from the fabricated one Two ways are rec-
ommended in which the Sales Officer can find the underlying cause of the hidden
objections:

i. Ask “Why”? Asking this question gets the prospect to expand on his ob-
jection, make his objection more specific, answer his own objection, and
indicate if there is another more important objection in his mind.
ii. Ask “In addition to that, isn’t there something else in the back of your
mind” or “Isn’t there some other reason which makes you hesitate”?
The valid objection must be overcome before you can make a sale- Real objections
require a satisfactory answer from you at some time during the interview. This an-
swer might take many forms including supplying additional information, correcting
misinformation, emphasizing other sales features to show how they offset the ob-
jection, etc.

Do not argue or flatly deny the objection- You cannot make sales by winning argu-
ments. When an objection is raised, do not get ruffled or take offence. Smile and be
friendly. If you contradict or flatly deny your prospect’s objection, he immediately
goes on the defensive. Do not make light of an objection - it may seem trivial to you,
but it is of real importance to the customer.

Make sure you clearly understand the objection. To do so, you may want to restate
it in your own words. You may want to ask the prospect for clarification. In these
ways you define the objection and bring it down to specific points, you gain time to
formulate your answers. It may also permit you to restate the objection in more
favourable terms.

TYPE OF OBJECTIONS

While all the various objections cannot be listed, we can analyse some im-
portant causes from which they arise:

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19. Sales officers Roles and Responsibilities

- Some objections arise from misconception - The customer may have mis-
taken impression about BPCL, its policies or products and services. Into
this general classification can be placed such objections as price, quality
of product and what the product will do for him, or unsatisfactory service
in the past - these are not profoundly serious objections and can success-
fully be overcome by effective sales presentation.
- Some objections arise from fear - Many people are afraid to act, make a
change or decide. In meeting objections of this type, the best strategy is
to build your customers’ confidence in you, and your proposition and in
himself. Point out that he can do what others have done and benefited
from. Quote and, if possible, bring your witness.
- Some objections arise from ignorance - For example, the customer who
is new in business, or the man who does not know about BPCL, its prod-
ucts, policies, services, and programs. Tell him about the Corporation,
its products and programs and show him how he will benefit by doing
business with you. Here again, it is important to build his confidence in
you and your proposition.
Some objections arise from your personality - These are sometimes hard to dis-
cover, because they are usually unspoken but nonetheless present. For example,
there may be something about your voice which grates on this customer’s nerves?
How about your breath? Do you have mannerisms, which might cause certain cus-
tomers to dislike you? EXAMPLE OF A SPECIFIC OBJECTION: HOW TO HAN-
DLE IT

Objection: “I had a bad experience with your company three years ago.”

Possible Answer: “Is that so, Mr. Kumar? I am sorry to hear that, because we
try to do the right thing with all our customers. Please tell me what happened.”

Notes:

- Listen to the customer’s story completely. Just by letting him unburden


himself and listening sympathetically to his story, you increase your
chance of success, because it relieves his mind, releases pent up griev-
ances, and helps to make his mind receptive to your sales story.
- Usually there is nothing you can do specifically to remedy an old-time
grievance. If the unpleasant experience seems well grounded and not
used merely as a means of putting you off, it might be wiser not to try for
a decision from the customer on this first call. But call repeatedly, and

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19. Sales officers Roles and Responsibilities
you can overcome the customer’s objections eventually and gain his con-
fidence in you and the products and services you have to offer.
- Remember that a prospect with such an objection was once a customer
of ours, and if he is handled tactfully, and your presentation is well
planned, you may be able to win him over again.
Another way to handle objections, which has proved to be quite successful, is
called the “friendly third party” method. This method is based upon a com-
monsense approach of winning an argument without arguing. By using this
method, you never argue directly with the customer, but instead you bring in a
“Someone else,” who does the arguing for you. When you encounter an objec-
tion, you bring witness - a satisfied customer (Preferably in the same lines as
your prospect) who does a real selling job overcoming the objection. This
friendly third party is not actually present, but you are referring to him and his
experiences can exert a lot of influence as a convincer in disposing of objections.

EXPECT OBJECTIONS

- Objections are always with us. Anticipate them and be prepared with an-
swers.
- The better your sales presentation, the fewer objections you will encoun-
ter.
- Objections indicate attention on the part of the prospect - Often they in-
dicate true wants and buying motives.
- Admit your customer’s right to his opinion. Do not contradict. Have the
right mental attitude in meeting objections. Do not get ruffled or lose
your composure.
- Do not fear objections. They can lead to closing a sale.
- If there were no objections, there would not be any need for salespeople.
KNOW WHAT CAUSES OBJECTIONS

- Some objections result from lack of information or misconceptions about


the corporation’s products or the corporation.
- Some objections arise from fear - fear of making a change, or dislike of
deciding.
- Some objections arise from you personally - from your speech, appear-
ance, manner, attitude, etc.
- Some objections are merely invented - efforts to get rid of you.

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19. Sales officers Roles and Responsibilities
- Recognize that people have two reasons for not doing a thing - one that
sounds good, and the real one.
- By knowing the causes of objections, you can prevent some from arising
and handle the others more effectively.

The Close of Sale

The preceding sections consisting of the main phases of the sale have been leading
up to the step we shall consider now - “The Close.” The closing of the sale is the
desired goal of all your selling effort. Getting the customer to act is most important,
and it is at this stage that the salesperson sometimes fails. Many prospects have
been convinced of their need for certain products but have not bought because the
salesperson did not get them to act. They were “sold” but they did not buy. Promises
to buy are really unclosed sales: It is only when the Sales Officer secures an order
that he has closed the sale and kept competitors out.

When to close There is not one time but many favourable times during a sales in-
terview for closing. Do not feel that if you have missed an opportunity, all is lost -
you will have other opportunities.

Since the purpose of your interview is to win over the prospect, it is obvious that
you should try to close the sale as early as you can. As soon as your prospect is con-
vinced and ready to buy, you should try for a close, even if you have covered only a
few points of your planned sales presentation - Do not talk yourself out of a sale.
Which brings to us to the point that you can close a sale at any stage during your
interview if the prospect is ready to buy. In fact, you should attempt to close at any
point in your demonstration when conditions appear favourable.

Some of these favourable conditions will be revealed to you by the prospect himself
during the interview. These are usually called “buying signals.” An alert Sales Of-
ficer notes his customers’ general attitude, facial expressions, actions, questions,
and remarks, to judge when his prospect is ready to buy.

Since favourable opportunities for closing may occur throughout the interview, it is
understood that the Sales Officer should keep trying to close if his first attempts are

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19. Sales officers Roles and Responsibilities
not successful. Some of such early attempts to close may only be “trial closes” or
questions to see if the prospect is ready to buy. If he is, the sale can be closed then.
If he is not, it is not serious, the Sales Officer should continue with his presentation
and await a more favourable time. In all sales interviews, he will make several at-
tempts to close.

How to close There are several methods a Sales Officer can use in getting a prospect
to buy. Some of these are:

- Ask for the order - It seems obvious, but it is surprising how many fails
to ask for the order. This asking for an order should not be a blunt re-
quest, but should be worked into our presentation gracefully e.g. “You
will have seen, Mr. Kumar, how our product can serve you (here mention
the benefit to your prospect you have been emphasizing). Shall I arrange
to send some stocks to you”?
- Close on an objection - In the previous chapter, we discussed several
ways of overcoming objections are means of closing a sale, since they
eliminate obstacles in the customer’s mind which keep him from buying.
The “friendly third party” method, for example, is just as much a means
of closing a sale as it is of handling objections. When a prospect raises an
objection to your proposition, and you can effectively overcome that ob-
jection - you have an excellent opportunity to close the sale.
- Summaries - As its name implies, this method uses a summary of the
main sales points brought out during attention on the desirability of buy-
ing. It is an effective way of closing, coming as a logical conclusion to
your sales presentation. It is a straightforward way of closing a sale,
which permits the prospect to feel that he has not been subject to pres-
sure of trickery or been hemmed in by super-salesmanship.
- Offer the prospect a choice - Offering a choice between two alternatives
in either of which he will buy from you, is a god means of closing sales.
It moves the emphasis from the question of whether he will buy and as-
sumes that he will buy, thereby shifting the decision between your alter-
natives. These alternatives might offer a choice between two products,
two types of containers, two quantities, two times of delivery, or other
options.
- Use help when necessary - In an organization like ours, there are many
additional members of the sales team who are available to help as
needed. This does not mean that the Sales Officer should depend entirely
or regularly on other persons in the organization to close his sales for
him, but he would be extremely short-sighted if he does not use such help
for that especially desirable piece of business which he, himself, has been

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19. Sales officers Roles and Responsibilities
unable to close. The responsibility of closing a sale is always that of the
Sales Officer.
After the Close Let us consider now what the Sales Officer should do after he
has been given an order or receives a signed contract. When this happens, the
Sales Officer should wind up his business as quickly as possible and leave. By
“Winding up his business” we mean that he should make sure that there is com-
plete understanding between himself and the customer on all details of the sale,
such as: Price, quantity, time and mode of delivery, method of payment, etc. He
should assure the customer that he and the Corporation will perform to him
complete satisfaction, thank him for his business and leave.

GENERAL PRINCIPLES

- In our business, especially, high pressure is normally not desired since


we are not working for a one -time proposition, but rather a long-term
repeat sale program. Too much pressure for an order may endanger the
chances of securing the customer’s business on a long-term basis. Simi-
larly, a Sales Officer who is put off too easily will lose his prospects’ re-
spect and not secure much business.
- Again, in our business, it is extremely rare to secure a new customer on
one call. Our selling usually requires planned sales program involving
several calls before a prospective buyer is converted into a customer. You
should expect to call on some customers many times before one of your
closing attempts is successful.
- In an earlier section, we mentioned that you should have a reason for
every call you make. Many of your calls are to existing customers and you
are not always trying to sell them our products or services. If you have a
reason for the call, you have something to accomplish and often this re-
quires action on the part of the customer. Even though you are not trying
to get an order - you are still selling, and interviews of this nature also
should follow the normal sales pattern of approach, presentation and
close.
- The follow-up after the close is especially important in our business to
ensure the customer is completely satisfied and continues to buy on a
long-term basis. If complaints or difficulties arise, the Sales Officer
should exert even more effort to overcome them than he would have used
had they had arisen as objections at the time of making the sale - if he
does not do this, he may lose the customer he worked so hard to get. Re-
peated continued buying is the backbone of our business.

