Centre invokes Essential Commodities Act to ensure uninterrupted LPG supply
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New Delhi: The government has invoked the Essential Commodities Act to ensure an uninterrupted supply of domestic cooking gas after hotels and restaurants reported shortages of commercial LPG cylinders. Authorities have directed refineries and petrochemical units to maximise LPG production.
Under the move, key hydrocarbon streams will be diverted to the LPG pool to boost availability and stabilise supplies for household consumption.
The government has also issued the Natural Gas (Supply Regulation) Order 2026 to regulate the production and sector-wise allocation of natural gas, including liquefied natural gas and re-gasified liquefied natural gas, ensuring priority supply to critical sectors.
According to the order, priority allocation will be given to sectors such as domestic piped natural gas supply, compressed natural gas for transport, LPG production, pipeline compressor fuel requirements, fertiliser plants, tea industries and other key industrial consumers.
The government has tasked GAIL, in coordination with the Petroleum Planning and Analysis Cell, with implementing the regulation and ensuring adherence to the sector-wise allocation framework.
Meanwhile, the minimum waiting period for booking a domestic LPG cylinder refill has been increased from 21 days to 25 days to prevent hoarding, amid signs of panic buying triggered by uncertainty surrounding the Iran war.
Officials said there is sufficient LPG supply in the country and the revised booking cycle has been introduced to manage inventory effectively.
Demand for LPG has surged by 15 to 20 per cent due to panic bookings, driven by fears that supplies could be disrupted because of the escalating conflict in the Middle East.
Officials noted that an average household consumes seven to eight LPG cylinders of 14.2 kilograms a year and would normally not require a refill in less than six weeks.
A senior official also said petrol and diesel prices will not be increased for now, with oil marketing companies — Indian Oil, Bharat Petroleum and Hindustan Petroleum — expected to absorb the current cost pressure for the time being. The government is closely monitoring global oil markets but has no immediate plans to raise retail fuel prices.
Meanwhile, Parliament was informed on Monday that India currently has crude oil and petroleum product storage capacity sufficient for 74 days, which could help manage supply disruptions arising from adverse situations such as geopolitical conflicts.
With IANS inputs