India Aims to Reduce LPG Import Dependence Amid West Asia Tensions
Centre Working To Reduce Dependence On LPG Imports Amid West Asia Tensions
News 18
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The Indian government is implementing measures to decrease reliance on liquefied petroleum gas (LPG) imports due to geopolitical tensions in West Asia. Key initiatives include boosting domestic LPG production by 40% and expanding piped natural gas (PNG) connections, particularly for commercial sectors.
- 01India imports about 60% of its LPG, with 90% transiting through the Strait of Hormuz.
- 02Domestic LPG production has increased by 40% following government directives.
- 03Commercial LPG supply was initially curtailed but has been restored to 50%.
- 04The government is prioritizing PNG connections for restaurants, hotels, and canteens.
- 05Proactive measures include diversifying import sources and dynamic stock management.
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In response to ongoing tensions in West Asia, the Indian government is taking significant steps to reduce its dependence on liquefied petroleum gas (LPG) imports, which currently account for about 60% of its consumption. Minister of State for Environment Suresh Gopi outlined these measures in a Lok Sabha reply, emphasizing the importance of enhancing energy security through the expansion of piped natural gas (PNG) and renewable energy sources such as solar and wind. To boost domestic LPG production, the government issued directives on March 9 mandating that all oil refining companies utilize their entire output of C3 and C4 hydrocarbon streams exclusively for LPG production. This has resulted in a 40% increase in domestic LPG production. While commercial LPG supply faced initial restrictions, it has since been restored to 50%, with a portion allocated for key sectors like restaurants and community kitchens. Gopi noted that 90% of India's LPG imports transit through the Strait of Hormuz, making the country vulnerable to global supply disruptions. The government is also diversifying import sources and managing stocks dynamically to ensure stability in LPG supplies.
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These measures aim to stabilize LPG availability for domestic consumers and commercial sectors, potentially affecting prices and supply chains.
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