The Ministry of Petroleum and Natural Gas (MoPNG) on April 01, 2026, notified regarding the Government Order for Prioritization and Supply of LPG Production in Public Interest.
The following has been stated:
• The Government has issued directions to ensure the uninterrupted availability of Liquefied Petroleum Gas (LPG) for domestic use. Recognizing LPG as an essential household fuel and noting that over 99% of domestic LPG is supplied by public sector oil marketing companies—Indian Oil Corporation Limited (IOCL), Bharat Petroleum Corporation Limited (BPCL), and Hindustan Petroleum Corporation Limited (HPCL)—the government has mandated oil refining companies to maximize production of LPG.
• All refineries and petrochemical complexes must utilize C3 and C4 streams (like propane, butane, etc.) exclusively for LPG production, with limited exceptions for critical sectors as specified by the Centre for High Technology. They are prohibited from diverting these inputs for other downstream products. Further, public-sector OMCs must ensure that the LPG produced is supplied only to domestic consumers. Any violation of this order will be subject to penalties under the relevant laws.
• The order supersedes the earlier order dated March 09, 2026, and comes into force with immediate effect, remaining applicable until further directions, thereby emphasizing the government’s intent to safeguard public interest and ensure adequate LPG supply across the country.
[Notification no. - M-1 30 1 7 (111t1 12026-LPG-PNG (E.55637)]
