LPG is the cooking fuel of choice in India, because it is considered economical, portable, and convenient. However, this perception is changing rapidly. LPG cooking gas prices were hiked once again on September 1, as the state-owned petroleum companies raised the rates with effect from today.
Due to the recent revision in LPG rates, the price of a non-subsidised cylinder in Delhi weighing 14.2 kg went up to Rs. 884.50 while one weighing the same costs an unbelievable Rs. 911 in Kolkata, says a Hindustan Times report. In Mumbai, an LPG cylinder will now cost Rs. 884.50 as well. In the last two months, the price of LPG has gone up by Rs. 75. Meanwhile, the prices of commercial gas cylinders used in restaurants and eateries have also gone up. The price of a 19 kg commercial cylinder has gone up by Rs. 75; it costs Rs. 1,693 in Delhi, and a staggering Rs. 1,770.50 in Kolkata.
Why such steep prices?
These hikes are on the back of global cues with international prices of crude oil and its products rising. LPG is manufactured by refining crude oil or processing raw natural gas, all of which are sourced from fossil fuel. Global oil markets are largely responsible for the fall in the prices of all petroleum products, but oil companies also raised the price of subsidised cooking gas consistently. Had this increase not taken place, the 14.2 kg domestic LPG cylinder price would have been more than Rs 100 cheaper.
Subsidies cut
The Pradhan Mantri Ujjwala Yojana (PMUY) was instituted to provide concessional LPG connections to rural BPL families. However, even when LPG prices were relatively lower, a significant share of beneficiaries preferred to use traditional solid fuels. The government has completely eliminated the need to provide subsidy on domestic cooking gas as the global fall in oil prices and frequent rise in LPG gas cylinder price has brought the price of cooking gas closer to market rates. In fact, with the price gap between the subsidised and non-subsidised cooking gas narrowing since early this fiscal, the government has not made any cash transfers into the accounts of beneficiaries for the last four months. With this move (or lack of one), the Indian government could save funds to the tune of Rs 20,000 crore in FY21 towards LPG subsidy. This would be huge given the pressure on the government to step up expenditure for Covid-19 relief schemes.
Piped gas gaining ground
PNG (Piped Natural Gas) is gaining popularity as a cooking fuel since it’s more cost-effective. PNG is supplied and metered just like electricity. Since it is measured just like electricity through meters, there is zero chance of any tampering or the customer receiving lower weight like LPG upplied in cylinders. The reading for this natural gas received through pipelines is registered only for its actual consumption taken place. The LPG cylinder occupies space in the kitchen. However, PNG is supplied through a half-inch pipeline which occupies almost close to negligible space. In case of PNG, you have to pay as per the consumption only. This is unlike LPG cylinder where you cannot use all the gas as some quantity is always left in the cylinder. However, piped gas has still not reached most of rural India.
Is it sustainable?
LPG is currently not considered a renewable or green fuel, as it is made by refining petroleum and gas, however it is considered relatively clean as it burns with very few emissions. It is also among the lowest carbon-emitting fuel sources for cooking. For example, LPG emits 60% fewer GHGs than electric coil cooktops, 50% fewer emissions than some biomass stoves, and 19% fewer GHGs than kerosene stoves. Despite being a non-renewable fuel that will imply a certain level of emissions, LPG can contribute to reducing net GHG emissions through more efficient combustion and cooking than biomass, leading to lower emissions of CO2 and black carbon per unit of heated food, according to a study carried out by the engineering consultancy Multiconsult.
BioLPG – a cleaner alternative
BioLPG is a renewable alternative to traditional LPG and is produced from processing vegetable oils and waste products. The feedstocks and waste products are combined with hydrogen to extract their energy. The energy product is then purified to make it identical to LPG, and it can then be used with any LPG-suited product or appliance with no need for a converter or filter. It can be used exactly the same as LPG and is 40% renewable – a sizeable improvement over LPG which is fossil-fuel dependent.
Another advantage of BioLPG is that it could, in theory, be made anywhere, as it is not dependent on being next to a fossil fuel source. This could be an important development for energy in a country like ours, since it could provide employment, reduce pollution, and enable ease of access to energy for all. Government-owned Indian Oil (IOCL) is working on bringing BioLPG to Indian households in the near future.
Solar cookstoves
Solar cookstoves and solar cookers are ingenious ways of cooking food without the use of any kind of fuel. Solar is an environmentally friendly alternative to traditional LPG-cylinder based or electricity-based cooking technologies. Corporate Social Responsibility has made rapid progress in this department with companies like ONGC, Vedanta and social impact organisations like Tata Trusts and World Vision India promoting solar technology for clean cooking.
Bancha in Betul district is the first village in India to have zero wooden stoves and almost no use for LPG cylinders with all its 75 houses relying on solar-powered stoves to meet their cooking needs. With the help of a team from IIT Mumbai, a special solar stove was developed for Bancha. No trees are cut by the villagers now for lighting their stoves. They worked with the government ministry on this project. Dharmendra Pradhan chose Bancha for this project when he was Minister of Petroleum & Natural Gas, and it’s being replicated to make other villages smoke and pollution free.