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19. Sales officers Roles and Responsibilities

- Since ours is a long-range repeat-buying program, do not forget the im-


portance of keeping your customer well disposed towards you. Do not
assume that because you won him over once, he will continue to buy
without any further effort from you.
- We all know that you cannot close every sale, but by applying principles
we have been discussing, you should be able to improve your percentage
of closed sales. By constantly improving your sales technique and by per-
sistently trying to do a better sales job, you cannot help but success in
selling, which brings us to an especially crucial point - Do not be afraid
to fail. Fear of failure has held back many a salesperson who let his fear
keep him from trying as hard as he could to success. Do not let your fail-
ures get you down. Take constructive measures to improve your selling
ability, keep on trying and see enough people to give the law of averages
a chance to work for you.
- In this series of articles, we have discussed selling and the ways in which
each of us can improve our salesmanship. Discussing or reading about
salesmanship does not bring real improvement in selling; that comes
only through applying these principles in our day-to-day contacts.
Under these circumstances:

- We can harp on a better service and prompt attention to the customer’s


need than competitors and, your ability to develop a relationship of con-
fidence and dependability with the customer.
Remember:

- That our distributor is not an employee of the Corporation but an inde-


pendent businessperson buying our products (and selling to customers).
Therefore, he is also our customer, and should be treated as such.
- That we are not only selling products, but also ideas which do not neces-
sarily give a benefit to the customer but must be “sold” to the customer
for other reasons.
- In the case of distributors, the essentials of following the Marketing Dis-
cipline Guidelines, and obtaining their full co-operation by overcoming
their resentment to the surprise/audit checks those must be carried out.

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19. Sales officers Roles and Responsibilities

Reputation Management Policy & Guidelines for acceptable usage of Social media

a) Reputation Management Policy

The general purpose of BPCL Reputation policy is to ensure we have the


knowledge, training, resources and

information channels to effectively leverage opportunities and control contingen-


cies. More specifically, this

policy will help us:

1. Enhance and Protect our Reputation

2. Spell out Protocols to follow

This policy may be referred in detail in Policies and Guidelines in Iconnect portal.

b) Guidelines for Acceptable Usage of Social Media- Official Handles & Em-
ployees

1. OBJECTIVE

Social media has become part of everyday life and a means of communication and
sharing information with others. Every organization recognises the benefits that
social media tools can provide, and also reckons the challenges it brings.

These guidelines seek to provide clear guidance on acceptable standards of con-


duct and practices to be followed by the Constituents (as defined below) of Bharat
Petroleum Corporation Limited (“Corporation”), in the usage of social media tools
during and post their association with the Corporation. These guidelines are in-
tended to protect and safeguard inter alia the interests and reputation of the Cor-
poration, in the access, use of or participation on Social Media platforms by such
Constituents.

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19. Sales officers Roles and Responsibilities

It is important to maintain the highest degree of professional standard that is as-


sociated with the Corporation’s name, brand and reputation during all such in-
teractions on Social Media. Constituents must constantly be aware of the risk of
damaging the Corporation’s name or reputation in public forums. The guidelines
that are set out hereunder should be adhered to by each Constituent at all times
and should be read harmoniously and in conjunction with other applicable poli-
cies and directions issued by Corporation, from time to time, including the Rele-
vant Documents.

This policy may be referred in detail in Policies and Guidelines in Iconnect portal.

c) Social Media Guidelines for Channel Partners

1. OBJECTIVE

Social media has become part of everyday life and a means of communication and
sharing information with others. Every organization recognises the benefits that
social media tools can provide, and also reckons the challenges it brings.

These terms and conditions (“Social Media T&Cs”) seek to provide clear guidance
on acceptable standards of conduct and practices to be followed by the Channel
Partners of Bharat Petroleum Corporation Limited (“Corporation”), in the usage
of social media tools during and post their association with the Corporation. These
terms and conditions are intended to protect and safeguard inter alia the interests
and reputation of the Corporation, in the access, use of or participation on Social
Media (as defined below) platforms by such constituents.

It is important to maintain the highest degree of professional standard that is as-


sociated with the Corporation’s name, brand and reputation. Constituents must
constantly be aware of the risk of damaging the Corporation’s name or reputation
in public forums. The guidelines that are set out hereunder should be adhered to
by each constituent at all times and should be read harmoniously and in conjunc-
tion with the terms of their engagement with the Corporation, as well as other
applicable policies and directions issued by Corporation, from time to time, in-
cluding the Relevant Documents.

Acknowledgement of the same as per Annexure IV to be taken from Distributors


for the records

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20. Sales officers Roles and Responsibilities

Chapter: Statutory Bodies and Statutes

a) LPG Order 2000

INTRODUCTION: The "Liquefied Petroleum Gas (Regulation of Supply and Distribu-


tion) Order 2000" is a regulation that was enacted in 2000 in relation to the supply
and distribution of liquefied petroleum gas (LPG) in a particular jurisdiction. The act
covers various provisions and regulations of LPG Sales and Marketing. Some of the
important aspects that is covered in the act is detailed as under: -

1) Definitions of terms: It defines the common terms in LPG - Chief Controller of


Explosives, Consumer, Cylinder, Delivery Person, Distributor, Gas cylinder valve,
Government Oil Company, Indian Standard, LPG, Parallel Marketeer, Parallel
Marketing System, Public Distribution System, Pressure Regulator, Schedule, Seal,
Storage Point, Transporter.
167. Imposes regulations in marketing of LPG: -

i. Restriction on unauthorised possession, supply, and consumption of lique-


fied petroleum gas
ii. Restriction on storage and transport of liquefied petroleum gas
iii. Filling of LPG is permitted only in cylinders approved by PESO.
iv. Transportation and storage only in upright position
v. Storage of cylinder to be done only in safe means
vi. Removal of seal is permitted only by consumer or by delivery boy for check-
ing or for display to the consumer for PDI.
vii. Only cylinders with specifications approved to be used (Approved as per the
schedules specified in this order).
viii. Transporter or delivery person shall deliver LPG either in cylinder or in bulk
to only consumers or distributors of OMCs / PMCs.
ix. Restriction on sale or distribution of liquefied petroleum gas below or more
than the standard weight.
x. Prohibition on carrying unauthorised business of selling LPG.
xi. Possession, supply, or sale of liquefied petroleum gas equipment
xii. Display of stock and price of liquefied petroleum gas
xiii. Procurement storage and sale of liquefied petroleum gas by a distributor

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20. Sales officers Roles and Responsibilities

xiv. Maintenance of register, account books by a distributor


xv. Assessment and Certificate Rating of parallel marketeers
xvi. Maintenance of records and furnishing of information by parallel marketeer
xvii.Power of entry, search, and seizure: Authorizes officers of Government and
Sales officer to Stop and search any vessel or vehicle used for the transport
or storage of any petroleum product, enter, and search any place, seize
stocks of liquefied petroleum gas along with container and /or equipment in
respect of which he has reason to believe that violates the LPG Order. The
sales officer of a Government Oil Company shall be authorised to secure
compliance of this order by the distributors appointed under the public dis-
tribution system and or by the consumer registered by them.
xviii. Overriding effect of the Order
xix. Power to exempt.
xx. Repeal and savings

168. It also explicitly defines some points in further details, applicable for OMCs and
PMCs. As under: -

i. Schedule - 1

- Prohibited Activities for OMCs


▪ Forced sale of Stove / Hotplates to the consumers.
▪ Recovery of unauthorised charges from applicant at the time of
registration / release of new connection.
▪ Supply of partially used cylinder / pilfering product from cylinder
/ cylinders with pilfered product to LPG consumer.
▪ Unauthorised and/ or out of turn release of new LPG connections.
▪ Unauthorised diversion of domestic cylinder for non-domestic
use of LPG.
▪ Acceptance of fake documents including Termination Vouchers
and Transfer Termination Vouchers.
▪ Possession of spurious LPG equipment.
▪ Induction of spurious LPG equipment and / or replacement by a
spurious equipment.
▪ Manipulation of mandatory records.
▪ Non-home delivery of LPG refill supplies to consumer and / or
not giving rebate on non-home delivery to LPG consumer.

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20. Sales officers Roles and Responsibilities

▪ Overcharging by distributor on LPG refill supplies, installation


charges, mechanic charges and/ or any other charges authorised
by the Government Oil Company.
▪ Refusal to register requests for new connection and / or double
bottle connection.
- Prohibited Activities for PMCs
▪ Forced sale of Stove / Hotplates to the consumers.
▪ Supply of partially used cylinder /pilfering product from cylinder
/ cylinder with pilfered product to LPG consumer. 
▪ Possession of spurious LPG equipment.
▪ Induction of spurious LPG equipment and /or replacement by a
spurious equipment.
▪ Manipulation of mandatory records
ii. Schedule – 2: It defines the IS codes which shall govern cylinders, DPRs,
Valves, etc. for OMCs
iii. Schedule – 3: It defines the IS codes which shall govern cylinders, DPRs,
Valves, etc. for PMCs, it clarifies that PMCs shall use Valves, cylinders, DPRs
etc. of sizes and specifications different from the OMCs.
iv. Schedule – 4,5,6 & 7 deals with Audits / Reviews of PMCs

The Liquefied Petroleum Gas (Regulation of Supply and Distribution) Or-


der, 2000 has been amended to address evolving industry practices and safety stand-
ards. Notable amendments include:

1. Amendment Order, 2010:

o This amendment revised key definitions within the LPG Order, expand-
ing the scope to encompass emerging industry practices and ensuring
clarity in regulatory provisions.

2. Amendment Order, 2011:

o Focused on enhancing safety measures, this amendment introduced


stricter compliance obligations for distributors and parallel marketeers,
aiming to improve operational safety and consumer protection.

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20. Sales officers Roles and Responsibilities

3. Amendment Order, 2013:

o This amendment introduced changes to licensing requirements and op-


erational protocols, streamlining processes for market participants and
reinforcing adherence to updated safety and quality standards.

b) The Essential Commodities Act, 1955

It is a law enacted by the Government of India to regulate the production, supply, and
distribution of essential commodities in the country. The act empowers the govern-
ment to control the production, distribution, and pricing of certain commodities
deemed essential for the well-being of the public. The act's purpose is to ensure the
availability of essential commodities at fair prices and to protect consumers from
hoarding, black marketing, and other unfair trade practices.

The Essential Commodities Act, 1955 is an Indian legislation enacted by Parliament to


regulate the production, supply, distribution, and trade of certain essential commodi-
ties in the interest of the public. The act provides for the control and management of
essential commodities to ensure their availability at fair prices and equitable distribu-
tion.

The act begins with defining various terms used in the legislation, including "essential
commodity," which encompasses a wide range of commodities such as cattle fodder,
coal, automobiles, textiles, drugs, foodstuffs, iron and steel, petroleum products, and
more. The definition also empowers the Central Government to declare any other class
of commodity as essential through a notified order.

The act grants the Central Government the power to control the production, supply,
distribution, and trade of essential commodities. It enables the government to issue
orders for regulating or prohibiting the production, manufacture, storage, transport,
distribution, and sale of essential commodities. The government can also control
prices, require the sale of specified quantities of commodities, and regulate commer-
cial and financial transactions related to essential commodities.

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The act further empowers the government to collect information and statistics, require
businesses involved in essential commodities to maintain records and furnish infor-
mation, and issue licenses and permits. It also provides for the entry, search, and ex-
amination of premises, seizure of contraband articles, and forfeiture of vehicles or an-
imals involved in the contravention of the act.

