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Informist, Monday, Mar. 16, 2026

 

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--Govt: Trying to procure LPG from wherever possible 
--Govt: Domestic LPG production up 36% from Mar 5 levels 
--Govt:Indian-flag LPG carrier Shivalik to reach Mundra port around 1700 IST 
--Govt: Urge citizens to shift to alternate fuels from LPG wherever possible 
--Govt: Have adequate crude oil inventories 
--Govt: LPG supply uncertain; prioritising domestic availability 
--Govt: Gas distribution cos giving incentives to customers to opt for PNG 
--Govt: No dry-outs at petrol, diesel outlets, LPG distributorships
--Govt: Sale of commercial LPG cylinders partially restored 
--CONTEXT: Govt officials' comments in inter-ministeral briefing on West Asia

 

NEW DELHI – The government has partially restored the sale of commercial liquefied natural gas cylinders, curtailed initially to prioritise LPG supply to households in the wake of the military conflict in West Asia, Sujata Sharma, joint secretary in the petroleum and natural gas ministry, said Monday. The government's priority, however, remains ensuring that LPG cylinders are supplied for domestic use.

 

Sharma said the government is keeping a close watch on LPG distribution centres at the lowest level to prevent black-marketing and hoarding of cylinders. LPG remains the primary cooking fuel for millions of households, and any disruption quickly affects its availability. India imports about 60% of its cooking gas requirements. Of this, around 90% is routed through the Strait of Hormuz.

 

India faces supply constraints after Israel and the US launched joint military strikes on Iran on Feb. 28, prompting Tehran to hit back at the Jewish state and at US military installations around the Persian Gulf region. Iran has also shut the Strait of Hormuz, a narrow waterway that connects the Gulf to the Arabian Sea and the Indian Ocean, resulting in a sharp rise in crude oil and natural gas prices.

 

A fifth of global crude oil supply flows through the strait. About half of India's crude oil imports--primarily from Iraq, Saudi Arabia, the United Arab Emirates, and Kuwait--also pass through the strait, making the country particularly vulnerable to shipping bottlenecks there and to surging freight and insurance rates.

 

Amid the serious supply disruption, the government had stopped the supply of LPG cylinders for commercial use, affecting the food and beverage industry. The government has taken various other measures to keep LPG supply uninterrupted, and those have resulted in an increase in LPG production by 36% compared to the production level on Mar. 6, Sharma said.

 

India imports large volumes of LPG from West Asia, with 60% of its requirement being met from countries in the Persian Gulf region. To mitigate the cooking gas crunch, the government has also allocated an additional 48,000 kilolitres of kerosene for domestic and commercial use. The government has also mandated that consumers with piped natural gas connections will neither be allowed to obtain a new LPG connection nor retain an existing additional connection. This move is meant to manage the shortage of LPG cylinders. The government has also barred them from obtaining any refills of their LPG cylinders.

 

Sharma reiterated that consumers with access to an alternative fuel supply must shift from LPG. City gas distribution companies are also giving incentives to lure customers to shift to piped natural gas, she said.  

 

According to the joint secretary, the government is securing LPG from every possible source. The Indian-flagged ship 'Shivalik', carrying LPG, crossed the Strait of Hormuz on Saturday and was scheduled to reach Mundra port in Gujarat around 1700 IST.

 

On the availability of petrol and diesel, the government said no cases of fuel dry-out have been reported at retail outlets by oil marketing companies and supplies of petrol and diesel continue to be maintained regularly. India also has adequate crude oil inventories with all refineries operating at high capacity, she said.  End

 

Reported by Priyasmita Dutta

Edited by Rajeev Pai

 

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