Government Takes Action Against LPG Subsidy Misuse

Government's Initiative to Curb LPG Subsidy Misuse

To prevent the misuse of subsidies on cooking gas and ensure that eligible consumers receive their supply, the government is identifying households that possess both LPG and PNG connections. The Ministry of Petroleum and Natural Gas amended the LPG Supply and Distribution Order, 2000, through a notification issued on March 14 under the Essential Commodities Act, prohibiting consumers with PNG connections from holding or refilling domestic LPG connections.

Sujata Sharma, Joint Secretary in the ministry, stated on Thursday that an assessment of consumers with dual gas connections is underway. So far, over 43,000 such consumers have surrendered their LPG connections. She noted, 'Although this number is lower than expected, we anticipate it will increase.'

Mandatory Surrender of One Connection

According to the new directive, consumers with PNG connections must immediately surrender their domestic LPG connections. Additionally, those holding PNG connections are also barred from obtaining new LPG connections. Furthermore, government oil companies and their distributors have been instructed not to provide LPG connections or refill cylinders for these consumers.

Government's Objective

This initiative aims to prioritize LPG supply for households that do not have access to piped cooking gas. Amid global pressure on energy supplies due to conflicts in West Asia, India is adjusting its gas allocations. The country imports approximately 88% of its crude oil, 50% of its natural gas, and 60% of its LPG. Given the current situation, the government has also temporarily halted the issuance of new LPG connections.