In the case of the sale of essential commodities, the act specifies the price to be paid,
considering factors such as controlled prices, market rates, and the need to prevent
hoarding or price rise. It also allows the government to authorize controllers to exer-
cise control over undertakings engaged in the production and supply of essential com-
modities.

The act includes provisions for state amendments, where specific states have made
amendments to the legislation to suit their local requirements. These amendments
provide additional clarity and definitions for certain terms.

Overall, the Essential Commodities Act, 1955 empowers the Central Government to
regulate and control the production, supply, distribution, and trade of essential com-
modities to ensure their availability, prevent hoarding, and maintain fair prices for the
public. The act plays a crucial role in managing and stabilizing the market for essential
commodities in India.

Few amendments made to state laws related to the confiscation of essential commod-
ities in Bihar, Maharashtra, and Uttar Pradesh in India.

In Bihar, Section 6-A of the principal Act is being substituted. According to the new
section, if an essential commodity is seized based on an order made under Section 5,
it should be reported to the District Collector without any unreasonable delay. The
Collector may inspect the seized commodity and, if a contravention of the order is
found, order the confiscation of the essential commodities, as well as any packaging,
covering, receptacle, or conveyance used to carry the commodity. However, foodgrains
or edible oilseeds seized from a producer will not be confiscated under this section.
The Collector can also order the sale of the seized commodity at controlled prices or
through fair price shops. The article also outlines the powers and functions of the Col-
lector and the appellate authority in handling these matters.

In Maharashtra, Section 6-A of the principal Act is also being substituted. The new
section states that if an essential commodity is seized based on an order made under

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20. Sales officers Roles and Responsibilities

Section 3, a report should be sent to the Collector without any unreasonable delay. The
Collector may inspect the seized commodity and, if a contravention of the order is
found, order the confiscation of the essential commodity, as well as any packaging,
covering, receptacle, or conveyance used to carry it. Like Bihar, foodgrains or edible
oilseeds seized from a producer will not be confiscated. The article also describes the
sale of seized commodities, the payment of sale proceeds, and the powers of the Col-
lector and appellate authority.

In Uttar Pradesh, Section 6-A of the principal Act is being substituted as well. The new
section is like the amendments made in Bihar and Maharashtra, with provisions for
the seizure, inspection, and confiscation of essential commodities and related items.
Foodgrains or edible oilseeds seized from a producer will not be confiscated. The arti-
cle also covers the sale of seized commodities, payment of sale proceeds, and the pow-
ers of the Collector.

Additionally, in Uttar Pradesh, a new Section 6-BB is being inserted after Section 6-B.
This section allows for the review of orders of confiscation or orders refusing confisca-
tion made under Section 6-A. The Controller can issue a notice to the owner of the
essential commodity or the person from whom it was seized, providing an opportunity
to show cause why the order should not be reviewed. The provisions of Sections 6-C
and 6-D, which relate to appeals, apply to orders passed on such reviews. The amend-
ment involves the substitution of certain phrases in Section 11 of the Indian Penal
Code. The amended section now states that actions can be taken by order of or under
the authority of the District Magistrate or any other empowered officer designated by
the State Government. The act also introduces a new provision called "Special Courts"
in Section 12-A. Under this provision, the State Government can establish Special
Courts through a notification in the official Gazette to ensure speedy trials for offenses
under the Act. These courts will consist of a single judge appointed by the High Court
based on the State Government's request. The judge must either be qualified for ap-
pointment as a High Court judge or have served as a Sessions Judge or Additional
Sessions Judge for at least one year.

Furthermore, Section 12-AA outlines the appellate and revision powers of the High
Court in relation to cases tried by the Special Courts. It specifies that the High Court
can exercise the powers conferred by Chapters XXIX and XXX of the Code of Criminal
Procedure, treating the Special Court as a Court of Sessions within its jurisdiction.

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The act also covers provisions regarding the jurisdiction and bail of the Special Courts,
along with their power to take cognizance of offenses without the accused being com-
mitted for trial. It states that all offenses under this Act shall be tried in a summary
way, allowing the Special Court to pass a sentence of imprisonment for a maximum of
two years.

Other sections discussed include the grant of injunctions by civil courts, presumption
of orders made under the Act, burden of proof in certain cases, protection of action
taken under the Act, and prosecution of public servants. The act/amendments con-
clude by mentioning the repeal of certain laws and the continuation of orders made
under those laws until superseded by new appointments, licenses, or permits under
the amended Act.

Key features of the Essential Commodities Act, 1955 include:

1) Essential Commodities: The act provides for the government to declare certain
commodities as "essential" based on factors such as their significance, scarcity, and
impact on the public.
169. Price Regulation: The government has the authority to regulate the maximum re-
tail prices at which essential commodities can be sold. This helps prevent artificial
price inflation and ensures affordability for consumers.
170. Stock Limits: The act allows the government to impose stock limits on essential
commodities held by individuals, producers, or entities. This prevents hoarding
and ensures the availability of essential commodities in the market.
171. Confiscation and Forfeiture: The act empowers authorities to confiscate or forfeit
any essential commodities that are unlawfully hoarded, traded, or contravening the
provisions of the act.
172. Control Orders: The government can issue Control Orders to specify the conditions
and regulations governing the production, distribution, and trade of essential com-
modities. These orders may include provisions related to licensing, transportation,
storage, quality control, and more.
173. Enforcement and Penalties: The act provides for the enforcement of its provisions
through inspections, raids, and legal actions. Penalties, including fines and impris-
onment, can be imposed on individuals or entities found guilty of violating the act.

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c) Code of Criminal Procedure, 1973 Section 100


1) Whenever any place liable to search or inspection under this chapter is closed, any
person residing in, or being in-charge of, such place, shall, on demand of the officer
or other person executing the warrant, and on production of the warrant, allow him
free ingress thereto, and afford all reasonable facilities for a search therein.
174. If ingress into such place cannot be so obtained the other person executing the war-
rant may proceed in the manner provided by sub-section (2) of section 47.
175. Wherever any person in or above such place is suspected of concealing about his
person any article for which search should be made, such person may be searched
and if such person is a woman, the search shall be made by another woman with
strict regard to decency.
176. Before making a search under this chapter, the officer or the other person about to
make it shall call upon two or more independent and respectable inhabitants of the
locality in which the place to be searched in situated or of any other locality if no
such inhabitant of the said locality is available or is willing to be a witness to the
search, to attend an witness the search and may issue an order in writing to them
or any of them to do so.
177. The search shall be made in their presence, and a list of all things seized in the
course of such search and of the places in which they are respectively found shall
be prepared by such officer or other person and signed by such witnesses; but no
person witnessing a search under this section shall be required to attend the Court
as a witness of the search unless specially summoned by it.
178. The occupant of the place searched, or some person in his behalf, shall, in every
instance, be permitted to attend during the search, and a copy of the list prepared
under this section, signed by the said witnesses, shall be delivered to such occupant
or person.
179. When any person is searched under sub-section (3), a list of all things taken pos-
session of shall be prepared, and a copy thereof shall be delivered to such person.
180. Any person who, without reasonable cause, refuses or neglects to attend and wit-
ness a search under this section; when called upon to do so by an order in writing
delivered to be tendered to him, shall be deemed to have committed an offence
under Section 187 of the Indian Penal Code (45 of 1860)

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d) LPG Control Order – Search & Seizure – Filing of FIR


1) Under Clause 13 of the LPG Control Order, authorized officers from the Central or
State Government, not below the rank of Inspector, as well as officers of Govern-
ment Oil Companies not below the rank of Sales Officer, have the power to conduct
searches and seize LPG stocks, containers, and related equipment if they suspect a
contravention of the Order.
181. Considering the subject statues of the LPG equipment, filing of FIR is not a ne-
cessity and therefore may be avoided. We may say that filing of an FIR puts spokes
into the process which could otherwise immediately start by the Oil Company
against the dealer in terms of the Dealership Agreement.
182. It is not mandatory that prosecution is necessary after search and seizure.

e) Gas Cylinders Rules, 2016

Chapter -1

1) It defines that the name of the rules name to be Gas Cylinders Rules, 2016
183. It defines parameters as it appears in the GCR 2016

i. "Act" means the Explosives Act, 1884 (4 of 1884).


ii. "Auto LPG" means liquefied petroleum gas meant for automotive fuel con-
forming to specification IS:14861.
iii. “Chief Controller" means the Chief Controller of Explosives.
iv. "Composite cylinder" means a cylinder made of resin impregnated continu-
ous filament wound over a metallic or a non-metallic liner. Composite cyl-
inders using non-metallic liners are referred to as all composite cylinders.
v. "compressed gas" means any permanent gas, liquefiable gas or gas dissolved
in liquid under pressure or gas mixture which in a closed gas cylinder exer-
cises a pressure either exceeding 2.5 kgf/cm2 abs (1.5 kgf/ cm2 gauge) at
+15° C or a pressure exceeding 3kgf/ cm2 abs (2 kgf/ cm2 gauge) at + 50° C
or both including cryogenic liquids; Explanation.– For the purposes of this
clause Hydrogen Fluoride falls within the scope of compressed gas although
its vapour pressure at 50° C is 1.7 to 1.8 atmosphere gauge;
vi. "Conservator" in relation to a port includes any person acting under the au-
thority of the officer or body of person appointed to be Conservator of that
port under section 7 of the Indian Ports Act, 1908 (15 of 1908).

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vii. "Controller" includes the Joint Chief Controller of Explosives, the Deputy
Chief Controller of Explosives, the Controller of Explosives, and the Deputy
Controller of Explosives.
viii. "Compressed Biogas (CBG)" means the mixture of hydrocarbon gases
and vapours consisting of Methane in gaseous form, which has been pro-
duced by the decomposition of animal and plant waste, purified, and com-
pressed for use as an automotive fuel and industrial application.
ix. "Compressed Natural Gas (CNG)” means mixtures of hydrocarbon gases
and vapours, consisting of Methane or suitable mixture of Hydrogen and
Methane in gaseous form, which has been compressed for use as automotive
fuel and industrial application and includes Compressed Biogas.
x. “Composite CNG dispensing unit” means an integrated unit comprising of
CNG storage cascade, CNG compressor and CNG dispensing unit integrally
attached with each other and installed inside an enclosure box.
xi. "CNG mother station" means CNG facilities connected with natural gas
pipeline and having a compressor meant primarily to fill mobile cascade of
daughter station and includes stationery cascade for CNG dispensing to ve-
hicles.
xii. "CNG online station" means CNG facilities connected with natural gas pipe-
line and having a compressor primarily to fill stationary cascades for dis-
pensing CNG to vehicles.
xiii. "CNG daughter station" means CNG facilities not connected to natural gas
pipeline and receives CNG through mobile cascade.
xiv. "CNG daughter booster station" means CNG facilities not connected to nat-
ural gas pipeline and such CNG dispensing stations where mobile or station-
ary cascades are connected to the booster compressor for increase in dis-
charge pressure for refuelling of the vehicles.
xv. "Critical temperature" means the temperature above which gas cannot be
liquefied by the application of pressure alone.
xvi. "Cryogenic container " means a double walled insulated closed metal con-
tainer having volume exceeding 500 ml but not exceeding 1000 Liters in-
tended for filling, storage and transport of cryogenic liquid fabricated as per
codes approved by the Chief Controller.

