Explore Business Standard
)
The ongoing war in West Asia has begun to disrupt LPG supplies in India. Escalating conflict around the Persian Gulf and the Strait of Hormuz has delayed shipments and increased freight costs, affecting supply chains. Several restaurants and hotels in cities such as Mumbai and Bengaluru have flagged shortage of commercial LPG cylinders. The central government has asked refiners to prioritise domestic LPG supply and curb hoarding to stabilise availability.
Till April 19, about 39,400 PNG consumers have surrendered their LPG connections
India's dependence on LPG imports and slow expansion of piped gas networks highlight policy gaps, affordability challenges, and consumer behaviour issues hindering a transition to cleaner cooking fuel
Updated On: Apr 21 2026 | 8:25 PM ISTRegulator invites bids for LPG pipeline projects to reduce bulk road transport, improve efficiency and support cleaner energy distribution
Updated On: Apr 17 2026 | 8:54 PM ISTAlthough the government is sticking to its forecasts of 6.8 per cent-7.2 per cent for the fiscal year through March 2027, several economists have already started to downgrade their projections
Updated On: Apr 16 2026 | 9:41 AM ISTThe blending of 20 per cent dimethyl ether (DME) --produced from coal gasification -- with LPG could reduce LPG imports by about 6.3 million tonnes annually, leading to a saving of forex of up to USD 4.04 billion (around Rs 34,200 crore) per year, according to a latest report. Coal gasification converts coal into syngas, which is then transformed into DME's clean-burning fuel that serves as a homegrown substitute for imported LPG. The report assumes significance in the wake of India facing Liquefied Petroleum Gas (LPG) supply constraints since the war broke out in West Asia. According to the report titled 'Coal gasification for energy and chemical security' by EY-Parthenon and New Era Cleantech Solution Ltd -- a domestic coal gasification firm -- "DME, producible from coal gasification, can partially substitute LPG imports". It further said 20 per cent blending could displace approximately 6.3 million tonnes of LPG imports annually. The Bureau of Indian Standards (BIS) has already
India's cooking gas LPG consumption fell by a steep 13 per cent in March as supply disruptions linked to the West Asia conflict hit availability for both household kitchens and commercial users, according to latest official data. LPG consumption was at 2.379 million tonne in March, 12.8 per cent lower than 2.729 million tonne consumed in the same period last year. India imports about 60 per cent of its LPG requirements, much of it via the Strait of Hormuz, which was effectively shut following US and Israeli strikes on Iran and Tehran's retaliation. With supplies from Saudi Arabia and the United Arab Emirates disrupted, the government has cut LPG supplies to commercial establishments like hotels, and industries to safeguard household cooking gas availability. According to the Oil Ministry's Petroleum Planning and Analysis Cell (PPAC), LPG cylinder sold to domestic households fell 8.1 per cent in March to 2.219 million tonne while those sold to non-domestic users was down almost 48 pe
Cooking gas LPG demand is inching towards normalcy as domestic supplies increased as onset of summer chips away demand, a senior official said on Friday. With the war in West Asia disrupting global energy supplies, cooking gas availability in India, too, was impacted. Following this, the government prioritised supplies to domestic household kitchens by cutting supplies to commercial establishments such as hotels and restaurants. The cuts spark panic, prompting even domestic consumers to rush to secure LPG refills. Daily bookings exceeded 88 lakhs at peak last month as against pre-crisis bookings of about 45 lakh a day. Efforts to raise domestic output by diverting petrochemical pools into LPG production, led to a 40-50 per cent rise in output, prompting restoration of some of those supplies. At a news briefing, Sujata Sharma, Joint Secretary in the Ministry of Petroleum and Natural Gas, said daily bookings are in the range of 46-50 lakh currently. "Deliveries are normal. Yesterday
The Government of India convened a briefing at the National Media Centre on Monday. Officials from the Ministries of Petroleum and Natural Gas, Ports, Shipping and Waterways, and External Affairs provided updates on fuel availability, maritime operations, assistance to Indian nationals in the region, and measures being undertaken to maintain stability across key sectors. The Ministry of Heavy Industries also shared updates regarding the heavy industries sector.Enforcement actions continue across the country to curb hoarding and black marketing of LPG. More than 2250 raids were conducted across the country. Till Sunday, more than 1.28 lakh raids have been conducted, over 59,000 cylinders have been seized, more than 1000 FIRs have been registered, and 238 persons have been arrested.According to a press release, in this context, meetings were convened on 2 April 2026 (Chaired by Secretary, MoPNG) and on 6 April 2026 (Chaired by Secretary, MoPNG along with Secretaries of I & B and ...
