LPG Supply Remains Steady as Oil Companies Face Losses on Cylinder Sales
Oil Marketing Companies (OMCs) are grappling with under-recoveries of nearly Rs 700 on each domestic LPG cylinder, despite government efforts to bolster supply. Sujata Sharma, joint secretary in the Ministry of Petroleum and Natural Gas, disclosed this information during an inter-ministerial briefing on Thursday. The government has increased domestic LPG production and secured imports to ensure sufficient availability across the nation.
Sharma emphasized that the under-recovery on LPG domestic cooking cylinders remains significant. She noted that recent measures include ramping up domestic production and establishing import tie-ups to address the demand-supply gap. “As of yesterday, around 54 TMT of LPG was evacuated from different sources within the country,” she stated.
Demand Moderates, Supplies Remain Stable
Sharma reported that LPG demand has moderated due to several factors, including decreased consumption from commercial and industrial users, changes in booking cycles, and the implementation of delivery authentication systems. “There has been a reduction because our commercial and industrial LPG… and the other reason is the booking period that we managed, I mean 25 days and 45 days,” she explained.
Despite ongoing geopolitical tensions in West Asia, the ministry assured that energy supplies remain stable. Sharma confirmed that the country has adequate stocks of key fuels and that refinery operations are functioning normally. “Our refineries are operating at an optimum level,” she added.
LPG Distribution and PNG Expansion
On the distribution front, Sharma stated that no LPG distributor has reported running out of stock. She highlighted the increasing reliance on digital systems for booking and delivery processes, with 99 percent of bookings now made online. “Around 1.43 crore LPG cylinders were delivered against bookings of 1.5 crore cylinders over the last three days,” she noted.
In terms of piped natural gas (PNG), the government reported significant progress in network expansion. Since March 2026, approximately 8.82 lakh PNG connections have been gasified, with infrastructure established for an additional 2.98 lakh connections. Sharma also mentioned that over 80,400 PNG consumers had surrendered their LPG connections as of June 3.
Observer Voice is the one stop site for National, International news, Sports, Editor’s Choice, Art/culture contents, Quotes and much more. We also cover historical contents. Historical contents includes World History, Indian History, and what happened today. The website also covers Entertainment across the India and World.
