Over half of Indian households facing LPG supply disruptions: Survey
What's the story
A recent survey by LocalCircles has revealed that over half of Indian households are facing disruptions in the supply of Liquefied Petroleum Gas (LPG) cylinders. The survey, which received responses from around 19,000 people, found that 43% had no trouble booking LPG cylinders for their homes, with deliveries arriving on time. However, others reported longer-than-usual wait times and some even resorted to buying from the black market at inflated prices.
Price surge
Black marketing of cylinders
The survey found that suppliers and middlemen are charging an extra ₹100 to ₹500 per cylinder. In Delhi-NCR, some gas agencies are reportedly charging between ₹1,500 and ₹2,800 per domestic cooking gas cylinder, almost double the usual price. Officially, a 14.2-kg domestic LPG cylinder costs around ₹900-₹1,000 while a commercial one is priced between ₹1,800 and ₹2,200.
Customers
Some people are eating fruits to save gas
Mouni, a domestic worker living in Zamrudpur, Delhi, told HT that two of her neighbors have not cooked anything in the last two days. "Some people are eating fruits," she added. Residents' groups stated that panic buying and hoarding have exacerbated the situation. "Hoarding is the real problem...Those who do not have registered LPG connections are paying even more, because they were already paying above MRP earlier," Atul Goel, who heads an umbrella body of resident welfare associations, said.
Official measures
Government takes action
In light of the ongoing crisis, the government has asked oil marketing companies to give priority to domestic consumers. States have also been advised to keep tabs on the situation and prevent hoarding or black marketing. The Essential Commodities Act (ECA) has been invoked to prioritize household LPG over commercial users. The Oil Ministry on Thursday said refineries were operating at full capacity, with increased production being supplied only for domestic use.
Supply chain disruption
Impact on restaurants and international trade
The LPG supply disruptions are being blamed on the ongoing conflict between US and Israeli forces against Iran. The conflict has caused instability and partial closures in the Strait of Hormuz, a major sea route for India's LPG imports from West Asia. The crisis has also impacted restaurants across major cities like Mumbai, Bengaluru, Kolkata and Chennai, with menu options being reduced or prices raised due to supply constraints. Some have even temporarily shut operations.