LPG Shortage News Today LIVE: India has experienced a fourth consecutive day of LPG shortage, with outages reported in major cities including Mumbai, Bengaluru and Kolkata. The restaurant association says commercial deliveries of LG bottles have stopped or become irregular over the past few days, raising concerns about the hospitality sector’s ability to continue operating.
Global LPG Shortage Trigger
US-Israeli attacks on Iran and Tehran’s retaliation have closed the Strait of Hormuz, a key sea route through which India receives 85-90 percent of its LPG imports from West Asian countries, including Saudi Arabia and Qatar.
The halt in Qatar’s LNG exports has rattled global gas markets. Both Shell, the world’s largest LNG trader, and TotalEnergies have declared force majeure – a legal notice that frees companies from contractual obligations due to circumstances beyond their control. India’s Kothari Petrochemicals similarly invoked force majeure, citing restrictions on gas supplies from West Asia.
Diversification of LPG supply in India
India is steadily reducing its dependence on the Strait of Hormuz for procurement. Roughly 70% of oil imports now come via alternative routes, up from 55% previously – a shift that offers some protection against regional disruptions.
Government response to LPG shortage
The Union government moved on several fronts. It used the Essential Commodities Act (ECA) to prioritize LPG supplies to households, hospitals and other essential services while restricting commercial distribution in selected areas.
Refineries have been ordered to ramp up LPG production, with production up 25% since the March 8 order and the deadline for domestic cylinder reservations extended from 21 to 25 days. The Center has also asked the state governments to ensure the security of the LPG supply chain.
India consumes about 31.3 million tonnes of LPG annually. A full 87 percent of this is in the domestic sector, i.e. home kitchens, and the rest in commercial establishments such as hotels and restaurants.
Of this total requirement, 62 percent is met through imports.
Ripple effects of LPG shortage
The crisis is spreading beyond kitchens and restaurants. IRCTC officials say catering operations on trains are affected and the railways is considering temporarily suspending cooked meal services; passengers with pre-ordered meals could be eligible for a refund. In Delhi, the lawyers’ canteen at the Supreme Court ran out of LPG cylinders and pulled out their main courses with no clear timetable for restoration.
Watch LIVE updates on LPG shortage in India with Mint
