West Asia Crisis: What is the Current Status of LPG in India?

In view of the ongoing developments in West Asia, the Government of India is closely monitoring the situation and has implemented necessary preparedness and response measures to ensure continuity and stability across critical sectors. The following provides an update on key areas, including energy supplies and support for Indian nationals in the region.

Energy Supply Amid Strait of Hormuz Closure

With the Strait of Hormuz remaining closed, the Government of India has undertaken a series of proactive measures to ensure the uninterrupted availability of petroleum products and LPG throughout the country.

Domestic LPG

• There are no reports of stock shortages at LPG distributorships.
• Delivery of domestic LPG cylinders is proceeding as normal.

Commercial LPG

• The Government had previously restored partial commercial LPG supply (20%) to consumers. Additionally, in a communication dated 18.03.2026, the Government proposed an extra 10% allocation of commercial LPG to States and Union Territories (UTs), prioritised based on ease of doing business reforms for PNG expansion.
• In a subsequent letter dated 21.03.2026, the Government approved an additional 20% allocation of commercial LPG to States, bringing the total allocation to 50% (including the earlier 10% for PNG expansion). This additional allocation is being prioritised for sectors such as restaurants, dhabas, hotels, industrial canteens, food processing units, dairy, subsidised canteens/outlets operated by State or local authorities, community kitchens, and 5 Kg FTL cylinders for migrant labourers.
• Currently, 27 States/UTs have issued orders to allocate non-domestic LPG in accordance with the guidelines set by the Government of India. For other States/UTs, PSU Oil Marketing Companies are continuing to release commercial LPG cylinders. Since 14th March 2026, commercial entities across States/UTs have uplifted approximately 25,922 MT of LPG.
• As of March 25, 2026, over 37,000 – 5 Kg FTL cylinders were sold to consumers.

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