New Delhi

The Union government on Tuesday invoked the Essential Commodities Act to safeguard the domestic energy market and ensure uninterrupted supply of cooking gas amid disruptions in global fuel supplies due to the ongoing West Asia conflict.

According to the Ministry of Petroleum and Natural Gas, a control order has been issued directing refineries and petrochemical units to maximise production of liquefied petroleum gas (LPG) and divert key hydrocarbon streams to the LPG pool to maintain adequate supply across the country.

The ministry said the move establishes a priority framework for natural gas distribution to manage the current supply constraints.

Under the new mandate, piped natural gas for households and compressed natural gas (CNG) used in vehicles will receive 100 per cent assured supply.

Other sectors will face calibrated supply caps based on their average consumption over the previous six months. The tea industry, manufacturing units and other industrial consumers connected to the natural gas grid will receive up to 80 per cent of their average supply.

Similarly, industrial and commercial natural gas users will also be capped at 80 per cent of their previous six-month average consumption.

Fertiliser plants will receive 70 per cent of their previous six-month average supply as part of the resource reallocation. To facilitate this shift, natural gas supply to refineries and petrochemical plants has been reduced by 35 per cent.

The measures come as India navigates logistical challenges caused by the regional conflict, with nearly 30 per cent of its natural gas imports usually routed through the Strait of Hormuz.

To address the shortfall, the ministry said the country is procuring natural gas through alternative trade routes to maintain energy security.

The ministry has also constituted a committee to examine LPG requirements of sectors such as restaurants, automobiles and other commercial users and to allocate limited volumes based on availability.

Emphasising the priority for household energy security, the government said domestic LPG supply will be protected despite the volatility in global oil and gas markets due to the West Asia crisis.

“In light of current geopolitical disruptions to fuel supply and constraints on LPG availability, orders have been issued to oil refineries for higher LPG production and diversion of additional output for domestic use,” the ministry said in a post on X.

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To prevent hoarding and black marketing, the government has also introduced a 25-day inter-booking period for LPG consumers.