India lifts restrictions on commercial LPG supplies amid US-Iran peace talks

The Union government on Thursday removed all restrictions and restored supplies of non-domestic packed liquefied petroleum gas as they stood before the war in West Asia.

The decision is expected to provide relief for restaurants, hotels and other businesses.

The Ministry of Petroleum and Natural Gas said that restrictions on bulk LPG supplies have also been eased, with supplies restored to 50% of pre-crisis consumption levels.

“The restoration follows the recent improvement in the LPG supply situation,” the government said.

During the West Asia crisis, the government had used emergency powers under the Essential Commodities Act to ensure certain hydrocarbon streams were used only for liquefied petroleum gas production instead of petrochemicals and other industries to boost domestic LPG supplies.

With the supply improving amid the peace talks between the United States and Iran, the government has decided to reduce the diversion of hydrocarbon streams to the LPG pool.

It said that this would be done without affecting domestic LPG availability and while maintaining indigenous liquefied petroleum gas production at no less than 40,000 metric tons per day.

“Since the onset of global supply disruptions arising from the West Asia crisis, [the] government has accorded the highest priority to ensuring uninterrupted availability of LPG to domestic consumers across the country,” the ministry said.

Oil marketing companies have been...

Read more