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Centre hikes LPG supply to hotels, restaurants; total commercial allocation reaches 50%

An official statement said domestic LPG supply remains stable, with no reported shortages at distributorships and normal delivery operations continuing

People wait in a queue with empty LPG cooking gas cylinders to avail refilled ones, in Noida, Saturday, March 21, 2026. PTI

Our Web Desk & PTI
Published 21.03.26, 08:45 PM

The Centre has increased the allocation of commercial LPG to states and Union Territories by an additional 20 per cent, taking the total allocation to 50 per cent, as supplies improve following recent disruptions linked to the West Asia conflict.

The three-week-long war in the Middle East had affected energy supplies to India, leading to a cut in LPG supplies to commercial establishments such as hotels and restaurants to prioritise domestic consumption.

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Supplies were later restored in phases, with an initial 20 per cent and an additional 10 per cent allocation tied to progress on piped natural gas (PNG) connections.

On Saturday, the government announced a further 20 per cent allocation for key sectors, including restaurants, hotels, industrial canteens, food processing units, community kitchens and subsidised food outlets.

The plan also includes targeted distribution to support migrant workers.

The additional allocation will be subject to commercial establishments registering with oil companies and applying for a piped natural gas connection, according to a letter written by the oil secretary to states.

An official statement said domestic LPG supply remains stable, with no reported shortages at distributorships and normal delivery operations continuing.

Panic bookings have declined, and citizens have been advised to avoid crowding and rely on home delivery.

The government is also promoting a shift to PNG, particularly for commercial users, and has urged states to expedite approvals for city gas distribution networks.

Refineries are operating at high capacity with adequate crude inventories, ensuring sufficient availability of petrol and diesel. No fuel shortages have been reported at retail outlets, and the public has been advised against panic buying, it said.

Natural gas supplies to priority segments, including domestic PNG and CNG transport, are being fully maintained, while industrial consumers are receiving about 80 per cent of their usual supply.

Additional steps include increased domestic LPG production, extended booking intervals, and allocation of extra kerosene supplies to states to provide alternative fuel options.

States and Union Territories have been directed to maintain strict vigilance against hoarding and black marketing, it said, adding more than 3,500 raids have been conducted nationwide, leading to the seizure of around 1,400 LPG cylinders.

Most states have also set up control rooms and district-level monitoring committees to oversee supply and distribution.

In the maritime sector, the government said 22 Indian-flagged vessels with 611 seafarers remain in the western Persian Gulf region, with no reported incidents in the past 24 hours.

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