Iran war disrupts LPG supply: Pune shuts gas crematoriums, Punjab halts commercial supply

India is beginning to feel the ripple effects of the war in West Asia, with gas supplies being restricted in parts of the country as authorities prioritise cooking fuel for households amid disruptions in global energy flows.

Also read: West Asia conflict: Supply, price disruptions impact several commodities beyond crude oil

In Pune, the municipal corporation has temporarily closed gas-based crematoriums after restrictions were imposed on the use of liquefied petroleum gas components such as propane and butane. LPG is a mixture of propane and butane.

Also read: Impact of rising crude oil prices on inflation not seen to be substantial at this point

In Punjab, state-run oil marketing companies have suspended dispatches of non-domestic LPG cylinders to ensure uninterrupted supply to households, The Tribune reported on Monday. 

The steps come as the U.S.–Israel war on Iran disrupts oil and natural gas exports from the Middle East, tightening fuel availability and prompting authorities to conserve LPG supplies for domestic consumption.

Pune shuts gas crematoriums

The Pune Municipal Corporation said it closed the city's gas crematoriums following a directive issued by the Ministry of Petroleum and Natural Gas on March 5. According to the civic body, the ministry directed that available propane and butane be prioritised for domestic LPG supply across the country.

With supplies constrained, Pune's civic body decided to keep gas crematoriums closed from March 5 until further orders, a civic official said Sunday.

At the Vaikunth crematorium in Pune, three gas-fired furnaces will remain shut temporarily. However, five electric furnaces will continue to operate. To avoid inconvenience to residents, the civic body said electric crematoriums and wood-fired facilities equipped with air pollution control systems will remain operational.

Commercial LPG dispatches halted in Punjab

In Punjab, oil marketing companies have suspended dispatches of Non-Domestic Non-Exempted LPG cylinders with immediate effect as tensions escalate in the Middle East. The move follows disruptions in global fuel supply after the effective closure of the Strait of Hormuz, a key energy transit route.

According to instructions issued to LPG distributors, no new dispatches of NDNE cylinders - both bulk and packed- will be made until further notice.

The suspension covers commercial cylinders, including 19-kg cylinders, 47.5-kg cylinders, and 425-kg jumbo cylinders. The measure is intended to safeguard domestic LPG supply for nearly 332 million households across the country. Distributors have also been directed not to accept refill bookings from consumers before 25 days of the previous delivery.

The restriction is expected to affect businesses that depend on LPG, including hotels, restaurants, cafés, industrial units using LPG for heating and processing, and catering services. Distributors and bulk consumers have been advised to explore alternative fuels, while available LPG stocks are reserved for domestic consumers.