LPG shortage: The Central Government on Friday issued a statement, mentioning that the domestic Liquefied Petroleum Gas (LPG) production has been stepped up by 30%. Officials from the Centre also urged the citizens not to indulge in panic booking of the LPG cylinders, assuring that the supplies remain stable even amid snowballing geopolitical tensions in West Asia. LPG bookings soar to 75.7 lakh/ day, says Secretary
Sujata Sharma, Joint Secretary in the petroleum ministry, said that the LPG bookings have risen in the past few days. She said, “On average, India sees about 55.7 lakh bookings per day, but recently the number rose to 75.7 lakh bookings in a single day, indicating panic buying.” She then appealed to the general public to maintain composure and avoid spreading rumours.[caption id="attachment_939" align="alignnone" width="1200"]
LPG cylinders[/caption]Disruptions in Strait of Hormuz trigger fears
Notably, India traditionally imports 60% of its LPG requirements and about 90% of these imports pass through the Strait of Hormiz, a crucial maritime route linking the Persian Gulf with the Arabian Sea. Tensions rose after Iran reportedly shut the strait amid the ongoing conflict with the US and Israel. Several oil and LPG tankers were targeted in the region.
The 50-mile-wide waterway is one of the world’s most critical energy corridors, constituting one-fifth of global oil and LPG shipments.
Meanwhile, the Indian government has directed the companies to ramp up domestic LPG production and has also constituted a committee to monitor the situation. Despite the spike in demand, officials maintained that there have been no reports of LPG distributors running out of stock. The government also underscored that petrol and diesel supplies remain secure.
Sharma said that India has a refining capacity of 258 million metric tonnes, paving the way to meet domestic fuel requirements without imports. She further said, “All our refineries are operating at 100% capacity or more, and they hold adequate crude oil inventories.”
Furthermore, the ministry assured that the supplies of Piped Natural Gas (PNG) and Compressed Natural Gas (CNG) for domestic and transport use are in force without any disruptions.