Story perspectives

India Restores LPG Supplies, Bulk Shipments Resume at 50%

6/26/2026

Summary

India Restores LPG

India restored commercial LPG supplies to pre-crisis levels on June 25, 2026.
Bulk shipments will resume at 50 % of pre-crisis volumes while refinery output rose 40 % to about 50 000 metric tonnes daily.
800 000 tonnes of LPG from the United States, Russia and Australia are en route.
Oil marketers deliver over 5 million cylinders daily.
The government directed oil marketers to add over 1 million PNG connections since March 2026 and to maintain a consumer database.

Summary

India Frees Feedstock

The government lifted the mandatory diversion of C3-C4 streams, freeing propane and butane for petrochemical use.
The Centre of High Technology (CHT) will allocate the C3-C4 feedstock to petrochemical and other critical sectors, keeping LPG production at least 40 million tonnes per day.
Petroleum Secretary Dr Neeraj Mittal wrote to all state and Union Territory chief secretaries to coordinate a phased shift of commercial LPG users to piped natural gas.

History

Historical Context

October 1973 OPEC’s Arab embargo cut oil shipments by roughly 70%, prompting industrial nations to cut reliance on OPEC oil. India shifted toward coal and piped natural gas, part of a global move that lowered daily oil demand by 5 million barrels by 1986. Today’s LPG import program mirrors that diversification, a strategy that helped shrink OPEC’s market share to 29% by 1985.

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India Restores LPG

India restored commercial LPG supplies to pre-crisis levels on June 25, 2026.
Bulk shipments will resume at 50 % of pre-crisis volumes while refinery output rose 40 % to about 50 000 metric tonnes daily.
800 000 tonnes of LPG from the United States, Russia and Australia are en route.
Oil marketers deliver over 5 million cylinders daily.
The government directed oil marketers to add over 1 million PNG connections since March 2026 and to maintain a consumer database.

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