On Wednesday, the Government of India offered States and Union Territories an additional 10 per cent allocation of commercial LPG. This increase is specifically linked to reforms that support the transition from Liquefied Petroleum Gas (LPG) to Piped Natural Gas (PNG). The ministry highlighted that domestic LPG production has been ramped up by 40 per cent and that refineries are operating at high capacity with adequate inventories. Commercial establishments like hotels, hospitals, and hostels are being strongly encouraged to switch to the PNG network provided by authorized City Gas Distribution (CGD) entities to ensure a more efficient and stable supply.
The government also provided a reassuring update on the country’s overall fuel security amidst prevailing geopolitical tensions. The ministry stated that India currently has sufficient production of petrol and diesel to meet domestic demand without the need for imports. To prevent any supply disruptions, an additional 48,000 KL of kerosene has been allocated to states as an alternative cooking fuel. Citizens have been advised against panic buying, as oil marketing companies report no cases of fuel “dry-outs” at retail outlets or distributorships.
To curb the diversion of fuel and improve distribution efficiency, the ministry has significantly improved digital tracking. Online LPG bookings have surged to 93 per cent, and the implementation of the Delivery Authentication Code (DAC) has expanded to 81 per cent. While priority sectors like domestic PNG and CNG transport are receiving 100 per cent of their required supply, industrial and commercial consumers are currently being regulated at around 80 per cent to maintain a balanced reserve. CGD companies like IGL, GAIL Gas, and BPCL are currently offering incentives to help businesses make the switch to cleaner piped gas.