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xvii."Cryogenic liquid" means liquid form of permanent gas having normal boil-
ing point below minus 150° C.
xviii. "Cylinder testing station" means facilities and infrastructure for periodical
testing and examination of cylinder
xix. "dissolved acetylene cylinder" means a cylinder having a valve and with or
without safety devices, containing porous mass, a solvent for the storage of
dissolved acetylene and at least sufficient quantity of acetylene to saturate
acetone as solvent at atmospheric pressure and at a temperature of +15° C;
Explanation.- For the purpose of this clause, acetone or any other solvent
used shall not be capable of chemical reaction with the acetylene gas or with
the porous mass or with the metal of the cylinder or valve;
xx. "Dissolved gas" means a gas which is dissolved under pressure in a fluid sol-
vent appropriate to the gas.
xxi. "District authority" means- (a) a Commissioner of Police or Deputy Com-
missioner of Police in any town having a Commissioner of Police; and (b) in
any other place, the District Magistrate.
xxii.“District Magistrate" includes an Additional District Magistrate, and in the
States of Punjab and Haryana and in the Karaikal, Mahe and Yanam areas
of the Union territory of Puducherry, also includes a Sub- Divisional Magis-
trate.
xxiii. “fee” means the fee specified in Schedule V.
xxiv. "Filling pressure" means the maximum permissible gauge pressure, con-
verted to + 15° C, at which a gas cylinder for permanent gas or gas dissolved
under pressure can be filled.
xxv. "Filling ratio" means the ratio of the weight of a liquefiable gas introduced
in the cylinder to the weight of the water that the cylinders will hold at 15°C.
xxvi. "flammable gas" means any gas which, if either a mixture of 13 percent or
less (by volume) with air forms a flammable mixture or the flammability
range with air is greater than 12 percent regardless of the lower limit and
these limits shall be determined at atmospheric temperature and pressure;
Explanation.- For the purpose of this clause: "flammability range" means
the difference between the minimum and maximum percentages by vol-
ume of the gas in mixture with air that forms a flammable mixture;

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xxvii. "Form" means a Form set forth in Schedule V.


xxviii. "gas cylinder" or "cylinder" means any closed tall container having a volume
exceeding 500 ml but not exceeding 1000 Liters intended for the storage
and transport of compressed gas, including any liquefied petroleum gas
(LPG) container or compressed natural gas (CNG) cylinder fitted to a motor
vehicle as its fuel tank but not including any other such container fitted to a
special transport or undercarriage and includes a composite cylinder and
cryogenic container, however, the water capacity of cylinder used for storage
of CNG, nitrogen, compressed air, etc., may exceed 1000 Liters up to 3000
Liters provided the diameter of such cylinder does not exceed 60 cm;
xxix. "Gas cylinders cascade " means a battery of cylinders connected with each
other, a tube trailer, multiple element gas containers and bundle of cylin-
ders, conforming to the specifications BS EN-13769, BS EN-13807, ISO-
10961 or any other specification accepted by the Chief Controller.
xxx. "High pressure liquefiable gas" means a liquefiable gas having a critical tem-
perature between - 10°C and + 70° C.
xxxi. "Hot repair or reconditioning of the LPG cylinders or other welded cylinders
"means repair or replacement of valve protection ring, foot ring, other pro-
tective fitments and removal of permissible dents of LPG cylinders or other
welded cylinder followed by heat treatment as per the standards or codes
accepted by the Chief Controller.
xxxii. "Hydrostatic stretch test" means subjecting the cylinder to a hydrostatic
pressure equal to the test pressure of the cylinder and recording the perma-
nent stretch undergone by the cylinder; 64 THE GAZETTE OF INDIA: EX-
TRAORDINARY [PART II—SEC. 3(i)]
xxxiii. "Hydrostatic test" means the test to which a cylinder is subjected to a hydro-
static pressure equal to the test pressure of the cylinder.
xxxiv. “import” means bringing into India by land, sea, or air.
xxxv. "Inert gas" means a gas which is resistant to chemical action under normally
encountered conditions.
xxxvi. "Inspecting authority" means a person having qualifications and experience
in the field of design, manufacture and testing of gas cylinders, valves and
LPG regulators and recognised by the Chief Controller as authority for in-
spection and certification of gas cylinder, valves, and LPG regulators.

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20. Sales officers Roles and Responsibilities

xxxvii. "installation" means premises wherein a place has been specially pre-
pared for the manufacture or filling or storage of compressed gas cylinders.
xxxviii. "Liquefiable gas" means a gas that may be liquefied by pressure at -10° C but
will be completely vaporised when in equilibrium with normal atmospheric
pressure (760 mm. Hg) at 17.5°C which value shall be increased to 30°C for
toxic gases.
xxxix. "Liquefied petroleum gas" means any material, which comprises of any
of the following hydrocarbons or mixture of them with vapour pressure not
exceeding 16.87 kg/cm2 (gauge) at 65° C; Propane (C3H8), propylene
(C3H6), butane ((C4H10), (n-butane and iso-butane) and butylene (C4H8).
xl. "Low pressure liquefiable gas" means a liquefiable gas having critical tem-
perature higher than +70°C.
xli. "Manufacture of gas" means filling of a cylinder with any compressed gas
and includes transfer of compressed gas from one cylinder to any other cyl-
inder.
xlii. “Oxidising gas" means a gas which gives up oxygen readily or removes hy-
drogen from a compound or attracts negative electrons.
xliii. "Permanent gas" means a gas whose critical temperature is below -10°C a
gas which cannot be liquefied under any pressure at a temperature above -
10°C.
xliv. "Pneumatic test " means the test to which a gas cylinder is subjected to a
pneumatic pressure equal to the pneumatic test pressure or working pres-
sure, as specified in the manufacturing code.
xlv. "Poisonous or toxic gas" means a gas which has a maximum allowable con-
centration in air for human respiration not exceeding 100 mg/m3 at 15°C
and 1 kgf/cm2 absolute pressure.
xlvi.“Porous mass” means single or multi-component substance introduced into
or formed in the cylinder shell to fill it and due to its porosity allow the ab-
sorption of the solvent and the acetylene gas conforming to EN 13807: 2003
- B.2.7.
xlvii. "Schedule" means the Schedule annexed to these rules.
xlviii. "tare weight" in relation to (a) acetylene cylinder, means the weight of the
cylinder together with any fittings, permanently attached and includes the
weight of valve any safety device, porous mass, requisite quantity of solvent

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20. Sales officers Roles and Responsibilities

for dissolving acetylene, and the weight of acetylene gas saturating the sol-
vent at atmospheric pressure and temperature of 15°C; (b) liquefiable gas
cylinder, means the weight of the cylinder together with any fittings perma-
nently attached thereto and includes the weight of valve; (c) permanent gas
cylinder, means the weight of the cylinder together with any fittings perma-
nently attached thereto and excludes the weight of valve; (d) cryogenic con-
tainer, means the weight of the container together with any fittings perma-
nently attached thereto along with the weight of insulating material includ-
ing the weight of the valves;
xlix. "Test pressure" means the internal pressure required for the hydrostatic test
or hydrostatic stretch test or pneumatic test of the cylinder as specified in
the cylinder manufacturing codes.
l. "transport" means the moving of a cylinder filled with any compressed gas
from one place to another.
li. "Water capacity" means the volume of water in litres, a cylinder will hold at
150C.
lii. “Working pressure for low pressure liquefiable gas” means the saturated va-
pour pressure at 650C; Explanation - For the purposes of this clause, it is
clarified that the values of saturated vapour pressure of different gases are
specified in IS: 3710.
liii. "Working pressure for permanent gas" means the internal pressure of the
gas in the cylinder at a temperature of 15°C.
liv. "Yield strength" means the stress corresponding to a permanent strain of
0.2 percent of the original gauge length in a tensile test.

Chapter – 2: General Provisions for LPG Marketing covering below aspects: -

184. Filling, possession, import and transport of cylinder: Common principles


185. Valve
186. Safety relief devices
187. Markings on cylinders
188. Markings on valve
189. Identification colours
190. Labelling of cylinders

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20. Sales officers Roles and Responsibilities

191. Restriction on delivery or dispatch of cylinder


192. Repairing of seamless gas cylinders during use
193. Repairing of welded or brazed cylinders
194. Prohibition of employment of children and intoxicated person
195. Prohibition of smoking, fire, light, and dangerous substances:
196. General precautions for maintenance and usage of cylinders and components
197. Special precautions against accidents
198. Competent person to oversee operations.
199. Handling and use: General conditions for handing cylinder in bottling plants,
transit, Godown, customer premises
200. Restriction on filling:
201. Loading, unloading and transport of cylinders or cascade: Compliance with
Schedule 6 of GCR
202. Storage of cylinders
203. Electrical installations
204. Purity of gas
205. Cylinder subjected to the action of fire.
206. Ownership of cylinder
207. Re-testing of cylinder
208. Owner's record
209. Conversion of cylinders

Chapter – 3: Provisions for import of LPG and LPG Equipment: -

210. Licence for import of gas cylinders: - Defines procedures and guidelines for im-
port of cylinders and valves.
211. Declaration by the expert in ship or ship's agent
212. Production of licence for import
213. Permission of the Commissioner of Customs
214. Importation by land
215. Importation by air

Chapter – 4: EXAMINATION AND TESTING OF CYLINDERS

216. Periodicity of examination and testing of cylinders


217. Condemning of cylinder

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Chapter – 5: DA Cylinders

218. Additional requirements for dissolved acetylene cylinders


219. Restriction on filling of dissolved acetylene in cylinders
220. Examination of dissolved acetylene cylinders before filling
221. Licence for compression of acetylene
222. Record of dissolved acetylene cylinders
223. Labelling of dissolved acetylene cylinders

Chapter – 6: Filling and Possession of Gas Cylinders

224. Licence for filling and possession


225. No licence needed for possession in certain cases.
226. Restriction on filling
227. Working pressure and filling ratio
228. Prior approval of specification and plan of premises proposed to be licensed.
229. No Objection Certificate
230. Application for licence or approval
231. Grant of licence or approval
232. Period for which licence may be granted or renewed.
233. Of licence or approval
234. Prior approval necessary for alteration in the licensed premises
235. Amendment and transfer of licence or approval
236. Renewal of licence or revalidation of approval
237. Refusal of licence or approval
238. Suspension and cancellation of licence or approval
239. Procedure on expiration, suspension or cancellation of licence or approval
240. Appeal
241. Procedure on death or disability of licensee
242. Loss of licence or approval
243. Production of licence or approval on demand
244. Procedure on report of infringement
245. Executive control over authorities
246. Licence fee and fee other than licence fee

Chapter – 7: Power to exempt.

