Hormuz Energy Crisis: Government Launches 60-Day PDS Kerosene Initiative to Alleviate LPG Burden on Consumers

As the ongoing conflict in the Middle East strains global energy supplies, the Indian government has implemented a temporary 60-day emergency plan to alleviate cooking fuel shortages. This initiative, announced on Monday, will provide additional kerosene to states and Union Territories for essential household use, including cooking and lighting. The plan also marks a short-term reintroduction of kerosene in 21 regions where it had previously been phased out, ensuring that households without access to liquefied petroleum gas (LPG) can still obtain a basic energy source.

Emergency Kerosene Supply Measures

To address the pressing need for cooking fuel, the Ministry of Petroleum and Natural Gas has authorized selected fuel stations in kerosene-free regions to store and distribute Superior Kerosene Oil (SKO) for household consumption. Under this plan, up to two fuel stations per district, preferably those operated by public sector oil companies, will be permitted to stock up to 5,000 liters of kerosene. This measure aims to ensure that households facing LPG shortages can access an alternative energy source.

In an effort to expedite the distribution process, the government has relaxed certain licensing requirements for dealers and transporters. However, the ministry has emphasized that safety and monitoring standards will remain in place. The kerosene supplied under this initiative is strictly designated for household cooking and lighting purposes.

Increased Allocations and Distribution Points

In conjunction with the emergency measures, the government has sanctioned an additional allocation of 48,000 kiloliters of kerosene beyond regular distributions for all states and Union Territories. Local administrations have been tasked with identifying district-level distribution points to facilitate the delivery of this essential fuel. So far, 17 states and Union Territories have received orders for SKO allocations, while Himachal Pradesh and Ladakh have indicated that they do not require additional supplies. Key regions benefiting from this allocation include Delhi, Uttar Pradesh, Gujarat, and Rajasthan.

As part of the government’s efforts to ensure a smooth supply chain, enforcement actions have been intensified to combat irregularities in the energy sector. Authorities have conducted nearly 2,900 raids recently, resulting in the seizure of close to 1,000 cylinders as part of a crackdown on hoarding and black marketing. States have been instructed to enhance monitoring, conduct daily briefings, counter misinformation, and expedite approvals for gas-related infrastructure projects.

Shifts in Consumer Behavior and Supply Management

In light of the current energy situation, some consumers have begun to shift away from LPG. As of Saturday, approximately 6,000 users of piped natural gas (PNG) have surrendered their LPG connections. Neeraj Mittal, secretary of the Ministry of Petroleum and Natural Gas, expressed gratitude to those who made the switch on social media platform X.

To manage supply effectively, the government is prioritizing domestic and transportation needs, ensuring full allocations for PNG and compressed natural gas (CNG) segments. Industrial and commercial users are currently receiving around 80% of their average consumption, while fertilizer plants are operating at 70-75% capacity. Additionally, the government is arranging for extra liquefied natural gas (LNG) cargoes to secure fuel and gas supplies, as reported by PTI.


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