Mumbai, April 1: The Government of India is actively monitoring and implementing measures to ensure stability in key sectors. In light of the ongoing closure of the Strait of Hormuz, proactive steps are being taken to maintain a consistent supply of petroleum products and LPG across the nation, as stated in an official update from the Ministry of Petroleum & Natural Gas on March 29, 2026.
Energy Supply and Fuel Availability
The government reports that all refineries are operating at full capacity with sufficient crude inventories. Stocks of petrol and diesel are being adequately maintained nationwide. Domestic LPG production has been ramped up to meet consumption demands.
Retail Outlets
All retail outlets are functioning normally. The Centre has reduced excise duty on petrol and diesel by Rs 10 per litre and imposed export levies of Rs 21.5 per litre on diesel and Rs 29.5 per litre on aviation turbine fuel (ATF) to ensure domestic availability. Although some areas experienced panic buying due to rumors, leading to increased sales and crowding at outlets, the government reassured citizens that adequate stocks are available and urged them to disregard misinformation.
“Certain rumors led to panic buying at some retail outlets in a few states, resulting in unusually high sales and heavy crowding. However, there are adequate stocks of petrol and diesel at all petrol pumps across the country. The government advises the public not to believe rumors,” the official statement emphasized.
Natural Gas
The government confirmed that 100% supply is being ensured for domestic PNG (D-PNG) and CNG transport segments, while industrial and commercial consumers connected to the grid are receiving 80% of their average consumption. Supply to urea plants is maintained at around 70–75% of their six-month average, supported by additional LNG cargoes and Regasified LNG (RLNG) sourcing.
Industrial consumers have been encouraged to indicate additional spot requirements for timely supply arrangements. City Gas Distribution (CGD) entities like IGL, MGL, GAIL Gas, and BPCL have been instructed to prioritize PNG connections for commercial establishments, including restaurants and hotels, while offering incentives for adoption.
In March, over 2.9 lakh connections, including domestic, commercial, and institutional users, have been gasified. The government has introduced measures to accelerate CGD expansion, including a streamlined pipeline framework and expedited PNG infrastructure in defense residential areas until June 30, 2026.
LPG
Domestic LPG supply remains stable, with no reported shortages at distributorships. Online bookings have surged to 94%, and Delivery Authentication Code (DAC)-based deliveries have increased from 53% in February to 84% as of March 28. More than 5.5 million LPG refills were delivered in a single day, and the delivery of domestic LPG cylinders continues as normal.
Commercial LPG Supply
Commercial LPG supply, initially restored to 20%, has been gradually increased to 70% of pre-crisis levels, with a 10% allocation linked to PNG-related reforms. Additional allocations have been prioritized for sectors such as restaurants, hotels, and key industries including steel and textiles.
Around 64,000 5-kg free trade LPG cylinders were sold in a day, with 39,368 metric tonnes of commercial LPG uplifted since March 14. A total of 28 states and union territories have issued allocation orders in line with central guidelines.
Kerosene
An additional 48,000 kilolitres of kerosene has been allocated beyond regular quotas to all states and union territories. States have been asked to identify district-level distribution points, with 17 states and union territories issuing allocation orders.
Role of States/UTs
The Centre has directed states and union territories to take strict action against hoarding and black marketing under the Essential Commodities Act. They have been instructed to conduct daily press briefings, issue public advisories, and set up control rooms to counter misinformation.
Enforcement Action
Enforcement activities have intensified nationwide, with approximately 2,900 raids conducted and nearly 1,000 LPG cylinders seized in a single day. Public sector oil marketing companies have performed over 1,200 surprise inspections at retail outlets and LPG distributorships, issuing around 480 show-cause notices to ensure smooth supply and prevent malpractice.
Other Government Measures
The government has prioritized domestic LPG and PNG supply, along with essential services. Measures include enhancing refinery production and increasing LPG booking intervals. Alternative fuels like kerosene and coal have been promoted to alleviate pressure on LPG demand.
Public Advisory
The government urges citizens to avoid panic buying of petrol, diesel, and LPG, relying only on official sources for information. Consumers are advised to use digital modes for LPG bookings and conserve energy in daily usage.
“Citizens are encouraged to use alternative fuels like PNG and electric cooktops. Everyone is urged to conserve energy in their daily routines,” the government stated.
Maritime Safety and Shipping Operations
The Ministry of Ports, Shipping and Waterways confirmed that all Indian seafarers in the region are safe, with no incidents involving Indian-flagged vessels reported recently. Two LPG carriers have safely transited the region and are expected to reach Mumbai on April 1.
Safety of Indian Nationals in the Region
The Ministry of External Affairs is closely monitoring the situation, prioritizing the safety and welfare of Indian nationals. Since February 28, around 5.24 lakh passengers have returned to India, with ongoing flight operations from various countries.
Indian missions are operating 24×7 helplines to assist seafarers, students, and stranded nationals, ensuring support during these challenging times.
My name is Ganpat Singh Choughan. I am an experienced content writer with 7 years of expertise in the field. Currently, I contribute to Daily Kiran, creating engaging and informative content across a variety of categories including technology, health, travel, education, and automobiles. My goal is to deliver accurate, insightful, and captivating information through my words to help readers stay informed and empowered.
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