NEW DELHI: As the ongoing conflict in West Asia continues to put pressure on global fuel supplies, the Union Government on Tuesday invoked the Essential Commodities Act (EC Act) to ensure uninterrupted supply of domestic cooking gas.
The move includes directing refineries and petrochemical units to maximise production of liquefied petroleum gas (LPG) and divert key hydrocarbon streams to the LPG pool.
According to the government order, supply of natural gas to certain priority sectors will be maintained at 100 per cent of their average gas consumption over the past six months, subject to operational availability. These sectors include domestic piped natural gas supply, compressed natural gas (CNG) used for transport, LPG production including shrinkage requirements, and pipeline compressor fuel along with other essential operational needs.
The order further states that fertilizer plants will receive 70 per cent of their past six-month average gas consumption, depending on operational availability. Gas marketing entities have also been instructed to ensure that tea industries, manufacturing units and other industrial consumers connected to the national gas grid receive 80 per cent of their past six-month average gas consumption.
Similarly, all City Gas Distribution entities have been directed to ensure that industrial and commercial consumers supplied through their networks receive 80 per cent of their past six-month average gas consumption, subject to operational availability.
Oil refining companies have been asked to absorb the impact of possible liquefied natural gas (LNG) supply disruptions by reducing gas allocation to refineries to around 65 per cent of their past six-month consumption, depending on operational feasibility.
The order also mandates every producer, importer, transporter, marketer or distributor of natural gas, including LNG and regasified LNG, to furnish information related to production, imports, stocks, allocation, supply and consumption to the Central Government or any authorised officer.
Meanwhile, the Ministry of Petroleum and Natural Gas has issued directions to oil refineries to increase LPG production and ensure that the additional output is diverted specifically for domestic use.
“In light of current geopolitical disruptions to fuel supply and constraints on the supply of LPG, the Ministry has issued orders to oil refineries for higher LPG production and using such extra production for domestic LPG use,” the ministry said in a post on X.
To manage the supply situation and prevent misuse, the government has also introduced a 25-day inter-booking period for LPG consumers to discourage hoarding and curb black marketing, while ensuring steady availability of cooking gas for households across the country.
