Centre raises commercial LPG allocation to 50 per cent as panic buying eases

Pic/PTI

The Centre on Saturday increased the allocation of commercial LPG to states and Union Territories to 50 per cent, aiming to ease supply pressures amid improving demand conditions and a decline in panic bookings, reported news agency PTI.

Additional allocation to support key sectors

The Ministry of Petroleum and Natural Gas said an additional 20 per cent allocation has been approved, taking the total to 50 per cent, which also includes an earlier 10 per cent allocation linked to reforms promoting piped natural gas (PNG), reported IANS.

The increased supply will be prioritised for essential sectors such as restaurants, dhabas, hotels, industrial canteens, food processing units, dairy operations, and community kitchens. Smaller 5 kg free trade LPG cylinders for migrant workers will also be included.

Gradual restoration of supply

The government had earlier restored 20 per cent of commercial LPG supply and subsequently added another 10 per cent allocation based on states' performance in PNG expansion reforms, reported IANS.

Officials said 20 states and Union Territories have already issued orders to distribute non-domestic LPG in line with central guidelines, while public sector oil companies are supplying the remaining regions.

Strong uptake across states

According to the ministry, around 13,479 metric tonnes of commercial LPG has been lifted by businesses across states and UTs over the past week, reported IANS.

Educational institutions and hospitals are being given priority, with nearly 50 per cent of the allocation directed towards these critical sectors.

Panic bookings decline, supply stabilises

The government said panic-driven LPG bookings have reduced significantly, while domestic LPG production at refineries has increased to support demand, reported IANS.

Most deliveries are now being processed through Delivery Authentication Code (DAC) systems, improving transparency and efficiency.

No fuel shortages reported

Officials reiterated that there have been no reports of fuel shortages at petrol pumps, with adequate stocks of petrol and diesel available across the country, reported IANS.

"All refineries are operating at high capacity, and sufficient crude inventories are in place," the ministry said.

Advisory to public

The government urged citizens not to resort to panic buying, assuring that supplies are stable despite global uncertainties linked to geopolitical tensions.

The enhanced allocation is part of broader efforts to maintain uninterrupted fuel supply and support essential services during a period of global energy disruptions.

(With inputs from IANS)