The Modi government has directed families who already have a Piped Natural Gas (PNG) connection to discontinue their domestic Liquefied Petroleum Gas (LPG) connections, as part of steps to manage fuel supplies during the ongoing crisis in the Middle East.
In a notification issued on Saturday, 14th March, the Union Ministry of Petroleum and Natural Gas amended the Liquefied Petroleum Gas (Regulation of Supply and Distribution) Order. The new rule clearly states that “people who already have a PNG connection cannot keep a domestic LPG connection or take cylinder refills from any government oil company or its distributors.”
Families with an existing PNG connection must immediately discontinue their LPG connections. The new rule has also stated that “people who already have an LPG connection cannot apply for a new LPG connection.
The move comes at a time when the fuel supply around the world has been affected due to tensions and conflict in the Middle East. One of the major concerns for India is the situation around the Strait of Hormuz, a major waterway route through which nearly 20 % of the world’s oil supply is transported.
On Friday, 13th March, Iran allowed two Indian-flagged LPG ships, Shivalik and Nanda Devi, to pass through the Strait of Hormuz. The route had been largely closed since the first week of March due to the ongoing conflict involving Iran, Israel and the United States.
Iran’s Ambassador to India, Mohammad Fathali, stated that a few Indian ships were permitted to pass through the strait, although the ambassador did not disclose the exact number. He added that the country has long-standing relations with Iran, including mutual interests.
The situation is particularly important for India as the country imports 60% of its LPG requirements, out of which nearly 85-90% is imported from Gulf nations like Saudi Arabia and the UAE, which transport the fuel through the Strait of Hormuz.
