LPG Refill: Big move by central government. The Ministry of Petroleum and Natural Gas has prohibited individuals with PNG (Piped Natural Gas) connections from acquiring or refilling LPG cylinders. This decision comes at a time when supply issues have emerged due to the ongoing conflict in West Asia. The turmoil caused by Iran’s conflict with the US and Israel has led to global chaos. In response, the LPG Control Order was amended on Saturday to prevent the misuse of subsidized LPG by families that already have PNG connections and to enhance distribution.
What does the new supply order entail?
According to the new supply order, the government has banned oil companies from providing new LPG connections or refills to those who already have access to the PNG network. Additionally, individuals with PNG connections will also be prohibited from maintaining their LPG connections, which means that households with both PNG and LPG connections will need to give up their existing LPG connections.
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What is the current status?
Two Indian-flagged LPG vessels have successfully navigated through the Strait of Hormuz and are en route to India, carrying around 92,700 tonnes of LPG. Rajesh Kumar Sinha, Special Secretary in the Ministry of Ports, Shipping and Waterways, mentioned that 24 Indian-flagged ships are currently positioned in the Persian Gulf, west of the Strait of Hormuz. Among them, Shivalik and Nanda Devi, which are transporting LPG, have safely traversed the route and are anticipated to arrive at Indian ports shortly. They are expected to dock at Mundra and Kandla ports on March 16 and 17.
Government oil companies (IOCL, BPCL, HPCL) and their distributors will not be able to provide LPG to such households. The government’s clear objective is to better manage the limited supply of LPG and ensure that cylinders reach needy families who do not have access to alternatives like PNG. PNG is primarily available in urban areas, where cheaper and more environmentally friendly gas is available through pipelines. However, LPG remains the primary fuel in rural and smaller towns. This change will reduce the demand for LPG in PNG-available areas, thereby increasing the availability of subsidized cylinders for rural consumers.
This move is also seen as a step towards the “One Home, One Fuel” policy. The government has previously attempted to ban dual connections, but now this rule has been clearly and strictly enforced. Consumers have been advised that if they have both connections, they should immediately surrender the connection by visiting the nearest LPG distributor or the company’s portal. There will be no penalty for surrendering, but breaking the rules may result in legal action.