LPG black market thrives in GB Nagar as officials wink

NOIDA/GREATER NOIDA: Illegal sale of LPG cylinders has become a thriving business in Noida and Greater Noida, owing to the absence of a stringent regulatory authority to curb it.
A subsidized domestic cylinder, sold at Rs 435 by the government, is re-sold between Rs 750 and Rs 1,000 in the black market. Sources in the business said they also sell empty cylinders to new customers for Rs 2,400 to Rs 3,000, whereas a fresh single-cylinder connection, along with a gas stove and regulator, costs Rs 6,000, and can take up to six months to get activated.
"Our charges vary according to the customer and his needs. If the customer is a regular, we offer them a cylinder at Rs 750, Rs 100 extra for supplying it to Greater Noida. The government offers 12 subsidized cylinders a year to registered consumers, at Rs 435 per cylinder. The restriction has led to a surge in the sale of cylinders at high prices in the black market. With the government charging Rs 752 for each additional non-subsidized cylinder, we sell them at between Rs 750 and Rs 1,000," said a supplier.
According to black market sources, there are 38 LPG distributors in Gautam Budh Nagar district and over five lakh registered LPG customers. On an average, one lakh cylinders are sold in the black market every month. District supply officer Vinay Kumar said that this year the department seized 400 cylinders sold illegally and arrested eight people involved in the trade.
Sources were quite open about their modus operandi, claiming that it wouldn't be possible without the help of gas agencies. "Without gas agencies being involved, we wouldn't be able to run this lucrative business. There are many bogus customers in the city. On top of this, there are those who have moved out of Noida without surrendering their membership. We issue cylinders from the agencies in the names of such customers and sell them in the black market," a source said.
And how do black marketers evade arrest? Rajpal, an illegal trader, said, "We have a good understanding with the local police and administration, who flag us before a raid. We also keep changing the location of our depot between the twin cities." He added that Noida's large migratory population, from labourers and students to job-seekers, are their biggest customers.