LPG shortage across India, long queues outside agencies:Cylinders being distributed under police security in UP, Bihar; black marketing in Rajasthan

Due to the war between US-Israel and Iran, there is a shortage of LPG across the country. Long queues are forming at agencies to get gas cylinders. Due to restrictions on commercial gas cylinder supply in many states including Delhi, Madhya Pradesh, Maharashtra, Uttar Pradesh and Rajasthan, hotels and restaurants are unable to prepare food. Madhya Pradesh: Caterers say – This is like an emergency situation Hotels and restaurants are facing the biggest crisis due to the halt in commercial gas cylinder supply. Meanwhile, long queues have formed outside gas agencies to get domestic cooking gas. Trouble mounts for people with weddings around the corner. In Bhopal alone, there are more than 1,000 weddings in 20 days. Caterers say this is like an emergency situation. Uttar Pradesh: Cylinders being distributed under police security In Uttar Pradesh, cylinders are not being received even 4 to 5 days after booking. Lines are forming outside gas agencies. In Gorakhpur and Siddharthnagar, cylinders are being distributed under police protection. People are seen arriving at agencies and form lines as early as 3 AM. They are waiting for hours but unable to get cylinders. The reason – there are fewer cylinders and more people want them. Bihar: People line up at gas agencies since morning Commercial gas cylinder bookings have been closed here for 2 days. This has affected hotels and restaurants. Long queues of people were also seen in many districts of the state for domestic gas. People started reaching gas agencies early in the morning in several districts including Gopalganj, Khagaria, Aurangabad, and Patna. Many agencies have locks hanging on the doors. No employees are present here either.
Rajasthan: Cylinder worth ₹1,900 being sold for ₹2,500 The supply of commercial gas cylinders has completely stopped. In such a situation, different agencies are black marketing cylinders at prices higher than the fixed rate. Bhaskar’s sting revealed that cylinders available in Jaipur for ₹1,911 are being sold for up to ₹2,500. Bhaskar conducted a sting on a gas supplier (Indane) who came to a hotel in Jaipur. Punjab: Domestic cylinder bookings halted
Due to server being down in Ludhiana and Faridkot, domestic cylinder bookings are not being processed. Additionally, commercial cylinder supply has been stopped since Monday in several districts including Faridkot, Hoshiarpur and Patiala. Government tales 5 essential steps to deal with the crisis 1. High-level committee formed: In view of the crisis, the Ministry of Petroleum has formed a high-level committee of executive directors from three oil companies, which will review the supply. 2. Essential Commodities Act implemented: To control gas supply, the central government has implemented the ‘Essential Commodities Act 1955’ across the country. 3. LPG booking after 25 days: Rules for domestic cylinder booking have been changed. Consumers can book another cylinder only after 25 days of delivery of the first cylinder. 4. OTP and Biometric Mandatory: To prevent gas hoarding, delivery agents are strictly using OTP or biometric verification. 5. Order to Increase LPG Production: Government had ordered all oil refineries to increase LPG production. Sources say production has now increased by 10%. Oil Companies Will Talk to Restaurant Associations According to sources, the government has formed a 3-member committee to hear complaints from restaurant associations. It includes Executive Directors from IOC, HPCL and BPCL. This committee will fulfill the legitimate needs related to commercial gas supply of the association. It will also re-prioritize supply according to requirements. 2 Reasons for Supply Crisis: 1. Near closure of Strait of Hormuz The biggest challenge for India is the closure of the Strait of Hormuz. This is approximately 167 km long waterway that connects the Persian Gulf to the Arabian Sea. Due to the Iran war, this route is no longer safe. Given the risks, no oil tankers are passing through there. 20% of the world’s total petroleum passes through here. Countries like Saudi Arabia, Iraq and Kuwait also depend on this for their exports. India imports 50% of its crude oil needs and 54% LNG through this route. Iran itself exports through this route. 2. Drone attack halts LNG production at plant Last week, the US-Israel conducted strikes on Iran. In response, Iran targeted American facilities in countries like UAE, Qatar, Kuwait and Saudi Arabia. After Iran’s drone attacks, Qatar, India’s largest gas supplier, has stopped production at its LNG plant. This has reduced gas supply to India. India imports 40% of its LNG needs (about 27 million tons annually) from Qatar alone. When will the situation improve? Indian Oil’s Chief General Manager (LPG) K.M. Thakur says that customers need not panic and should avoid panic booking. The government is now considering importing alternative cargo from countries like America. Meanwhile, at the international level, G7 countries are discussing releasing supply from their emergency oil reserves to reduce the energy crisis in the global market. Additional crude oil is also expected from Russia and Algeria. Government increases domestic gas cylinder price by ₹60 The government has increased domestic gas cylinder prices by ₹60. In Delhi, 14.2 kg LPG gas is now available for ₹913. Earlier it was ₹853. The increased prices have been effective from March 7. Meanwhile, the price of 19 kg commercial cylinder was increased by ₹115 on March 1. It is now available for ₹1,883.