Two liquefied natural gas (LNG) shipments are en route to India to bolster domestic supplies as public sector oil and gas firms increase imports from beyond the Middle East amidst the Iran conflict, a senior Central government official revealed. Joint Secretary of Petroleum and Natural Gas, Sujata Sharma, stated that current crude oil supplies are secure, with a significant increase in volumes sourced from non-Hormuz routes. This shift has seen 75% of crude now coming from alternative routes, up from 55% previously.
On the issue of panic LPG bookings triggered by the Middle East crisis, Sharma assured that the normal delivery cycle for domestic LPG remains at 2.5 days, urging customers not to rush to book cylinders. The government is actively monitoring energy supplies and implementing necessary measures in response to the Middle East crisis. Sharma highlighted ongoing efforts to secure supplies through alternative routes, with 60% of India’s requirements being imported.
“Our refineries are currently operating at peak capacity, with some even exceeding 100% utilization,” Sharma noted. The total gas consumption stands at 189 mmscmd, of which 97.5 mmscmd is domestically produced. Concerns over a natural gas shortage emerged after Qatar halted production due to attacks by Iran, as Qatar is India’s primary LNG supplier. Petroleum Minister Hardeep Singh Puri reassured consumers that there is no shortage of LPG for household use.
The Central government has taken steps to ensure uninterrupted supplies of piped natural gas for households, LPG, and CNG for transport as a top priority amid supply disruptions due to the ongoing Middle East conflict. An order issued under the Essential Commodities Act mandates priority allocation to maintain 100% of the average past six-month gas consumption for essential sectors, including domestic piped natural gas, LPG production, and pipeline operational needs. Refineries and petrochemical units have been directed to maximize LPG production and divert key hydrocarbon streams to the LPG pool.
