In September, issue of new LPG connections had been put on hold pending a massive nationwide exercise to eliminate users having multiple connections at the same address
New Delhi: After a few weeks of hiatus, state-owned oil companies have resumed issuing new subsidised cooking gas (LPG) connections, beginning with North Eastern states, reports PTI.
In September, issue of new LPG connections had been put on hold pending a massive nationwide exercise to eliminate users having multiple connections at the same address.
The three oil PSUs have now started releasing new LPG connections in Meghalaya, Sikkim, Nagaland and Andaman & Nicobar Islands, said Indian Oil Corp, the nation's largest fuel retailer.
Jammu & Kashmir, Himachal Pradesh, Manipur and Tripura will follow suit shortly. New connections would be released in other states once the exercise to eliminate duplicate connections is completed.
"Prospective customers, who have registered for new LPG connections till 15th October with gas distributors of oil marketing companies -- IOC, Bharat Petroleum and Hindustan Petroleum in Meghalaya, Sikkim, Nagaland and Andaman & Nicobar Islands and who do no posses LPG connection, can now avail of a subsidised new LPG connection," IOC said in a statement.
The same for customers in J&K, HP, Manipur and Tripura will be announced soon, it said.
IOC said though oil firms had stopped releasing new connections pending completion of de-duplication process, they had continued to accept registration of new allotments.
"For convenience of customers, oil marketing companies have also extended the deadline for completion of Know-Your Customer (KYC) forms till 30th November," it said. "Only multiple connection holders should submit the KYC details before the new deadline."
In a nationwide exercise to weed out multiple or ghost connections, the government extended the deadline for customers to fill KYC forms by 15 days
LIC Direct’s emails hard sells its annuity product creating a fear that interest rates in India may drop to 2% to 4% in next 20 years! If LIC is confident about it, then why does its annuity product lock in the rate of 7% to 8% for the lifetime of a customer?
LIC Direct, an alternate distribution route from Life Insurance Corporation of India (LIC), is sending promotional emails with a pitch about India joining the club of developed countries in a few years. As a developed country, interest rates in India after 20 years can be 2% to 4%, it claims. The offer is to buy Jeevan Akshay VI, which has current annuity rates of 7% to 8%. If the interest rates were really going to fall to such lows, LIC should not be taking the risk of locking the customer at high annuity rates of 7% to 8%. Has Insurance Regulatory and Development Authority (IRDA) approved the LIC advertisement?
LIC’s sales pitch is mis-selling through false advertisement by fear-mongering about interest rates. The email talks about prevalent interest rates in some developed countries to be 2% to 4%. While it may be true at this time, it does not have to be always true. In the U.S, Fixed Deposits (FD) interest rate for 10 out of last 20 years has given 5% to little over 7% p.a. returns. So, LIC is really making false and misleading statements. That apart, future interest rates in India will depend on lot of factors including inflationary expectations, taxes, risks of investment, consumption, liquidity and so on. Asserting that India is expected to join the club of developed countries in a few years is preposterous.
Annuity products give customer fixed returns every year for a lifetime. E.g. A person of age 50 years making a one-time payment of Rs1 lakh to buy Jeevan Akshay VI product will get 7% p.a., which is Rs7,000 per year for lifetime. The insurance company takes the risk of interest rate movements and longevity of the annuitant. Increase in the longevity of Indians and market interest rate’s downward movement means higher risk for an insurance company. If the market interest rates were to drop to 2% to 4%, the annuitant getting 7% to 8% will continue to do so till his lifetime. In that case, LIC should not be taking the risk of offering 7% to 8% annuity as it will make huge losses when market interest rate is only 2% to 4%.
Jeevan Akshay VI, an annuity product, offers 6.89% to 7.48% lifetime lock-in rate for a customer of age 30 to 80 years respectively. Online purchase of the product gives a rebate of 1% by way of increase in the annuity rate. Annuity is taxable in India. The specified rates are for option of purchase price is returned to the beneficiary after the death of the annuitant.