The supply of commercial cylinders will begin from today, Union Minister for Petroleum and Natural Gas Hardeep Puri said while addressing the Lok Sabha on Thursday.
"In a major decision, 20% of the average monthly Commercial LPG requirement will be allocated from today by OMCs, in coordination with the State Governments so that there is no hoarding or black marketing," the minister said.
Puri's announcement came amid a global energy disruption caused by the Iran war and attacks on the Strait of Hormuz. The crisis has in turn led to concerns surrounding nation-wide shortage of LPG gas, prompting restaurants to curb their daily operations.
He added that alternate fuel options are being activated to ease pressure on LPG and gas channels. Kerosene is being made available through retail outlets and PDS channels, and fuel oil is being made available for industrial and commercial consumers.
The minister highlighted that while the domestic supply is fully protected and LPG production has been increased by 28% in the last five days.
"The refineries are operating at high capacity utilisation. In several cases, they exceed 100%. There is no shortage of petrol, diesel, kerosene, ATF or fuel oil. The availability of petrol, diesel, aviation and fuel oil is fully assured," said Puri.
Further he outlined field reports indicating that hoarding and black marketing are at supplier level and a 25-day minimum period is introduced for LPG bookings.
"Commerical LPG has been regulated to prevent black marketing and stop panic buying... This is not the moment of rumour mongering. India is navigating through a historical global energy crisis."
While noting that the world has not faced a moment like this in modern energy history, Puri stated, "India's crude supply position is secure, and the volume secured exceeds what the Hormuz would have delivered. Due to the PM's diplomatic outreach, India secured crude volumes that exceed what the disrupted Strait could have delivered in the same period."
Puri also reiterated that non-hormuz sourcing has risen to approximately 70 % of crude imports, up from 55 % before the conflict began. He also pointed out that India's sources grew to 40 countries as against 27 in 2006 and 2007.
He talked about how the minimum period for LPG bookings has been increased to 25 days from 21 days and assured that LNG is being secured from America, Norway and other countries.
Essential Business Intelligence, Continuous LIVE TV, Sharp Market Insights, Practical Personal Finance Advice and Latest Stories — On NDTV Profit.