Positron annihilation from a dipole Ps state caused by simultaneous localization of the positron and electron in the field of a fixed electrical dipole is considered. The angular correlation curve of annihilation γ-quanta is calculated. For a fixed value of dipole moment the half width of the correlation curve decreases with decrease in dipole charge. With increase in dipole moment the correlation curve narrows. In a number of cases the given annihilation mechanism may be responsible for the appearance of the characteristic narrow component in the angular correlation spectrum. This component is usually ascribed to decay of a positronium atom. It is stressed that in interpreting the narrow component one must be careful in choosing the corresponding annihilation mechanism. Experimental results are analyzed.