
Oil Minister Announces Alternative Fuel Plans Amid West Asia Crisis
Government Assures Sufficient Fuel Supplies Amid Ongoing Conflict in West Asia
The government has assured that there is no shortage of petrol, diesel, kerosene, aviation turbine fuel, and fuel oil in the country. According to Union Minister for Petroleum and Natural Gas Hardeep Singh Puri, the availability of these products is fully assured, with retail outlets across the country stocked and supply chains functioning normally.
Key Developments
- The government has allocated an additional 20% of the average monthly commercial LPG requirement to industrial and commercial users, in coordination with state governments.
- The Centre has issued additional allocation of PDS Kerosene to all states.
- LNG production has risen by 28% through refinery directives, with further procurement actively underway.
- The government has assured sufficient gas production and supply arrangements to sustain this position even in the event of a prolonged conflict.
- Power generation for every household and industry is fully protected.
Read also: Treasury Yields Experience Largest Increase in Two Weeks Following Release of Labor Market Data
Measures to Address LPG Shortage
- Alternate fuel options are being activated to ease pressure on LPG and gas channels.
- Kerosene is being made available through retail outlets and PDS channels, and fuel oil is being made available for industrial and commercial consumers.
- The Ministry of Environment, Forest and Climate Change (MoEFCC) has advised State Pollution Control Boards to permit the use of biomass, RDF pellets, and kerosene/coal as alternate fuels for the hospitality and restaurant segment for 1 month.
Price Adjustment
- The non-subsidised consumer price of cooking gas cylinder stands at Rs 913 following the recent Rs 60 adjustment.
- The government has absorbed Rs 74 of the Rs 134 per cylinder adjustment required by prevailing global market conditions.
Read also: US-Iran Tensions Spark Uptick in Oil Prices Amid Global Market Decline
Investor Takeaway
Investors should monitor the situation in West Asia for potential disruptions to India's energy supplies.
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