KYC Must for all LPG Gas Consumers

LPG providing companies ask the KYC documents from the customers. There is a huge numbers of customers to the LPG and hence, companies extends the time limit for providing the documents and KYC form from 31-10-2012 to 15-11-2012

What is KYC?
KYC is know your customer. Companies need to have the customer latest ID proof, signature and latest photo.

Why LPG companies require it?
There is a huge subsidy on LPG cylinder providing by the government of India. Because LPG cylinders are used in kitchen work. Government provides almost 45-50% subsidy on gas cylinders. There is a huge black-market of LPG cylinders in India. So in order to provoke the black marketing and reduce the burden of subsidy, LPG providing companies need to update the KYC rules.

Also there are multiple connections on one name in the oil companies list. Companies need to check it and discontinue providing the subsidy cylinders to the person who has multiple connections with the same name or at the same address.

So in order to check the multiple connection as well as stop the black marketing of LPG cylinders, one need to full the KYC norms till 15 November 2012 after which the companies stop proving the gas cylinders to the customers who haven’t fulfill the KYC norms.

What to do for KYC norms?
It’s simple. One need to get a KYC forms of the gas distributor company, fill the form, attach address proof and a latest photo and submit to the gas providing agency along with the GAS passbook. The distributor will check the form and the document and mark in the gas passbook as KYC received.