India Bars Households With Piped Natural Gas From Retaining Or Refilling LPG Cylinders

India has prohibited households with piped natural gas connections from retaining or obtaining domestic liquefied petroleum gas cylinders.

The Ministry of Petroleum and Natural Gas issued the order in the Gazette of India on Saturday through the Liquefied Petroleum Gas (Regulation of Supply and Distribution) Amendment Order, 2026.

Consumers holding both PNG and domestic LPG connections must immediately surrender their domestic LPG connection and cannot take refills from any government oil company or their distributors.

Under the revised rule, oil companies are barred from providing LPG connections or refills to households that already use piped gas.

The amendment affects 1.5 crore households that already enjoy reliable domestic PNG supply.

The step has been taken as the Centre seeks to optimise LPG availability at a time when global supply disruptions are affecting the market.

Nearly 90 per cent of India's LPG imports originate from West Asia, where Tehran has blocked the Strait of Hormuz following US-Israel military actions against Iran.

Shipments for the week starting 9 March are estimated at 270,000 tonnes, the lowest since April 2023.

The amendment seeks to prevent duplication of subsidised domestic fuel connections.

Encouraging households with PNG to rely solely on piped gas is expected to free up LPG cylinders for areas where pipeline infrastructure is not available, improving fuel availability for millions who still depend entirely on LPG cylinders for cooking.

The government has increased the lock-in period for fresh LPG bookings to 25 days from 21 days for urban areas and 45 days for rural areas.

India is the world's second-largest consumer of LPG and imports nearly 90 per cent of its requirement.

The country's refiners have increased LPG output by 30 per cent after the government directed companies to maximise production.

The ministry has advised consumers against storing fuel in loose or unsuitable containers, citing safety concerns.

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