Union Ministry Announces Enhanced LPG Supply for Industries and Migrant Workers
In a significant move to support industrial operations and improve fuel accessibility, the Union ministry of petroleum and natural gas unveiled new directives on Wednesday. The announcement focuses on easing LPG supply for various industrial sectors while also doubling the availability of 5kg cylinders for migrant labourers across the country.
Industrial LPG Allocation Boosted to 70%
The ministry has mandated that industrial units will now receive 70% of their LPG requirements, a step aimed at ensuring smoother business operations and minimizing production disruptions. This directive applies to a broad spectrum of sectors, including pharmaceuticals, food processing, polymers, agriculture, packaging, paint, uranium, heavy water, steel, seeds, metals, ceramics, foundries, forging, glass, and aerosol manufacturing.
According to the ministry's circular, units can access 70% of their pre-March 2026 bulk non-domestic LPG consumption level, subject to an overall sectoral limit of 0.2 TMT per day. Priority will be given to industries where LPG is essential for specialized purposes that cannot be substituted by natural gas, highlighting the government's focus on critical production needs.
Doubled Supply of 5kg LPG Cylinders for Migrant Workers
In a parallel initiative announced on Monday, the ministry plans to double the supply of 5-kg LPG cylinders, classified as Free Trade LPG (FTL). These cylinders are designed to ensure access for migrant labourers, who can purchase them from LPG distribution agencies, selected petrol pumps, and retailers by presenting any government-issued identity card.
Under the scheme, an Indane FTL cylinder costs Rs 1,505, with subsequent refills priced at Rs 630 each, while HP FTL cylinders are available for Rs 1,519, with refills at Rs 631. However, distributors have expressed concerns about the lack of clear guidelines to prevent misuse or indiscriminate buying of these smaller cylinders.
Awareness and Implementation Challenges
LG Kumar, secretary of the Karnataka circle of the All India LPG Distributors Federation, noted that FTL was previously available but not well publicized, leading to low awareness among migrant workers. Many hesitated to obtain cylinders due to documentation requirements like Aadhaar cards. To address this, delivery personnel are spreading awareness at railway stations, bus stands, labourers' settlements, and other areas.
Kumar added that each distributor is receiving around 50 FTLs per day from companies, but distributors remain unsure how to authenticate whether customers are genuine migrant workers or in real need, as they were instructed during a video conference with DGMs of oil companies and ministry secretaries to issue cylinders based on any government ID card.
This dual approach by the ministry aims to bolster industrial productivity while enhancing fuel access for vulnerable populations, though implementation hurdles persist.
