The government has extended the minimum waiting time for booking a domestic LPG cylinder refill from 21 days to 25 days to deter hoarding amidst market uncertainties linked to the Iran conflict. This move aims to manage inventory effectively, ensuring a steady supply of LPG in the country. The decision comes in response to a surge in demand of 15 to 20 percent driven by panic buying due to concerns about potential disruptions in supply amid escalating tensions in the Middle East.
Average households typically use 7-8 LPG cylinders of 14.2 kg annually, suggesting a refill should not be necessary in less than 6 weeks. Additionally, officials have clarified that despite international crude oil prices exceeding $100 per barrel, there are no immediate plans to raise petrol and diesel prices. Indian Oil, Bharat Petroleum, and Hindustan Petroleum are expected to absorb the current cost pressures to stabilize prices temporarily.
In a related development, it was disclosed in Parliament that India presently possesses storage capacity for crude oil and petroleum products equivalent to 74 days of consumption. This strategic reserve, including facilities with a total capacity of 5.33 million metric tonnes, serves as a safeguard against short-term supply disruptions caused by geopolitical tensions. Minister of State for Petroleum and Natural Gas Suresh Gopi highlighted the country’s readiness to address adverse situations like geopolitical conflicts through these storage provisions.
