Supply of LPG is still a concern in view of prevailing geopolitical situation
The Ministry of Petroleum and Natural Gas briefed on the fuel supply situation in the country and the arrangements to ensure continued availability of petroleum products and LPG, in view of the prevailing geopolitical developments and the situation relating to the Strait of Hormuz.
Supply of LPG is still a concern in view of prevailing geopolitical situation. There has been surge in the number of LPG bookings on account of panic buying. Daily bookings have increased from an average of 55.7 lakh to 88.8 lakh. Commercial cylinders for consumers have been put at the disposal of state government for priority distribution. Commercial LPG have been made available to consumers in 29 states/UTs. Online bookings of cylinders at present is 84%. 17 states/UTs have setup control rooms to monitor situation.
According to Ministry of Petroleum and Natural Gas priority sectors have been protected for their supplies including 100% supply to PNG and CNG with no cuts whereas supplies to industrial & commercial consumers are being regulated at 80%.
GAIL held videoconference with City Gas Distribution (CGD) entities authorized in major urban centres/cities e.g. Delhi, Mumbai, Ahmedabad, Hyderabad, Chennai, Bangalore, Lucknow, Kanpur, Jaipur etc. in the country and advised them for expediting and promoting new commercial PNG connections for hotels and restaurants so as to reduce pressure on LPG supplies.
As per the Ministry of Petroleum and Natural Gas, all refineries are currently operating at high levels and maintaining adequate crude oil inventories. Further, India is self-sufficient in the production of petrol and diesel, and no imports of petrol and diesel are required for meeting domestic demand.
CAQM order dated 13.03.2026 permits temporary use of biomass/RDF pellets in place of natural gas by industries, hotels and restaurants in NCR for one month; coal or kerosene may be used where alternatives are unavailable. Rationalisation measures include increasing LPG booking intervals (25 days in urban areas and up to 45 days in rural areas). An additional 48,000 KL of kerosene has been allocated to States/UTs and alternate fuels like kerosene and coal are being used to reduce pressure on LPG in the hospitality sector.
PSU Oil companies have been asked to promote digital LPG bookings, discourage panic booking, and avoid unnecessary visits to dealerships.
Of the 24 vessels in the Persian Gulf region (west of the Strait of Hormuz) till yesterday, two Indian-flag LPG carriers — Shivalik and Nanda Devi — carrying about 92,712 MT of LPG crossed the Strait of Hormuz. They are scheduled to reach Mundra Port and Kandla Port on 16 and 17 March respectively.
There are currently 22 Indian-flagged vessels with 611 seafarers in the Persian Gulf region. DG Shipping is closely monitoring the situation with ship owners, RPSL agencies, and Indian Missions.
A Quick Response Team at DG Shipping is operating 24×7 and coordinating with shipping companies, embassies, MEA and P&I Club insurers. Concerns of around 1,300 seafarers and their families have been addressed.
The government is working with ports, shipping lines and logistics stakeholders to minimise operational impact on maritime trade.
Ports have been advised to provide relief measures such as concessions in anchorage, berth hire and storage charges. Lease extensions have also been granted in certain cases, including for 25,000 MT barytes cargo at Kamarajar Port.
Major ports are giving priority berthing to LPG vessels to ensure energy supply. In the past few days, six LPG vessels have been received at major ports.
Ports are also providing safe anchorage areas for loaded vessels bound for the Gulf that are currently unable to transit.
The Ministry continues to monitor the situation closely in coordination with MEA, Indian Missions, shipping companies and other maritime stakeholders to ensure the safety and welfare of Indian seafarers.
India currently has more than adequate fertiliser stocks for the upcoming Kharif 2026 season. Urea stocks are higher than last year; DAP stocks are nearly double and NPK stocks are also significantly higher. Domestic urea production is expected to exceed consumption as the Rabi season concludes, while global tenders have already been placed and supplies are expected by the end of March.
Subscribe to our newsletter & stay updated.