Iran war: Govt prioritises LPG supply to households, hospitals, educational institutions amid energy constraints
LPG shortage: The ministry said that besides prioritising domestic LPG supply to households, they have also introduced a 25-day inter booking period to avoid hoarding or black marketing.
- Mar 10, 2026,
- Updated Mar 10, 2026 10:06 AM IST
US-Israel-Iran war: The government is prioritising domestic LPG supply to households, said the Ministry of Petroleum and Natural Gas. This comes amid energy constraints following the Iran war that has resulted in supply disruptions of fuel.
The ministry said that besides prioritising domestic LPG supply to households, they have also introduced a 25-day inter booking period to avoid hoarding or black marketing. When it comes to non-domestic supplies, LPG supply is being prioritised for non-domestic sectors such as hospitals and educational institutions.
The government has also issued orders to oil refineries for higher LPG production and using such extra production for domestic LPG use. “For LPG supply to other non-domestic sectors, a committee of three EDs of OMCs have been constituted to review the representations for LPG supply to restaurants/hotels/other industries,” it said.
The ministry formed the committee due to growing alarm among restaurant associations about dwindling supplies. The hospitality sector has warned that the gas shortage could force eateries to shut down within days if the situation is not resolved. The committee, consisting of three Executive Directors (EDs) from Oil Marketing Companies (OMc), is tasked with reviewing representations for LPG supply to commercial and other non-domestic sectors, particularly restaurants and hotels.
India consumes approximately 31.3 million tonnes of LPG annually. Of this, 87 per cent is allocated to domestic use in household kitchens, while the remaining 13 per cent is distributed to commercial establishments such as hotels and restaurants. The country relies on imports for 62 per cent of its total LPG requirement.
Recent conflict in the Middle East, specifically the closure of the Strait of Hormuz due to military action, has disrupted this supply chain. This route accounted for 85 to 90 per cent of India’s LPG imports.
Industry sources say the disruption has already begun affecting operations in Mumbai and Bengaluru, as hotels and restaurants struggle to secure cooking gas. Vijay Shetty, president of the India Hotels and Restaurant Association, said the shortage is spreading rapidly and could soon paralyse the sector.
US-Israel-Iran war: The government is prioritising domestic LPG supply to households, said the Ministry of Petroleum and Natural Gas. This comes amid energy constraints following the Iran war that has resulted in supply disruptions of fuel.
The ministry said that besides prioritising domestic LPG supply to households, they have also introduced a 25-day inter booking period to avoid hoarding or black marketing. When it comes to non-domestic supplies, LPG supply is being prioritised for non-domestic sectors such as hospitals and educational institutions.
The government has also issued orders to oil refineries for higher LPG production and using such extra production for domestic LPG use. “For LPG supply to other non-domestic sectors, a committee of three EDs of OMCs have been constituted to review the representations for LPG supply to restaurants/hotels/other industries,” it said.
The ministry formed the committee due to growing alarm among restaurant associations about dwindling supplies. The hospitality sector has warned that the gas shortage could force eateries to shut down within days if the situation is not resolved. The committee, consisting of three Executive Directors (EDs) from Oil Marketing Companies (OMc), is tasked with reviewing representations for LPG supply to commercial and other non-domestic sectors, particularly restaurants and hotels.
India consumes approximately 31.3 million tonnes of LPG annually. Of this, 87 per cent is allocated to domestic use in household kitchens, while the remaining 13 per cent is distributed to commercial establishments such as hotels and restaurants. The country relies on imports for 62 per cent of its total LPG requirement.
Recent conflict in the Middle East, specifically the closure of the Strait of Hormuz due to military action, has disrupted this supply chain. This route accounted for 85 to 90 per cent of India’s LPG imports.
Industry sources say the disruption has already begun affecting operations in Mumbai and Bengaluru, as hotels and restaurants struggle to secure cooking gas. Vijay Shetty, president of the India Hotels and Restaurant Association, said the shortage is spreading rapidly and could soon paralyse the sector.