According to the new order issued by the Ministry of Petroleum and Natural Gas, LPG supply to a household will cease after three months if the consumer fails to opt for PNG despite availability
Pic/PTI
In a major policy shift aimed at strengthening energy security and accelerating gas infrastructure, the Centre has mandated that LPG supply to households may be discontinued if consumers do not switch to piped natural gas (PNG) where such connectivity is available, reported news agency PTI.
The move comes amid global supply disruptions linked to the ongoing West Asia conflict, which has impacted LPG availability and prompted the government to push for alternative fuel adoption.
LPG Supply to Stop After Three Months of Non-Compliance
According to the new order issued by the Ministry of Petroleum and Natural Gas, LPG supply to a household will cease after three months if the consumer fails to opt for PNG despite availability, reported PTI.
However, the provision includes an exception. LPG supply will continue in cases where PNG connectivity is “technically infeasible,” subject to a no-objection certificate issued by the authorised entity.
Push for PNG to Reduce Dependence on LPG
The directive is part of the Natural Gas and Petroleum Products Distribution Order, 2026, which aims to promote a shift from LPG to PNG — a fuel that is continuously supplied through pipelines and eliminates the need for refill bookings, reported PTI.
The government is encouraging households and commercial users to adopt PNG as a more reliable and efficient alternative, particularly during times of global supply uncertainty, reported PTI.
Measure Aimed at Optimising LPG Distribution
Officials said the move is intended to free up LPG supplies in areas where PNG networks already exist and redirect those supplies to regions that lack pipeline infrastructure, reported PTI.
The policy also aligns with broader efforts to diversify energy sources and reduce reliance on a single fuel, especially as disruptions in global trade routes like the Strait of Hormuz continue to affect imports.
Faster Approvals to Boost Pipeline Expansion
The new order introduces several measures to speed up the rollout of PNG infrastructure. Authorities have been directed to grant permissions and right-of-way approvals within fixed timelines, failing which approvals will be deemed granted, reported PTI.
In residential areas, housing authorities must provide access for pipeline installation within three working days, while last-mile PNG connectivity is to be ensured within 48 hours wherever feasible.
Strict Compliance and Monitoring Framework
The Petroleum and Natural Gas Regulatory Board (PNGRB) has been designated as the nodal agency to monitor implementation, including tracking approvals, compliance, and progress of pipeline projects, reported PTI.
Entities authorised to lay pipelines must begin work within four months of receiving approval or face penalties, including potential loss of exclusivity.
Legal Backing Under Essential Commodities Act
The order has been issued under the Essential Commodities Act, giving it strong legal backing. It also empowers designated officers with authority similar to civil courts to resolve disputes related to land access and pipeline installation.
Govt Calls Move ‘Opportunity Amid Crisis’
Commenting on the development, Oil Secretary Neeraj Mittal described the initiative as turning a crisis into an opportunity through reforms aimed at improving ease of doing business and strengthening energy resilience, reported PTI.
(With inputs from PTI)
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