New Delhi, April 02: Ministry of Petroleum and Natural Gas on Thursday reported accelerated expansion in piped natural gas (PNG) infrastructure and stable fuel supply conditions, even as global energy markets remain volatile.
Over 55,000 PNG connections have been gasified across 110 geographical areas in the past five days, reflecting the government’s push to expand cleaner fuel access. In parallel, more than 4.3 lakh 5-kg free trade LPG (FTL) cylinders have been sold since March 23 to support last-mile energy availability.
Policy Support and LPG Allocation
To facilitate a gradual shift from LPG to PNG, the government has offered an additional 10 per cent allocation of commercial LPG to states and Union Territories. Currently, eight states/UTs are availing this benefit, while proposals from three more are under review.
Supply Stability and Refining Operations
The ministry said all refineries are operating at high capacity, backed by adequate crude inventories. Domestic LPG production has also been ramped up to meet consumption needs. Retail fuel outlets continue to function normally across the country, with no disruptions reported.
Despite global pressures, retail prices of petrol and diesel remain unchanged. However, public sector oil marketing companies (OMCs) are facing under-recoveries of ₹24.40 per litre on petrol and ₹104.99 per litre on diesel, indicating cost pressures amid elevated crude prices.
Priority Allocation and Demand Management
The government has prioritised essential consumption, ensuring 100 per cent supply to domestic PNG users and CNG for transport. Supply to industrial and commercial consumers connected to the grid is being maintained at around 80 per cent of their average consumption.
City Gas Distribution (CGD) entities have been directed to prioritise PNG connections for high-consumption segments such as restaurants, hotels, and canteens to ease pressure on commercial LPG demand.
Industrial and Fertiliser Sector Supply
Supply to urea fertiliser plants remains stable at 70–75 per cent of their recent average consumption levels. Additional LNG and regasified LNG (RLNG) cargoes are being sourced to ensure continuity in pipeline operations.
Meanwhile, states and UTs have largely aligned with the Centre’s allocation guidelines, with commercial entities lifting around 60,370 metric tonnes of non-domestic LPG since March 14.
Overall, the measures highlight the government’s multi-pronged strategy to ensure fuel availability, promote cleaner alternatives, and manage supply-demand dynamics amid ongoing geopolitical uncertainties.
