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India Boosts LPG Production Amid West Asia Tensions to Stabilise Supply

The Central government has directed oil refineries to increase LPG production to meet domestic household demand, prioritising this additional output for homes. The Ministry of Petroleum has extended the inter-booking period for cylinders from 21 to 25 days to prevent hoarding and black marketing. Non-domestic LPG from imports is being allocated to essential sectors like hospitals and educational institutions. Officials state there is no immediate concern over petrol and diesel availability, with prices stable unless crude oil exceeds $130 a barrel.

Key Points: India Orders Refineries to Boost LPG Production for Households

  • Boost domestic LPG supply
  • Extend booking gap to 25 days
  • Prioritise households & essential sectors
  • Ensure petrol & diesel availability
  • Mitigate global fuel volatility
2 min read

West Asia conflict: Centre orders refineries to boost LPG production for domestic use

Centre directs oil refineries to increase LPG output for domestic use, prioritising households and extending booking gap to 25 days to ensure supply stability.

"In light of current geopolitical disruptions... the Ministry has issued orders to oil refineries for higher LPG production - Ministry of Petroleum"

New Delhi, March 10

Amid ongoing West Asia tensions affecting global fuel supply, the Central government has instructed oil refineries across the country to increase LPG production. The additional output will be diverted to meet domestic household demand and help stabilise supply in the coming months, the Ministry of Petroleum and Natural Gas announced on Monday.

In a post on X, the ministry said oil refineries have been directed to enhance LPG production and prioritise the additional output for household consumption.

"In light of current geopolitical disruptions to fuel supply and constraints on the supply of LPG, the Ministry has issued orders to oil refineries for higher LPG production and using such extra production for domestic LPG use," it said.

The ministry has prioritised domestic LPG supply to households and introduced 25 day inter- booking period to avoid hoarding/black marketing.

"Non domestic supplies from imported LPG is being prioritised to essential non domestic sectors such as Hospitals and Educational institutions," it said.

"For LPG supply to other non-domestic sectors, a committee of three EDs of OMCs have been constituted to review the representations for LPG supply to restaurants/hotels/other industries," the Ministry added.

Government sources said the extension of the booking gap from 21 to 25 days was introduced after authorities noticed unusual consumption patterns. "There were instances that people who were earlier booking LPG cylinders in 55 Days have started booking cylinders in 15 days," sources said.

Despite global market volatility, officials maintained that there is no immediate concerns regarding petrol and diesel availability in the country. Fuel prices are unlikely to increase unless crude oil prices rise beyond USD 130 per barrel, sources said, adding that India currently has adequate fuel reserves.

- ANI

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Reader Comments

R
Rohit P
Good step! Prioritizing households, hospitals, and schools is the right thing to do. Hope the prices remain stable. The last thing we need is another price hike for the common man. 🙏
A
Aman W
While the intent is good, the implementation is key. We've seen announcements before, but the supply chain issues at the local distributor level often remain. Also, what about the small restaurants and dhabas? A committee to review their needs sounds like more red tape.
S
Sarah B
It's reassuring to see proactive planning. Global supply chains are so fragile. Having adequate fuel reserves and a plan to boost domestic production shows foresight. Fingers crossed the crude prices stay below that $130 threshold.
V
Vikram M
People booking cylinders in 15 days instead of 55... no wonder they had to change the rule! Some selfish folks always try to stockpile and create artificial shortages. Hope the stricter gap is enforced properly.
N
Nisha Z
This is vital for rural areas too. In my village, many families still rely heavily on LPG. Any disruption hits them the hardest. Glad hospitals and schools are also on the priority list.

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