What Government Told About Non-Domestic Packed LPG Supplies? Will Sectoral Supply Restrictions Be Withdrawn?

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In a major relief to industrial and commercial LPG consumers, Government has removed all sectoral restrictions on the supply of Non-Domestic Packed LPG (for commercial, industrial, and institutional use) and restored supplies to the levels prevailing prior to the West Asia crisis. 

Further, the supply of bulk LPG, which had been suspended at the onset of the crisis, has been relaxed by 50% of the pre-crisis consumption levels providing significant relief to commercial and industrial consumers. The restoration follows the recent improvement in the LPG supply situation.

Taking note of the improved indigenous LPG production and the projected availability of imported LPG cargoes, Government has also decided to reduce the diversion of C3/C4 streams to LPG pool.

Since the onset of global supply disruptions arising from the West Asia crisis, Government has accorded the highest priority to ensuring uninterrupted availability of LPG to domestic consumers across the country. In line with this, temporary restrictions were imposed on the supply of commercial packed LPG. The timely policy interventions and coordinated efforts by Oil Marketing Companies (OMCs) helped maintain stable supplies despite challenging global supply chains.

The Government has directed Oil Marketing Companies to continue maintaining comprehensive data on commercial and industrial LPG consumers to facilitate efficient planning and supply management. A unified sectoral database will also be maintained across the OMCs to strengthen monitoring and operational coordination.

At the same time, the Government remains committed to expanding PNG connectivity. Commercial and bulk consumers who have already shifted to Piped Natural Gas (PNG) will continue to remain on PNG. Other eligible LPG consumers having access to the PNG network, or those in the process of shifting to PNG, will be progressively transitioned to PNG in coordination with City Gas Distribution (CGD) entities.

In this regard, the Secretary, Ministry of Petroleum and Natural Gas, has written to the Chief Secretaries of all States and Union Territories for ensuring smooth implementation of the revised supply arrangements.

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