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Chapter – 8: Accidents and Inquiries

247. Notice of accident


248. Inquiry into accident
249. Inquiry into more serious accident

Chapter – 9: Powers

250. Dangerous practices


251. Powers of inspection, search, seizure, detention, and removal
252. Protection of action taken in good faith
253. Repeal and Savings

Apart from the above, the GCR also covers standards for several equipment involved
in form of schedules 1 - 6: -

• Schedule 1: Types and standards of various components of cylinders, valves,


regulators, and specifications and IS codes for origins from different coun-
tries.

• Schedule 2: Test and Inspection certificate formats for various contents of


cylinders etc.

• Schedule 3: Formats for approval to manufacture Gas cylinders, valves, and


other fittings.

• Schedule 4: Defines the facilities for Cylinder testing stations.

• Schedule 5: Fees payable for various approvals related to GCR.

• Schedule 6: Defines Regulations in Transportation of cylinders.

f) Legal Metrology

Legal Metrology Act, 2009 of India. It establishes and enforces standards of weights
and measures, regulates trade and commerce in weights, measures, and other goods
sold by weight, measure, or number, and deals with related matters.

Key points

- Definitions of various terms used in the Act are provided.


- The Act supersedes any inconsistent provisions in other laws or instru-
ments.
- The Act mandates that weights and measures should be based on the metric
system.

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- The Act specifies the base units of length, mass, time, electric current, ther-
modynamic temperature, luminous intensity, and amount of substance.
- Standard units of weights, measures, and numerals are defined.KG for
Mass.
- Provisions are made for reference, secondary, and working standards of
weights and measures.
- The Act requires transactions, dealings, or contracts to be made using pre-
scribed weights, measures, or numbers.
- Quoting prices or charges, issuing documents, preparing advertisements,
and expressing quantities must be done in accordance with the standard
units.
- Any customs or practices contrary to the standard weights, measures, or
numerals are considered void.
- The Act establishes the appointment and powers of the Director, Controller,
and other legal metrology officers.
- The Central Government appoints the Director and officers for inter-State
trade, while the State Government appoints officers for intra-State trade.
- Penalty for selling or delivering commodities by non-standard weight or
measure (Section 34): Anyone who sells or delivers any commodity by
means other than the standard weight or measure can be fined. The penalty
for subsequent offenses can include imprisonment.
- Penalty for rendering services by non-standard weight, measure, or number
(Section 35): Those who provide services using weights, measures, or nu-
meration other than the standard can be fined. The penalty for subsequent
offenses can include imprisonment.
- Penalty for selling, etc., of non-standard packages (Section 36): Anyone who
manufactures, packs, imports, sells, or transfers pre-packaged commodities
that do not conform to the required declarations on the package can be
fined. The penalty for subsequent offenses can include imprisonment.
- Vexatious Search (Section 42): Any official who conducts a search or seizes
property without reasonable grounds can be punished with imprisonment
up to one year, a fine of up to ten thousand rupees, or both.
- Verification in Contravention of Act and Rules (Section 43): If an official
wilfully verifies or stamps any weight or measure in violation of the Act or
rules, they can be punished with imprisonment up to one year, a fine of up
to ten thousand rupees, or both.
- Penalty for Counterfeiting of Seals (Section 44): Counterfeiting or tamper-
ing with seals or using counterfeit seals on weights or measures can lead to
imprisonment ranging from six months to five years.
- Penalty for Manufacture of Weight and Measure without License (Section
45): Manufacturing weights or measures without a valid license can lead to
a fine of up to twenty thousand rupees for the first offense and imprison-
ment up to one year or a fine, or both for subsequent offenses.

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20. Sales officers Roles and Responsibilities

- Penalty for Repair or Sale of Weight and Measure without License (Section
46): Repairing, selling, or possessing weights or measures without a valid
license can result in a fine of up to five thousand rupees for the first offense
and imprisonment up to one year or a fine, or both for subsequent offenses.
- Penalty for Tampering with License (Section 47): Tampering with any li-
cense issued under the Act can result in a fine of up to twenty thousand
rupees, imprisonment up to one year, or both.
- Compounding of Offenses (Section 48): Certain offenses under the Act can
be compounded on payment of a prescribed sum to the government.
- Offenses by Companies and Publication of Conviction (Section 49): If a
company commits an offense, the company and its responsible personnel
may be held liable, and the court may publish the details of the conviction
in newspapers.
- Appeals (Section 50): Provisions for appeals against decisions or orders
made under various sections of the Act.
- Power of the Central Government to Make Rules (Section 52): The Central
Government can make rules for carrying out the provisions of the Act.

Note: As per the amendment to the Legal Metrology (Packaged Commodi-


ties) Rules, 2011, the Department of Consumer Affairs has made it man-
datory to declare the unit sale price on all packaged commodities starting
from January 1, 2024.
- Key Points of the Amendment:
- Introduction of Sub-rule (11) in Rule 6 – This provision was added through
an amendment in November 2021.
- Mandatory Unit Sale Price Declaration – The unit sale price must be dis-
played clearly on all pre-packaged commodities to enhance transparency for
consumers.
- Purpose – This rule aims to ensure consumers can compare prices of different
package sizes easily and make informed purchasing decisions.

g) Provident Fund and ESI

PF (Provident Fund) and ESI (Employee State Insurance) are important social security
schemes that provide benefits to employees. While they may not be related to LPG
distribution, they play a significant role in ensuring the welfare of employees, includ-
ing those working in the LPG distribution sector. Following are the benefits.

- Financial Security: PF and ESI contribute to the financial security of em-


ployees. Under PF, a portion of the employee's salary is deducted and accu-
mulated in a provident fund account. This fund can be utilized by the em-
ployee for various purposes like retirement, medical emergencies, housing,
etc. ESI provides health insurance coverage to employees, ensuring that

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20. Sales officers Roles and Responsibilities

they have access to medical facilities and treatment during times of illness
or injury.
- Employee Retention and Motivation: Offering PF and ESI benefits can en-
hance employee satisfaction and loyalty. It demonstrates the employer's
commitment to the well-being of their employees, leading to increased job
satisfaction, motivation, and reduced turnover. In the competitive LPG dis-
tribution industry, providing these benefits can help attract and retain tal-
ented staff.
- Compliance with Legal Requirements: As per the laws in India, employers
are required to register and enroll their employees for PF and ESI, subject
to certain criteria. Compliance with these legal requirements is essential for
LPG distributors to avoid penalties and legal complications. Ensuring
proper enrolment and timely contribution to PF and ESI accounts is crucial
for maintaining legal compliance.
Enrolment Process for PF and ESI:

PF Enrolment:

- Employers need to register themselves with the Employees' Provident Fund


Organization (EPFO) online portal.
- After registration, the employer receives a unique identification number
known as the Establishment Code.
- Employees are then required to fill in PF nomination forms and other nec-
essary documentation provided by the employer.
- The employer deducts the employee's share of PF contribution from their
salary and contributes an equal amount.
- The employer submits the monthly PF contribution to the EPFO online por-
tal.
- PF accounts are created for each employee, and the contributions are de-
posited into their respective accounts.
- Provident Fund (PF): Registration with the Employees' Provident Fund Organ-
isation (EPFO) is mandatory for establishments employing 20 or more persons.
Employers must register within one month of reaching this employee count.

PF Contributions:

- Employee Contribution: 12% of basic wages.


- Employer Contribution: 12% of basic wages, with 8.33% directed to
the Employees' Pension Scheme (EPS) and the remaining 3.67% to the
EPF

PF Enrolment:

 Employer Registration: Register through the EPFO's online portal to ob-


tain an Establishment Code.
 Employee Registration: Collect necessary employee information to gener-
ate Universal Account Numbers (UAN) for each eligible employee.
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20. Sales officers Roles and Responsibilities

 Contribution Submission: Monthly contributions should be remitted


online via the EPFO portal by the 15th of each month.

Employee State Insurance (ESI): The ESI scheme applies to establishments with 10 or
more employees (though this threshold may be 20 in some states). Employees earning
wages up to ₹21,000 per month (or ₹25,000 for persons with disabilities) are eligible for
ESI benefits.

ESI Contributions:

- Employee Contribution: 0.75% of wages.


- Employer Contribution: 3.25% of wages

ESI Enrolment:

 Employer Registration: Register on the ESIC portal to receive a 17-digit


Code Number.
 Employee Registration: Collect employee details to facilitate their registra-
tion under the ESI scheme.
 Contribution Submission: Monthly ESI contributions are to be deposited
online by the 15th of the following month.

ESI Enrolment:

- Employers need to register themselves with the Employees' State Insurance


Corporation (ESIC).
- Once registered, the employer receives a 17-digit unique identification num-
ber known as the Code Number.
- Employees must fill in the ESIC Declaration Form and provide necessary
details to the employer.
- The employer deducts the employee's share of ESI contribution from their
salary and contributes an equal amount.
- The employer deposits the monthly ESI contribution to the designated bank
account or online portal.
- ESI cards are issued to employees, and they can use medical facilities cov-
ered under the ESI scheme.
- It is advisable for LPG distributors to consult with a professional or seek
guidance from the respective government authorities to ensure accurate
and timely enrolment in PF and ESI schemes, as the specific requirements
and procedures may vary based on the location

h) BIS Standards

BIS standards provide a framework for safety, quality, and compliance in the LPG in-
dustry. They help establish industry best practices, protect consumers, and enable the
smooth functioning of LPG businesses. Adhering to BIS standards is not only a legal

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20. Sales officers Roles and Responsibilities

requirement but also a means to build trust, ensure operational excellence, and en-
hance the overall reputation of the LPG sector. Below are the IS standard

Stand- Year Title


S. ard No.
No.

1 IS 2023 Flexible Rubber Tubing for Liquefied Petroleum Gas-


10908 Specification

2 IS 1985 Portable Liquefied Petroleum Gas Appliances Operating


11241 at Vapour Pressure

3 IS 2023 Domestic Grillers for use with Liquefied Petroleum


11480 Gases-Specification

4 IS 2022 CODE OF SAFETY PRACTICE FOR DOMESTIC LPG


12011 INSTALLATION First Revision

5 IS 2017 Basic Requirements for Delivery Persons Engaged in the


12936 Delivery of LPG Cylinders - Code of Practice (First Revi-
sion)

6 IS 1991 bitumen mastic for flooring for industries managing


13026 LPG and other light hydrocarbon products

7 IS 1991 Code of practice for laying of bitumen mastic flooring


13074 for industries managing LPG and other light hydrocar-
bon products

8 IS 2014 Welded Low Carbon Steel Cylinders Exceeding 5 Litre


13258 Water Capacity for Low Pressure Liquefiable Gas - Code
of Practice for Inspection and Reconditioning of Used
LPG Cylinders

9 IS 2023 Mechanical Type Gas Leak Detector for use with Low
13432 Pressure Liquefied Petroleum Gas Burning Appliances -
Specification

10 IS 1992 Gas Leak Detector for Use with Low Pressure Liquefied
13432: Petroleum Gas Burning Appliances Part 1 Mechanical
Part 1 Type

11 IS 1998 Gas Leak Indicator for Use with Low Pressure Liquefied
13432: Petroleum Gas Burning Appliances - Part 2: Electronic
Part 2 type

