The government has doubled the daily quota of market-priced 5-kg LPG cylinders for migrant workers, as part of its major effort to stabilize fuel supplies amid tension-related blockages around the Strait of Hormuz. Unlike the subsidized 14.2-kg cylinders, which are used for cooking in home kitchens, the 5-kg bottles are priced at market rates.
The price of a 5-kg cylinder in Delhi is Rs 549, while the price of a 14.2-kg domestic cylinder is Rs 913. 5-kg cylinders are available directly over the counter at LPG distributorships. All it takes is a simple ID card (no proof of address required). Regular domestic connections are given after complete KYC process.
With energy supplies disrupted by the war in West Asia, the government has prioritized supplying cooking gas to households. On the other hand, commercial users were initially being given only 20 percent of their requirement, which was later gradually increased to 70 percent. Migrant workers often do not have regular gas connections for cooking. To reduce their burden, the government has now increased the availability of 5-kg cylinders.
Doubled the quota of 5 kg cylinder
At a press briefing, Sujata Sharma, Joint Secretary, Ministry of Petroleum and Natural Gas, said that the government has informed through a letter dated April 6 that the daily quantity of 5-kg ‘Free Trade LPG’ (FTL) cylinders being distributed to migrant workers in each state is being doubled. This increase has been made on the basis of the average daily supply (number of such cylinders) during March 2-3. He said that 77,000 FTL cylinders were sold in February, and the sales on March 2-3 were even more. He further informed that since March 23, around 7.8 lakh 5-kg FTL cylinders have been sold. He also added that more than 1.06 lakh 5-kg FTL cylinders were sold across the country on Monday.
Commercial LPG allocation 70 percent
The government has also increased the allocation of commercial LPG to about 70 percent of pre-crisis levels, and has also increased strict compliance with regulations. So far, raids have been conducted at more than 4,300 places to stop hoarding and black marketing. He appealed to citizens not to indulge in panic buying of petrol, diesel and LPG, and stressed that adequate stock is available and retail outlets are functioning normally.
Priority for supply of PNG
Priority has been given to essential sectors like homes and hospitals in the supply of LPG and piped natural gas (PNG), while refinery production has been increased and alternative fuels have been promoted. The supply of natural gas to priority sectors, including domestic PNG and transportation CNG, is completely secure. Along with this, additional allocation has also been made for fertilizer and industrial sectors. The government is also accelerating the expansion of the city gas network to promote the use of PNG.
What did the government say on crude oil?
Despite rising global crude oil prices, India has cut excise duty on petrol and diesel to provide relief to consumers, and also imposed levies on exports to ensure domestic availability. He said fuel supplies remained stable, and appealed to states to refute misinformation through regular public briefings.