Amid reports of panic buying and long queues at LPG distributors, India's Ministry of Petroleum and Natural Gas, for the first time since the Iran war
broke out, has released stock details of LPG, crude oil, and fuels. According to the government, India has one full month of LPG supply secured and about 60 days of oil stock. The government said that there is no shortage of petrol, diesel, or LPG, calling reports of shortages as a "deliberate misinformation campaign" aimed at triggering panic buying. "There is no shortage of petrol, diesel, or LPG anywhere in the country," the ministry said, emphasising that the country's petroleum and LPG supply situation is "fully secure and under control." The ministry called upon citizens not to be "misled by a deliberately mischievous, coordinated campaign of misinformation that is being carried out to spread unjustified panic." The ministry said 800,000 tonnes of LPG cargoes have been secured, and one full month of supply is firmly arranged. The government had initially urged the refineries to increase production as the Iran war choked the Strait of Hormuz.
Following government orders, domestic refinery production has been ramped up by 40 per cent, bringing daily LPG output to 50,000 tonnes (more than 60 per cent of India's requirement) against a total daily requirement of around 80,000 tonnes.
"The net daily import requirement has consequently come down to only 30,000 tonnes - meaning India is now producing much more than it needs to import," it said adding over and above domestic production, 800,000 tonnes of assured inbound LPG cargoes are already secured and en route from the United States, Russia, Australia, and other countries, arriving across India's 22 LPG import terminals - double the 11 terminals that existed in 2014.
"Approximately one full month of supply is firmly arranged, with additional procurement being finalised continuously," the statement said. "Oil companies are successfully delivering over 50 lakh cylinders every day. Cylinder demand had gone up to 89 lakh cylinders due to panic ordering by consumers and has now come down to 50 lakh cylinders again."
Commercial cylinder allocations have been raised to 50 per cent in consultation with state governments to avoid hoarding or black marketing.
On natural gas, it said India produces 92 million standard cubic meters per day of natural gas domestically out of a total daily requirement of 191 mmscmd, making India far less import-dependent on gas than on LPG. And so piped natural gas (PNG) as an alternative to LPG is being considered.
"The claim that PNG is being pushed because LPG is running out is misinformation. LPG supply is secure. PNG is simply a better, more affordable and highly convenient fuel for India's households," the statement said.
Parallely, state-owned oil marketing companies also said there is no shortage of petrol, diesel or liquefied petroleum gas (LPG) and supplies remain stable.
(With PTI inputs)
