There are 32.68 crore active domestic LPG consumers served by public sector Oil Marketing Companies (OMCs) as on 01.07.2024. To ensure a steady supply of refills and accommodate new LPG connections, OMCs currently have over 50 crore cylinders in circulation which are predominantly steel cylinders. To meet replacement and fresh future demand, OMCs regularly review their inventories and issue tenders for the procurement of new cylinders.
Composite cylinders are a recent offering of PSU OMCs and are still in limited circulation. These cylinders have a three-layered construction. The cylinder is made up of a blow-molded High-Density Polyethylene (HDPE) inner liner, covered with a composite layer of polymer- wrapped fibre glass and fitted with a HDPE outer jacket. These cylinders are costlier than regular steel cylinders but are lighter in weight, rust-free, translucent and safer.
Oil Marketing Companies (OMCs) procure composite cylinders through competitive bidding process from any manufacturer meeting the tender requirements. Currently, there is no proposal to set up any manufacturing facility by OMCs anywhere in the country.
OMCs promote composite cylinders through various methods viz. generating awareness in consumers, display of banners and standees, distribution of pamphlets during home delivery and other marketing initiatives etc.