Kamal Ghorui
NEW DELHI: Centre on Wednesday said it will provide an additional 10% allocation of commercial LPG to states and Union Territories that support a long-term transition to PNG. The government also acknowledged that the LPG situation remains “worrisome” amid global disruptions.During an inter-ministerial briefing, Sujata Sharma, joint secretary in the ministry of petroleum and natural gas, said, “LPG issue is still worrisome. There is an improvement in online booking. But it is also true that there are long lines at distributors.”The “govt of India has offered all States/UTs an additional 10% allocation of commercial LPG provided they can help in long-term transition from LPG to PNG,” Sharma added.The offer was formally communicated through a government letter dated March 18, 2026. The Centre has also linked additional LPG allocation to specific policy measures by states.
- The 1% extra allocation is for forming state and district-level committees to approve City Gas Distribution (CGD) applications and resolving grievances.
- 2% additional allocation for issuing orders to granting deemed CGD permissions.
- 3% additional allocation for introducing “Dig and restore scheme” for CGD entities.
- 4% additional allocation for reducing the annual rental/lease charges.
Sharma continued to say that, “many of the states have already started allocating the commercial cylinders. 15 states have made allocation of commercial LPG to the distributors and almost 7200 tons of commercial LPG that includes both bulk and auto also has been already uplifted across the country in the last four days…We have sufficient inventories.”“We procure crude from more than 40 countries. Our refineries are operating at the maximum capacity. We have sufficient supplies of LNG also. We are requesting the consumers to shift from the LPG to the PNG…” she added.She further reiterated that there is no immediate supply collapse. “We have sufficient stocks of aviation turbine fuel and no price increase has been done by the oil marketing companies…Till now, there has been no increase in the prices of petrol and diesel,” she said.Earlier on Tuesday, she advised judicious consumption of LPG and also advised using alternate sources for cooking. “On the issue of LPG, I would like to reiterate that the situation still remains a matter of concern. However, no LPG distributor is facing a dry-out situation at present,” she said.“In addition, LPG supplies and cylinder deliveries for all domestic consumers are continuing as usual. With regard to online booking, I would like to inform you that there has been significant improvement, and as of today, nearly 94% of cylinder bookings are being made online. There has also been improvement in the delivery authentication code system, which has now reached 76%. As far as commercial LPG supplies are concerned, these were initially completely halted but were later partially restored,” she added.The government also urged consumers to use LPG judiciously and explore alternative cooking options where possible.The move comes amid escalating tensions in the Middle East involving Iran, the United States and Israel, which have disrupted global energy supply chains. Vessel movement through the Strait of Hormuz, a key route that carries about one-fifth of global oil and a significant share of LPG shipments has been affected.To curb shortages and prevent malpractice, state governments have stepped up enforcement measures, including raids to check hoarding and black marketing of LPG cylinders. At the same time, alternate fuels such as kerosene and coal are being used in sectors like hospitality and restaurants to ease pressure on LPG supplies.