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Stand- Year Title


S. ard No.
No.

12 IS 1992 Recommended Practice of Pickling by H2so4 Levelling


13566 and Oiling of LPG Sheets

13 IS 1992 Anaerobic Jointing Compounds for Use in Liquefied Pe-


13653 troleum Gas Appliances and Installations

14 IS 2013 Methods of Sampling of Petroleum and its Products Part


1447: 2 Liquefied Petroleum Gas - Method of Sampling (LPG)
Part 2

15 IS 1983 Methods of test for petroleum and its products: Part 111
1448: Analysis of liquefied petroleum gases (LPG) and propyl-
Part 111 ene concentrate by gas chromatography

16 IS 2004 Methods of test for petroleum and its products: Part 150
1448: Liquefied petroleum gases - Determination of oily resi-
Part dues - High-temperature method
150

17 IS 2004 Methods of test for petroleum and its products: Part 152
1448: Liquefied petroleum gases - Corrosiveness to copper -
Part Copper strips test
152

18 IS 2004 Methods of Test for Petroleum and its Products - Part


1448: 23: Liquefied Petroleum Gases - Determination of Hy-
Part 23 drocarbon Types - Fluorescent Indicator Adsorption
Method

19 IS 2018 Methods of Test for Petroleum and its Products [ P: 70]


1448: Determination of Residue in Liquefied Petroleum Gases
Part 70 (First Revision)

20 IS 2004 Methods of Test for Petroleum and its Products - Part


1448: 71: Liquefied Petroleum Gases - Determination of Gauge
Part 71 Vapour Pressure - LPG Method

21 IS 2022 Methods of Test for Petroleum and Its Products - Part


1448: 74 Liquefied Petroleum Gases-Assessment of the Dry-
Part 74 ness of Propane-Valve Freeze Method

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20. Sales officers Roles and Responsibilities

Stand- Year Title


S. ard No.
No.

22 IS 1968 Methods of test for petroleum and its products: Part 75


1448: Odour of liquefied petroleum gases
Part 75

23 IS 1999 Commercial Burners Using LPG at Inlet Pressure up to


14612 147.1 kN/m2 (1500 gf/cm2)

24 IS 2000 Liquefied Petroleum Gases (LPG) for Automotive Pur-


14861 poses

25 IS 2014 Liquefied Petroleum Gas (LPG) Containers for Automo-


14899 tive Use - Specification

26 IS 2018 Multifunction Valve Assembly for Permanently Fixed


15100 Liquefied Petroleum Gas (LPG) Containers for Automo-
tive Use- Specification (First Revision)

27 IS 2018 Rubber Hoses and Hose Assemblies for Liquefied Petro-


15355 leum Gas (L.P.G) in Motor Vehicles — Specification
(First Revision)

28 IS 2005 Mini domestic water heater for use with LPG


15558

29 IS 2006 Welded stainless steel cylinders for liquefied petroleum


15637 gases (LPG) from 0.5 litre to 250 litre water capacity

30 IS 2012 Road Vehicles — Liquefied Petroleum Gas (LPG) Spe-


15956 cific Equipment — Definitions, Classification and Gen-
eral Requirements

31 IS 2012 Road Vehicles — Liquefied Petroleum Gas (LPG) Spe-


15957 cific Equipment — General Design Requirements, Per-
formance and Test Methods

32 IS 2013 Refillable Welded Steel Cylinder for Liquefied Petro-


15966 leum Gas (LPG) - Procedure for Checking Before, Dur-
ing and After Filling

33 IS 2013 Road Vehicles - Liquefied Petroleum Gas (LPG) Specific


16009 Equipment - Shut off Valve

34 IS 2013 Road Vehicles - Liquefied Petroleum Gas (LPG) Specific


16053 Equipment - Pressure Regulator and Vaporizer

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20. Sales officers Roles and Responsibilities

Stand- Year Title


S. ard No.
No.

35 IS 2013 Periodic Inspection and Testing - Welded Low Carbon


16054 Steel Cylinders Exceeding 5 - Litre Water Capacity for
Liquified Petroleum Gas (LPG) - Code of Practice

36 IS 2013 LPG Operated Internal Combustion Engines - Safety


16057 and Performance Requirements

37 IS 2013 Road Vehicles - Liquefied Petroleum Gas (LPG) Specific


16062 Equipment - Pressure and/or Temperature Sensor

38 IS 2013 Road Vehicles - Liquefied Petroleum Gas (LPG) Specific


16063 Equipment - LPG Filter Unit

39 IS 2013 Road Vehicles - Liquefied Petroleum Gas (LPG) Specific


16064 Equipment - Gas Mixing Piece

40 IS 2013 Road Vehicles - Liquefied Petroleum Gas (LPG) Specific


16065 Equipment - Fuel Rail

41 IS 2014 Periodic Inspection and Requalification - Liquefied Pe-


16175 troleum Gas (LPG) Cylinders for Automotive Use - Code
of Practice

42 IS 2021 Draft Indian Standard High-Pressure Regulators and


16280 Adaptors for use with Liquefied Petroleum Gases LPG
Specification amalgamation of IS 4786 IS 16280

43 IS 2017 Road Vehicles - Liquefied Petroleum Gas (LPG) Specific


16367 Equipment - Gas Injector

44 IS 2017 Liquid Off - Take Valve Fitting to Gas Cylinders or


16484 Tanks (Mobile or Static) for Liquid Petroleum Gas
(LPG) - Specification

45 IS 2017 Transportable Refillable Fully Wrapped Composite Cyl-


16646 inders for Liquefied Petroleum Gas (LPG) - Specifica-
tion

46 IS 2023 Road Vehicles-Liquefied Petroleum Gas (LPG) Specific


19032 Equipment - LPG Flexible Hoses

47 IS 2013 Welded Low Carbon Steel Cylinders Exceeding 5 Litre


3196: Water Capacity for Low Pressure Liquefiable Gases -
Part 1 Part 1: Cylinders for liquefied Petroleum Gases (LPG)

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20. Sales officers Roles and Responsibilities

Stand- Year Title


S. ard No.
No.

48 IS 2006 Welded Low Carbon Steel Cylinders Exceeding 5 Litre


3196: Water Capacity for Low Pressure Liquefiable Gases -
Part 2 Part 2: Cylinders for Liquefiable Non-Toxic Gases Other
Than LPG

49 IS 3224 2021 VALVE FITTINGS FOR COMPRESSED GAS CYLIN-


DERS EXCLUDING LIQUEFIED PETROLEUM GAS
LPG CYLINDERS SPECIFICATION Fourth Revision of
IS 3224

50 IS 3465 1966 Jointing Compound for Use in LPG Appliances and In-
stallations

51 IS 1981 Non-refillable liquefied petroleum gas containers


4093

52 IS 4246 2002 Domestic Gas Stoves for use with Liquefied Petroleum
Gases

53 IS 4473 2002 Domestic Gas Ovens for Use with Liquefied Petroleum
Gases -

54 IS 4576 2021 Liquefied Petroleum Gases-Specification Third Revision


of IS 4576

55 IS 4760 2002 Domestic Cooking Ranges Including Grillers for Use


with Liquefied Petroleum Gases

56 IS 4786 2014 Variable High-Pressure Regulators (VHPR) for Use with


Liquefied Petroleum Gases Specification

57 IS 5115 2022 Domestic Storage Type Water Heaters for Use with
LPG-Specification

58 IS 5116 2020 Domestic and Commercial Equipment for Use with LPG
— General Requirements (Fourth Revision)

59 IS 5117 2023 Commercial Boiling Burners for Use with LPG - Specifi-
cation

60 IS 5543 2023 Bains Marie for Use with LPG-Specification

61 IS 5544 1970 Hot Food Cabinets for Use with LPG

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20. Sales officers Roles and Responsibilities

Stand- Year Title


S. ard No.
No.

62 IS 5776 2023 Bulk Water Heater for use with LPG-Specification

63 IS 5777 2022 Fryers for Use with LPG-Specification

64 IS 5845 1993 Code of practice for inspection of low pressure welded


steel gas cylinders other than LPG cylinders in use

65 IS 2018 Liquefied Petroleum Gas Storage Installations — Code


6044: of Practice Part 1 Residential, Commercial and Indus-
Part 1 trial Cylinder Installations (Third Revision)

66 IS 2021 LIQUEFIED PETROLEUM GAS STORAGE INSTALLA-


6044: TIONS CODE OF PRACTICE PART 2 COMMERCIAL
Part 2 INDUSTRIAL AND DOMESTIC BULK STORAGE IN-
STALLATIONS

67 IS 2022 CODE OF PRACTICE FOR STEEL CYLINDERS FOR


8198: COMPRESSED GAS’S PART 5: LIQUEFIED PETRO-
Part 5 LEUM GAS LPG

68 IS 8251 1976 Commercial Cooking Ranges Including Grillers for Use


with Liquefied Petroleum Gases

69 IS 8737 2017 Valve Fitting for Use with Liquefied Petroleum Gas
(LPG) Cylinders for More than 5 Litre Water Capacity -
Specification (Second Revision)

70 IS 8776 1988 Valve Fittings for Use with Liquefied Petroleum Gas
(LPG) Cylinders UP TO and Including 5-Litre Water Ca-
pacity

71 IS 2017 Rubber Hose for Liquefied Petroleum Gas (LPG) - Spec-


9573: ification Part 1 Industrial Application
Part 1

72 IS 2017 Rubber Hose for Liquefied Petroleum Gas (LPG) - Spec-


9573: ification Part 2 Domestic and Commercial Application
Part 2

73 IS 9618 1980 Road Tankers for Liquefied Petroleum Gas

74 IS 9798 2013 Low Pressure Regulators for Use with Liquefied Petro-
leum Gas (LPG) Mixtures

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20. Sales officers Roles and Responsibilities

Note: Below are some notable updates in the Bureau of Indian Standards
(BIS):

1. IS 4576: 2021 – Liquefied Petroleum Gases Specification

This standard underwent its third revision in 2021. Key updates include a reduction
in the permissible total volatile sulphur content from 150 ppm to 140 ppm, en-
hancing the quality and safety of LPG.

2. IS 3224: 2021 – Valve Fittings for Compressed Gas Cylinders (Excluding LPG
Cylinders)

The BIS revised this standard in 2021, with the implementation deadline extended to
December 22, 2024. This extension allows manufacturers additional time to com-
ply with the updated requirements.

3. IS 4246: 2002 – Domestic Gas Stoves for Use with Liquefied Petroleum Gases

An amendment to this standard was issued on November 12, 2021, with a compli-
ance deadline of July 31, 2022. This amendment aims to enhance the safety and
performance of domestic gas stoves.

4. IS 3196 (Part 1): 2013 – Welded Low Carbon Steel Cylinders Exceeding 5-Litre
Water Capacity for Low-Pressure Liquefiable Gases

This standard specifies the manufacturing and testing requirements for LPG cylin-
ders. Each batch of new cylinders is tested by BIS as per the sampling plan out-
lined in clause 3.7 before dispatch. Additionally, under the Gas Cylinder Rules
2016, cylinders must undergo periodic re-testing every 10 years from the date of
manufacture and subsequently every five years to ensure continued safety and
compliance.

