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Govt Urges City Gas Firms to Fast-Track PNG for Hotels, Restaurants

The government has advised city gas distribution companies to prioritize providing PNG connections to commercial establishments to reduce pressure on LPG demand. States have been offered an additional 10% commercial LPG allocation if they aid the long-term shift from LPG to PNG. Recent data shows over 13,700 new PNG connections and a significant drop in panic LPG bookings. Supply to priority sectors like domestic PNG, CNG transport, and institutions remains protected despite global supply chain concerns.

Key Points: Govt Advises Priority PNG for Commercial Users Amid Supply Concerns

  • Priority PNG for commercial users
  • States offered extra LPG for transition
  • Over 13,700 new PNG connections issued
  • Panic LPG bookings decline sharply
2 min read

City gas firms advised to prioritise PNG connections for commercial entities

Government directs city gas firms to prioritize PNG connections for commercial establishments like hotels and restaurants to ease LPG demand pressure.

"prioritise PNG connections for commercial establishments such as hotels, restaurants and canteens - Government Advisory"

New Delhi, March 21

As the West Asia crisis escalates affecting global supply chains, the government has advised city gas distribution entities to prioritise PNG connections for commercial establishments such as hotels, restaurants and canteens.

The CGD companies include IGL, MGL, GAIL Gas and BPCL are currently offering incentives. These have been directed by PNGRB to shorten the timeline between the submission of applications and the commencement of gas supply to consumer households and pursue mass awareness initiatives.

The government has also requested states and UTs to expedite approvals for CGD expansion.

Meanwhile, the Centre has also offered all states/UTs additional 10 per cent allocation of commercial LPG to states, provided they can help in long term transition from LPG to PNG.

According to Petroleum Ministry, it is now on the states/UTs to take this reform forward and ensure expansion of CGD network and expedite issuance of connections to domestic and commercial/industrial PNG consumers in their areas.

In the meantime, over 13,700 new PNG connections have been issued in recent days and more than 7,300 consumers have shifted from LPG to PNG, helping reduce pressure on LPG demand.

While supply of LPG is still a concern in view of prevailing geopolitical situation, no dry-outs have been reported at distributorships.

Notably, panic bookings have declined significantly - from 89 lakh on March 13 to around 55 lakh on March 20 - while domestic LPG deliveries continue as normal.

Around 18 states and UTs have issued orders for allocation of non-domestic LPG, with supply being made available across all States and UTs. Educational institutions and hospitals are being prioritised, receiving around 50 per cent of commercial LPG allocation.

Around 11,360 MT of commercial LPG has been uplifted in the past week, informed the government. Priority sectors continue to receive protected supplies, including 100 percent supply to domestic PNG and CNG transport.

- IANS

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Reader Comments

P
Priya S
Good step, but what about the timeline for residential areas? My housing society in Bangalore has been waiting for PNG for over a year. Commercial priority is fine, but households shouldn't be forgotten. Hope the states expedite approvals as advised.
R
Rohit P
The reduction in panic bookings from 89 lakh to 55 lakh is a relief! Shows public confidence is returning. Shifting to PNG is the long-term solution. Our dhaba in Punjab made the switch last year - cheaper and more reliable supply. More awareness is needed in smaller towns.
S
Sarah B
As someone who runs a small cafe in Delhi, this news is very welcome. The incentives and faster connections will help small businesses a lot. The global supply chain issues are real, and this proactive planning by the government is appreciated.
V
Vikram M
Glad to see educational institutions and hospitals are prioritized for LPG allocation. That's absolutely essential. The focus should remain on critical services while the PNG network expands. The state governments now need to act fast on these advisories.
K
Karthik V
While the intent is good, the implementation will be key. I hope the CGD companies like IGL and MGL actually shorten the timelines as directed. Often there's a big gap between policy and ground reality. Let's see how this plays out.

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