Auto component manufacturers have not reported any serious LPG supply shortage, a senior official said on Monday, adding that the government is in touch with industry body ACMA to ensure an adequate gas supply and prevent any supply chain disruptions. Addressing an inter-ministerial briefing here on the recent developments in West Asia, Additional Secretary in the Ministry of Heavy Industries, Hanif Qureshi, said that regarding supply chain issues, the ministry is in constant touch with the automobile industry and is making appropriate efforts to address them. The government has also advised the industry to use cleaner fuels, such as electric furnaces and PNG, wherever available, he added. Responding to media queries, Qureshi said, "LPG is used in the component manufacturing industry, and the government is in touch with ACMA (Auto Component Manufacturers Association) and the industry associations. We are taking all measures to ensure that adequate supply is there, along with the ...
India has ramped up supply of smaller 5-kg LPG cylinders and accelerated the rollout of piped natural gas (PNG) connections as it manages fuel availability amid disruptions triggered by the West Asia conflict. More than 13 lakh 5-kg free trade LPG cylinders have been sold since March 23, with daily sales rising above 100,000 units, as authorities expand access for migrant workers and low-income consumers, according to an official statement. At the same time, over 424,000 new PNG connections have been activated since March, with more than 30,000 consumers surrendering LPG connections as part of the transition. The six-week long war in West Asia has disrupted global energy supply. India relied on import of half of its crude oil, 40 per cent of its gas and 85-90 per cent of LPG from the region was also impacted. While it has managed to make up for the shortfall in crude oil by sourcing from other regions, LPG supplies have been impacted. The government has prioritised LPG supply to .
From police stations to fast-food outlets, Indraprastha Gas Ltd is expanding its push for piped natural gas connections in Delhi-NCR as it looks to rapidly expand its user base to ease pressure on cooking gas LPG, its chief executive Kamal Kishore Chatiwal said. Following disruptions to energy supplies from the West Asia conflict, the government is pushing wider adoption of piped natural gas (PNG) as a convenient alternative to LPG, given its more diversified sourcing and lower dependence on the Gulf region. "We were (before the West Asia crisis) providing 600-700 PNG connections per day, which have scaled up to 2,100-2,200 a day now. The ultimate target is to take them to 5,000 connections," IGL Managing Director Chatiwal said. Besides laying pipelines to household kitchens to provide them with a convenient cooking gas alternative, IGL is targeting fast-food chains that had faced the brunt of LPG supply disruptions after the government prioritised the limited available cooking gas
An India-flagged liquefied petroleum gas (LPG) tanker, Jag Vikram, has crossed the Strait of Hormuz, marking the first such transit by an Indian vessel since a temporary two-week ceasefire between the United States and Iran was announced, according to ship-tracking data. The tanker moved through the strategic waterway between Friday night and Saturday morning and was located in the Gulf of Oman, east of the Strait on Saturday afternoon, proceeding eastwards. Jag Vikram is the ninth Indian vessel to exit the Persian Gulf since early March, while about 15 India-flagged ships remain in the region, awaiting passage. Owned by Mumbai-based Great Eastern Shipping Company, Jag Vikram is a mid-sized gas carrier with a deadweight capacity of over 26,000 tonnes. Trade sources estimate it could be carrying around 20,000 tonnes of LPG. At least 28 India-flagged vessels were in the Strait of Hormuz region when the West Asia conflict erupted, including 24 on the western side and four on the east