Centre offers additional 10 pc commercial LPG to states and UTs

New Delhi, March 18, 2026

The government on Wednesday announced that it has offered States and UTs an additional 10 per cent allocation of commercial LPG linked to reforms supporting transition from LPG to PNG.

The Ministry of Petroleum and Natural Gas said that all the oil refineries in India are operating at high capacity with adequate crude inventories and domestic LPG production has been increased by about 40 per cent.

“There is sufficient production of petrol and diesel in India and no imports of these fuels are required to meet domestic demand,” the ministry said in an official statement.

“LPG supply continues to be monitored in view of the prevailing geopolitical situation. Domestic LPG cylinder deliveries continue as normal and no dry-outs have been reported at distributorships, it added.

Online LPG bookings have increased from 83 per cent to 93 per cent while Delivery Authentication Code coverage has expanded from 53 per cent in February to about 81 per cent at present in order to prevent diversion.

“An additional allocation of 48,000 KL of kerosene has also been provided to States and UTs as an alternative cooking fuel. These states have been requested to identify distribution points,” the ministry stated.

Supplies of petrol and diesel continue to be maintained regularly and no cases of fuel dry-outs have been reported at retail outlets by oil marketing companies.

“Citizens are advised not to resort to panic buying as adequate stocks are available,” the statement said.

Priority sectors continue to receive protected gas supplies, including 100 percent supply to domestic PNG and CNG transport, while supplies to industrial and commercial consumers are being regulated at around 80 per cent.

Commercial LPG consumers are encouraged to switch to PNG, and establishments such as hotels, restaurants, hospitals and hostels can obtain PNG connections from authorized City Gas Distribution (CGD) entities.

CGD companies including IGL, MGL, GAIL Gas and BPCL are offering incentives to promote domestic and commercial PNG connections.

The Government is expanding the CGD network to promote clean and efficient PNG usage, and businesses are encouraged to approach authorised CGD entities for connections. CGD entities have been advised to ensure maximum gas supply to critical sectors such as seed drying units and cold storages, the statement said. (Agency)