India Implements Temporary Kerosene Supply Measures Amid Global Oil Crisis

In response to the global crude oil crisis exacerbated by Middle Eastern tensions, the Indian government has initiated a temporary kerosene supply plan. This measure aims to provide additional kerosene to states and Union Territories for essential household use, ensuring access to cooking fuel for those facing LPG shortages. The Ministry of Petroleum and Natural Gas has authorized specific fuel stations to distribute kerosene, while also relaxing certain licensing requirements to expedite the process. With assurances of sufficient crude oil reserves for the next two months, the government is also pushing for a transition to piped natural gas where available, aiming to reduce reliance on LPG. Read on to learn more about these developments and their implications for households across India.

By Narendra Chaudhary Mar 30, 2026, 14:07 IST

Government's Response to Oil Supply Challenges

In light of the escalating tensions in the Middle East, which have triggered a worldwide crude oil crisis, the Indian government has rolled out a temporary initiative aimed at alleviating the strain on cooking fuel supplies. According to a recent emergency plan, states and Union Territories will receive supplementary kerosene for essential household purposes, including cooking and lighting.

This initiative will see the reintroduction of Public Distribution System (PDS) kerosene in 21 states and Union Territories that had previously been declared free of PDS SKO. This measure is designed to ensure that households facing challenges with LPG access can still obtain necessary fuel for their basic domestic needs.

The Ministry of Petroleum and Natural Gas has designated specific fuel stations in regions previously devoid of kerosene to store and distribute Superior Kerosene Oil for household use. As per the official directive, up to two fuel stations in each district, preferably those operated by public sector oil companies, will be permitted to stock a maximum of five thousand litres of kerosene.

To expedite the process, certain licensing requirements for dealers and transporters have been relaxed, although safety and monitoring protocols will remain in place. The ministry has emphasized that this provision is strictly for kerosene intended for household cooking and lighting.

Previously, the government had approved an additional allocation of 48,000 kilolitres of kerosene beyond the standard distributions for all states and Union Territories. Local authorities have been tasked with identifying district-level distribution points. Earlier allocations had been made to 17 states and Union Territories, while Himachal Pradesh and Ladakh indicated they did not require any additional supplies. This includes areas such as Delhi, Uttar Pradesh, Gujarat, and Rajasthan.

Regarding crude oil supplies, the central government has assured that the country possesses sufficient crude oil and LPG reserves to last for the next two months, despite the ongoing closure of the Strait of Hormuz. The Ministry of Petroleum and Natural Gas has stated that India is currently receiving more crude oil from over 41 suppliers worldwide than it previously sourced through the Straits.

Additionally, the government has mandated that the supply of cooking gas LPG to households will be halted if consumers do not transition to piped natural gas where such infrastructure is available. This new directive aims to promote the expansion of the gas network and reduce dependence on a single fuel source.