5. IS 16054: 2013 – Periodic Inspection and Testing of Welded Low Carbon Steel
Cylinders Exceeding 5-Litre Water Capacity for Liquefied Petroleum Gas (LPG) –
Code of Practice

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20. Sales officers Roles and Responsibilities

This standard outlines the procedures for the periodic inspection and testing of LPG
cylinders to ascertain their fitness for continued service. Adherence to this stand-
ard is crucial for maintaining safety and compliance in the LPG industry.

Additional Chapters:
Operation Mobile Application:

Operator mobile application is the last mile application of BPCL which can be accessed by its
delivery executives or operators. BPCL has provided the facility of refill booking, delivery
confirmation using DAC (Delivery authentication code), E-KYC for its customers on this
application with the help of delivery executives / operators. Safety Check functionality is also
provided to carry out safety checks for customer due for mandatory inspection.

Process Step:

1. Creation of operator/delivery executives in LPG next system web application


2. Sign in/registration by operator/delivery executives in Operator mobile application
3. Usage

1. Creation of operator/delivery executives in LPG next web application

Operator/delivery executives can be created under my applications >LPG


Next>Transaction for Distributor>Operator Management

2. Sign In/ Registration in Operator mobile application

Visit the Operator mobile application and enter your User ID. Click on Continue. User ID is
the registered mobile no. of Operator, entered by Distributor in LPGNEXT web application
and setting up of M-Pin for mobile application.

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20. Sales officers Roles and Responsibilities

3. Usage:

Once sign in /registration is completed, operator/delivery executives can access

1. Refill Booking
2. Delivery Confirmation
3. E-KYC
4. Safey check

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20. Sales officers Roles and Responsibilities

Please refer to User manual for refill booking, delivery confirmation, E-KYC and safety
checks using operator mobile application for step by step detail process for better under-
standing of process.

LPG Conversion

LPG is gaining recognition as a versatile and cleaner fuel with over 1000 applications
across various sectors, including commercial businesses, industries, transportation,
cooking, heating, and recreational purposes. The World LPG Association rightly terms
LPG as the "Exceptional Energy" in action. It offers a range of advantages, including
lower carbon emissions, energy efficiency, and easy transportation flexibility.

In the aftermath of pivotal orders from the Supreme Court, National Green Tribunal
(NGT), and Central Pollution Control Board (CPCB), an excellent opportunity has
emerged in the energy sector. The potential to convert liquid fuels to LPG remains
largely untapped, and the numbers are compelling. Presently, OMCs are selling 7679
TMT of liquid fuels directly to customers (according to PPAC data for FY 2022-23).
The exciting prospect of a 15% conversion over five years could unlock an estimated
1150 TMT per annum.

Fuel Consumption in India:

PRODUCT 2021-22 2022-23

LPG 28253 28504

LDO 1017 725

FO & LSHS 6262 6954

Bitumen 7816 8041

Petroleum coke 14255 18345


** The consumption data as per PPAC for petroleum products in India

LPG conversions planning involves a meticulous 5-step process to determine the suitability
and efficiency of LPG as the right fuel for a specific application.

Step 1. Decide whether LPG is the right fuel.

i. Economics

ii. Availability

iii. Application suitability

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20. Sales officers Roles and Responsibilities

Step 2. Decide whether packed VOT/LOT/Hippo

i. Consumption

ii. Availability

iii. Economics Application suitability

iv. Peak hourly rate of consumption


Step 3. Size of installation

i. Daily/monthly consumption

ii. Distance from supply Point

iii. Cylinder room / bulk storage


Step 4 Pipeline size

i. Flow rate

ii. Pressure Drops

iii. Branches / points of consumption

iv. Ease of repairs / trouble shooting


Step 5 Choosing Pressure Regulators

i. Pressure needed for burners.

ii. Rate of Consumption

iii. Distance from installation to consuming Point.


Evaluating LPG as the Optimal Fuel Choice:
The decision-making journey begins with thoroughly evaluating the merits of LPG as
the right fuel. The economics of LPG consumption must be assessed to determine its
cost-effectiveness compared to other available fuel options. The availability of LPG in
the target region is also a critical factor, ensuring a reliable and consistent supply. Fur-
thermore, the suitability of LPG for the intended application is crucial to ensure opti-
mal performance and desired outcomes.

Benefits And Cost Effectiveness of Conversion Assessment

Once the identification is done based on the preliminary assumptions as guided by the
following table of comparison on benefits and cost effectiveness of conversion, a due

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20. Sales officers Roles and Responsibilities

assessment of the customer and involved process to be conducted by the Bharatgas


Team.
Fuel Conversion Cost Savings Table
The comparison of various fuels in terms of their energy content, efficiency, and cost
is crucial for informed decision-making. Evaluating the diverse options based on fac-
tors like Gross Calorific Value (GCV), density, and fuel efficiency percentage helps
identify the most suitable choices for different applications.
Elec- HS LD Kero- LSH
Product LPG FO PNG
tric D O sene S
Unit 1 kg 1 kwh 1 Ltr 1 Ltr 1 Ltr 1 Ltr 1 Ltr 1 SCM
GCV in KCal / 108 1070 1050
11800 860 11100 10600 10000
unit 00 0 0
Density of Fuel N/A N/A 0.82 0.9 0.95 0.85 0.93 0.6
Fuel Efficiency % 92 100 89 89 80 88 84 96
Effective CV per 840 8904
10900 860 9612 9523 9768 9600
Unit 0 0
Equivalent LPG
kg required for 1 0.08 0.85 0.84 0.74 0.86 7.86 0.85
Unit
GST Benefit Yes Yes No Yes Yes Yes Yes No

Note - The fuel requirement of other fuels can be calculated based on the above information.

Unit conversions for LPG parameters: Energy content, volume, & pressure

Below are 3 main parameters related to conversions.

i. Energy content in KCal per Kg


ii. Pressure in Kg/cm2
iii. Flow Kg/Hr

Volume conversion

Conversion From To Conversion Value


kg to L LPG LPG 1 kg = 1.96 L
L to kg LPG LPG 1 L = 0.51 kg
kg to m³ LPG (liquid) LPG (gas) 1 kg = 0.546 m³
m³ to kg LPG (gas) LPG (liquid) 1 m³ = 1.8315 kg
L to m³ LPG (liquid) LPG (gas) 1 L = 0.27 m³

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20. Sales officers Roles and Responsibilities

Conversion From To Conversion Value


m³ to L LPG (gas) LPG (liquid) 1 m³ = 3.70 L

Sr. Features Furnace Oil LDO/LSHS Electricity LPG


Storage Tanks Storage Tanks Conveniently
Clean Leak Proof
required with required with available. No
1 Storage cylinder occupy-
all statutory all statutory space require-
ing little space.
permissions permissions ment.
Calorific Val
2 Kcal Per 9800 - 10500 10500-11000 840 11500-11800
Unit
Proportional Proportional Limited to the Can be modu-
Control of to the amount to the amount max. wattage lated controlling
3
Heat of consump- of consump- of the appli- the air and LPG
tion tion ance. mix.
Use of Pump
Transfer
and heater Use of Pump
From Stor- Effortless and
4 done incon- and chances of Not Applicable
age to Ap- controlled.
venient & Spillage
pliance
Dirty.
Product of
sooty, Smoky, Smoky, fuel Non-toxic, no
5 Combus- Not Applicable
and toxic. gases are toxic. soot.
tions
Remarkably As complete
Mainte- High and fre-
6 high and fre- Costly combustion, cost
nance Cost quent.
quent. is almost NIL.
Appearance
Smoky dirty Relatively Clean and at- Clean and attrac-
7 During Op-
with spillages clean tractive. tive.
eration
High as tank- High as tank- High as induc-
Low as only Cyl-
Investment age, heaters, age, pumping tion coils, con-
8 inder bank only
Cost pumping units units etc. in- trols etc. in-
involved.
etc. involved. volved. volved.
spillage sus- spillage sus-
9 Others ceptible to pil- ceptible to pil- Not Applicable Pilfer Proof
ferage. ferage.

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20. Sales officers Roles and Responsibilities

Pressure Unit and Conversion Factor

Kg/cm² 2. Bar 3. mBar 4. PSI 5. mmWC


1Kg/Cm2=1Bar=1000mBar=10000mmWC=14.223PSI

LPG consumption calculation methods for conversion and new applications

The initial phase of any conversion process involves assessing the LPG consumption
in relation to the current fuel usage or determining the consumption estimate for a
new application. This step relies on both theoretical and empirical calculations, which
help in establishing the consumption pattern in scenarios involving fuel conversion or
new applications.

Theoretical calculation

To estimate LPG consumption based on calorific values and the existing usage of an-
other fuel (Furnace Oil) along with a given furnace efficiency, the following steps are
taken into consideration:
Calorific Values and Furnace Efficiency:
Furnace Oil (FO) Calorific Values: Given as 10500 KCal/kg (GCV) and 8400 Kcal/kg
(NCV).
FO Consumption and Heat Generation:
FO Consumption: Given as 16.66 liters/Hr, approximately equal to 15 kg/Hr (density
0.9).
Net Heat Generated/Hr for FO: Calculated as 8500 x 15= 127500 KCal/Hr.
LPG Calorific Value and Equivalent Consumption:
LPG Calorific Value:10900 Kcal/Kg (NCV).
LPG Equivalent Consumption/Hr: Calculated as 127500 / (10900) = 11.69 kg/Hr.
The derived result indicates that, considering the provided values, the estimated LPG
consumption equivalent to the existing FO consumption would be approximately 11.69
kg/Hr.

Empirical calculation

Fundamentally, the primary method for determining the consumption of any fuel within a
furnace depends on evaluating the net heat energy demand. To calculate the heat energy
needed for specific applications like melting, forging, or treating a product, the formula Q = M
x S x T is employed.

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20. Sales officers Roles and Responsibilities

In this equation, Q signifies the required heat energy, M represents the mass of the product
undergoing heating or melting, S is the specific heat of the material, and T denotes the tem-
perature difference from the desired treatment temperature to the ambient temperature.

For illustrative purposes, consider the scenario of melting 1000 kg of aluminium to a temper-
ature of 760°C. The specific heat of aluminium is 0.32 calories per gram per degree Celsius
(Cal/g), and the ambient temperature is 20°C. Accounting for various losses such as incom-
plete combustion (15%), flue gas wastage (15%), furnace lining (10%), and moisture (10%), we
proceed to calculate the energy required by accommodating these losses.

First, we ascertain the heat energy necessary without factoring in any losses. Then, we sum up
the percentage losses and utilize that cumulative value to adjust the heat energy calculation.
In this case, the total losses amount to 50%. Consequently, the energy required can be found
by dividing the heat energy calculated without losses by 0.50.

