Government Bars Piped Natural Gas Customers from Purchasing LPG Cylinders, New Order Revealed

India Limits LPG Cylinders for Piped Gas Customers Amid Supply Shortage

India has taken a drastic measure to address the ongoing natural gas supply shortage by banning piped natural gas customers from purchasing liquefied petroleum gas (LPG) cylinders with immediate effect. A government order dated Monday has implemented this new policy, which aims to encourage customers to switch to piped gas.

The shortage in LPG supplies is attributed to the closure of the Strait of Hormuz, a critical shipping route, due to the U.S.-Israeli war on Iran. This disruption has severely impacted the country's LPG imports, which accounted for about 60% of India's demand in 2025. In that year, the country consumed a significant 33.15 million metric tons of LPG, with the majority being used as cooking gas.

Interestingly, a substantial 90% of India's LPG imports originated from the Middle East, highlighting the country's reliance on this region for its energy needs. The government's decision to restrict LPG cylinder sales is a clear indication of its efforts to promote the use of piped gas and reduce the country's dependence on imported LPG.

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