India Increases LPG Allocation to Support Key Industries Amid Global Energy Crisis

In a strategic move to address global energy challenges, India has increased its commercial LPG allocation to states to 70% of pre-crisis levels. This decision aims to support vital sectors such as steel, automobiles, and textiles, ensuring energy security and affordability. Hardeep Singh Puri highlighted the importance of this initiative, especially in light of the ongoing global energy crisis exacerbated by the closure of the Hormuz Strait. The additional allocation will prioritize industries that rely heavily on LPG, providing much-needed relief to industrial activities across the nation. Read on to discover how this decision impacts various sectors and the broader implications for India's energy landscape.

By Narendra Chaudhary Mar 27, 2026, 14:29 IST

Boosting LPG Supply for Industries

In response to global energy challenges, India has raised the allocation of commercial LPG to states to 70% of pre-crisis levels, aiming to alleviate pressure on major industries. Hardeep Singh Puri stated that this initiative will benefit sectors such as steel, automobiles, textiles, and other labor-intensive industries. He emphasized that priority will be given to industries where LPG cannot be substituted with natural gas from pipelines.

Ensuring Energy Security

In a post on X, Puri noted that while many countries have implemented strict fuel-saving measures like odd-even schemes and four-day work weeks due to high fuel prices, India remains committed to ensuring energy security, availability, and affordability. This decision is expected to provide relief to industrial activities in states amid the global energy crisis triggered by the closure of the Hormuz Strait.

Communication to States

Additionally, Neeraj Mittal has communicated the revised allocation details to all states and union territories through a letter. He mentioned that an extra 20% allocation is being provided on top of the current 50%, bringing the total commercial LPG supply to 70% of pre-crisis levels. This additional allocation will prioritize industries such as steel, automobiles, textiles, dyeing, chemicals, and plastics, particularly those reliant on LPG for specific heating needs and unable to switch to natural gas.