India Prohibits Dual PNG and LPG Connections in New Supply Order Amendment
The Ministry of Petroleum and Natural Gas announced a significant policy shift on Saturday, amending its supply order to bar consumers with piped natural gas (PNG) connections from retaining, obtaining, or refilling domestic LPG cylinders. This decision aims to streamline energy distribution and comes against the backdrop of global supply chain disruptions triggered by the ongoing conflict between Iran, Israel, and the United States.
New Regulations on Dual Connections
Under the amended order, government-run oil marketing companies are now prohibited from issuing new LPG connections or providing refills to consumers who already have PNG connections. The ministry explicitly stated that individuals with PNG connections must immediately surrender their domestic LPG connections and cannot take refills from any government oil company or their distributors.
The order clarifies: "No person having a Piped Natural Gas connection and also having domestic LPG connection shall retain a domestic LPG connection, or take refills of domestic LPG cylinders from any Government oil company, or through their distributors. Such persons will be required to immediately surrender their domestic LPG connection."
Furthermore, it adds: "No person having a Piped Natural Gas connection, shall obtain a domestic LPG connection, or take refills of domestic LPG cylinders from any Government oil company, or through their distributors."
Government Assurances Amid Global Supply Concerns
This policy change unfolds amid heightened concerns over LPG availability across India, as global supply chains face disruptions due to the escalating conflict in the Middle East. The Iran-Israel war has particularly impacted energy exports, with recent US strikes on Iran's Kharg Island—a critical hub for Tehran's oil exports—exacerbating tensions and threatening regional stability.
However, the Indian government has moved swiftly to reassure citizens about fuel stability. At an inter-ministerial briefing on Saturday, Joint Secretary (Marketing & Oil Refinery) Sujata Sharma emphasized that India maintains sufficient crude oil supplies and that refineries are operating at full capacity.
"As far as crude oil and refineries are concerned, we have a sufficient supply of crude and our refineries are operating at full capacity. There have been no reports of any dry-out at retail outlets. Adequate petrol and diesel are available," Sharma stated.
She further highlighted India's self-sufficiency in petrol and diesel production, noting that the country currently does not need to import these fuels. "We produce enough petrol and diesel in the country according to our requirements, and therefore there is no need for us to import them," Sharma added.
Safe Passage for LPG Carriers Through Conflict Zone
In a positive development, the government confirmed that two Indian-flagged LPG carriers, Shivalik and Nanda Devi, safely navigated the conflict-affected Strait of Hormuz early Saturday. These vessels are now en route to ports in Gujarat, carrying a combined 92,700 tonnes of LPG.
Rajesh Kumar Sinha, Special Secretary in the Ministry of Shipping, announced at the media briefing that the ships are heading to Mundra and Kandla, respectively, and are expected to dock at Indian ports on March 16 or 17. This successful transit underscores India's efforts to secure energy imports despite regional hostilities.
The ministry's amendment to the supply order, coupled with these assurances, reflects a strategic approach to managing domestic energy resources while navigating international geopolitical challenges. Consumers with PNG connections are advised to comply with the new regulations to avoid disruptions in their gas supply.