Calculation:

Q = (1000 kg x 0.32 Cal/g x 740°C) / 0.50 i.e. Q= 473,600 Kcal

Burner ratings and conversion factors

The commonly used burner rating units along with their respective conversion formulae:
Burner Rating Conversion Formula Example Conversion
KCal per Hr Burner rating (KCal per Hr) / If burner rating = 4lac K Cal per Hr
LPG NCV (400,000 / 10,900 = 36.69 Kg/Hr)
Kw (Energy con- Burner rating (KW) * 860 / If burner rating = 1000 KW
tent) LPG NCV (1,000 * 860 / 10,900 = 78.899
Kg/Hr)
Nm3 / Hr (Flow Burner rating (Nm3 per Hr) * If burner rating = 30 Nm3 per Hr
rate) 2.18 30 * 2.18 = 65.4 Kg/Hr

LPG Consumption Calculation for Steam boiler

It takes 560 Kcal of heat to create 1 kg of steam.

Example - To generate 500 kg of steam per hour using the Thermax RXA-06 model,
which has a boiler efficiency of 89%,
The required amount of heat can be calculated as follows:
i. Required heat (KCal) = (Steam produced (kg/Hr) * Heat to create 1 kg of steam
(KCal/kg)) / Boiler efficiency
ii. Required heat = (500 kg/Hr * 560 KCal/kg) / 0.89
iii. Required heat ≈ 314607.59 KCal/Hr
LPG required to generate 500Kg of steam =Required heat/ NCV of LPG

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20. Sales officers Roles and Responsibilities

= 314607.59 /10900
=28.86 Kg/Hr
Cost Benefit – Case Studies
Given below are the basic calculations to understand the economic benefits and required
quantity on shifting of any fuel to LPG. Please note that the prices given for various fuels in
these case studies are indicative and user should use the prevailing market rates for actual
calculations.

Case I: LPG v/s. Electricity

Variation in day & night temperatures Allow- 15% (at peak load consump-
ance 10°C tion)
Cost of operating oven on electric heater:
Heading Load 100 kW per Hr
Rate of Power Rs. 8/- per kWh
Rate of LPG Rs. 90/- per kg
Working hours per Day 20
Working Days per Month 25
Calculation for Electric Heater:
Power Consumption per hour 100 kW X Rs. 8/- per kWh
Rs. 800/- per hour
Cost for 20 hours (daily) Rs. 800 x 20
Rs. 16,000/- per day
Monthly Cost (25 working days) Rs. 16,000 x 25
Rs. 4,00,000/- per month
Calculation for LPG Fired System:

Net Calorific value of LPG 10,900 KCals/kg


LPG required for 100 kW 100 x 860 / 10,900
7.88 kgs
Operating cost per hour 7.88 x Rs. 90
Rs. 709.20 per hour
Cost for 20 hours (daily) Rs. 709.20 x 20
Rs. 14184/- per day
Monthly Cost (25 working days) Rs. 14184 x 25
Rs. 3,54,600/- per month
Monthly Savings (Electricity - LPG)

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Savings per month Rs. 4,00,000 - Rs. 3,54,600


Rs. 45400/-
Savings considering On/Off cycle 60% of Rs. 45,400
Rs. 27240/-
Annual Savings considering On/Off cycle

Savings per month Rs. 27,240/-


Annual Savings (12 months) Rs. 27,240 x 12
Rs. 3,26,880/-
Case II: LPG v/s. Diesel

Heating Load 100 kw


Rate of Diesel Rs. 90/- per Ltr
Rate of LPG Rs. 90/- per kg
Working hours per Day 20
Working Days per Month 25
Cost of operating oven on diesel fired system:
For Diesel units Efficiency: 83.33%
Required power input for heating load of 100 kw 120 kw
Net calorific value of Diesel 9612
Diesel required for 120 kw 120 x 860 /9612= 10.73Kgs/Hr
Density =0.8 10.73 /. 8 = 13.41 Ltr/ hr
Rate of diesel 90
Operating cost per hour 13.41*90*20 = Rs. 1206.9 per hour
Operating cost per day Rs. 1206.90 x 20 = Rs. 24138/- per
day
Cost of operating oven on LPG fired system
For LPG units Efficiency: 95%
Net Calorific value of LPG 10900 KCals / kg
1 kw of electric heat 860 KCals
LPG required for 100 kw 105.2 x 860/10900 = 8.3 Kgs
Operating cost per hour 8.3x 90 = Rs. 747 per hour
Operating cost per day Rs. 747 x 20 = Rs. 14940/- per day
Monthly savings = (24138-14940) x 25days = Rs. 229950
Assuming that On / Off cycle for oven would be 60-40 the saving would be 60% of Rs.
137970/-
Saving 1655640 per annum

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Case III: LPG v/s. PNG

Points to be taken care while comparing PNG and LPG:

i. Invoices: When comparing PNG (Piped Natural Gas) and LPG, it is essential
to check the invoices carefully. For PNG, charges are typically mentioned in ei-
ther rupees per MMBTU (Million British Thermal Units) or per SCM (Standard
Cubic Meter).

ii. Calorific Value: The calorific value of SCM may be fixed for a specific region
or provider. For example, Gujarat gas charges a certain amount for 1 SCM with
a calorific value of 8350 KCal. However, if the actual calorific value per SCM is
higher, such as 9000 KCal, the charges will be increased accordingly.

iii. Different Charges: Charges for PNG vary depending on whether the cus-
tomer is using MGO (Minimum Guaranteed offtake) or non-MGO connections.
Typically, non-MGO customers pay higher charges compared to MGO custom-
ers.

iv. Additional Charges: If the quantity of PNG consumed exceeds the MGO
limit, additional charges (Non MGO) may apply. These charges are incurred
when the consumption exceeds a predefined threshold.

v. Minimum MGO Quantity: It is important to note that even if someone does


not consume the minimum MGO quantity, charges still have to be paid. There
may be a minimum consumption requirement, and customers are billed ac-
cordingly, regardless of actual usage.

vi. Exchange Rate Dependency: The charges per SCM for PNG may depend on
the exchange rate of the Rupees to the US dollar. Fluctuations in the exchange
rate can impact on the charges and should be considered while comparing PNG
costs.

By keeping these points in mind, one can make a more accurate and comprehensive
comparison between PNG and LPG

Conversion calculation for a unit using 10,000 SCM, assuming 1 SCM is equivalent to
8350 Kcal.

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Basis of Calculation – Calculation value Unit


Consumption of PNG - 10,000 SCM
10000*8350/25
Total Calorific Value utilised 331.35 MMBTU
2000
Rate of PNG with VAT - 2121.9 Rs/ MMBTU
Current location price of LPG (Pre-GST) - 75.93 Rs. Per Kg
MMBTU /
Calorific Value Of LPG 10900/252000 0.04325
Kg
Total LPG required for equivalent Calorific 7660.56
331.35/0.04325 Kg
value 9
Calculation of Operating Cost
Operating Cost of PNG 703092 Rs.
Operating Cost of LPG 581667 Rs.
Savings by using LPG 1,21,425 Rs.
Total saving 17.27%

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20. Statutory Bodies and Statutes

PESO Storage Capacity Check in LPG NEXT:

In order to keep stock of Distributor Godown within PESO Licensed Storage


capacity, checks have been incorporated where goods receipt in LPGNEXT
would be subject to the PESO Licensed Storage Capacity. It is reiterated that
the filled cylinder in godown shall never cross PESO Storage Capacity of the
distributor. In order to arrive at the stock in LPG Godown at any instant, three new Slocs
have been created in LPGNEXT to reflect the current stock in Godown as

 Out For Delivery – This is the stock out for delivery for supplying to the custom-
ers during the day, where cash memos have been issued.

 Full Stock with BDA- This is the stock which is lying at BDAs/Urja Devis/VLEs
for supplying to customers as last mile delivery.

 Calculated Stock in Godown – This is the stock which is calculated based on


the Full Stock in Product Wise Stock(PWS) minus the above two stocks.
Calculated Godown Stock= PWS Stock(A) – Stock of Cash Memo Generated(B)
– Full Stock with BDA

*Stock of Cash Memo Generated will be Cash Memo Generated at the time of receiving
invoice

If calculated stock in Godown in(kg) plus the stock being acknowledged in Invoice is less
than PESO Approved Godown Capacity in (Kg) then only distributor can acknowledge in-
voice.

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20. Statutory Bodies and Statutes

Termination Process with PIN Code Mapping:

If the existing customer of a distributor is getting transfer outside a trading area of territory,
then such customers must be given TV Out, in this case the customer must return the cyl-
inder & Regulator, the existing distributor will pay back the deposit, after deduction of any
Subsidy advance as per TV documents. Generally, customers are unaware of the details
Bharatgas distributors at the place of transfer, which increases the chance of losing cus-
tomers to other OMCs. In order to provide details of the Bharatgas distributor at the place
of transfer. This will help to retain our customers and enhance customer delight. When the
customer wants to transfer LPG connection (TV) to another city. At the time of TV creation,
the distributor will ask the Pin Code where customer is being transferred. New option has
been developed on TV screen to enter the Pin Code. The entry of Pin Code is mandatory for
TV creation is depicted below:

When the distributor enters the Pin Code, the system will populate the list of distributors
mapped for the given pin code. The list of distributors will be displayed in de-
scending order of their TDT rating for the last quarter. Project distributors
will appear at the end.

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20. Statutory Bodies and Statutes

From the list of distributors, customer has to choose one distributor. If there is no Bha-
ratgas distributor serving in the entered Pin Code area, then system will allow to proceed
further without selection of distributor. For entered Pin code, if distributors are available,
then selection of distributor is mandatory on the screen. The address and contact details
of the selected distributor will be displayed on the screen.

The address and contact details of selected distributor will be printed on TV document.
Detailed procedure is attached is Annexure-B.

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20. Statutory Bodies and Statutes

Acknowledgement
The task force comprising of the following members worked tirelessly to complete the up-
gradation of the Guide to LPG sales. The members had put their experience and
knowledge to ensure that comprehensively all the topics pertaining to the requirement of
smooth working of the sales team in field. They ensured that the Sales forces get equipped
with the latest circulars, technological changes, prevalent sales practices, extant policy
guidelines and the dashboards for their smooth functioning.

Task Force members:

1. Yogesh Pandey – DGM Marketing (LPG), Delhi, Haryana & Uttarakhand


2. Mayank Priyadarshi – Territory Manager (LPG), Muzaffarpur
3. Jyoti Prasad - Territory Manager (LPG), Bakania
4. Prateek Mahale - Sr. Manager Sales (LPG), Ahmedabad
5. Pramod Kumar - Manager Sales (LPG), Ghazipur
6. Suman P - Manager Sales (LPG), Thiruvanathapuram

HQ Coordinators:
1. Manoj Yadav – Sr. Manager System Development (LPG) HQ
2. Ankur Gupta - Team Member LPG NEXT, LPG (HQ)
3. CPS Rajawat - Team Member LPGNEXT (LPG)

Anchored and coordinated by Aneet Mohan – State Head (LPG), Andhra & Tel-
angana.

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