Modi Reviews LPG Supply Risks Amid Iran Israel US Tensions

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PM Modi meeting ministers to review LPG supply risk amid Iran Israel US conflict

Prime Minister Narendra Modi on Tuesday held a high-level meeting with key ministers to review the possible impact of the escalating Iran–Israel–US conflict on India’s liquefied petroleum gas (LPG) supply.

The meeting was attended by Petroleum Minister Hardeep Singh Puri and External Affairs Minister S. Jaishankar, as the government assessed the risks to India’s energy security.

Officials said the focus of the meeting was to evaluate supply disruptions and prepare contingency plans to ensure uninterrupted LPG availability for domestic consumers.

Why Is the Strait of Hormuz Crucial for India’s LPG Supply?

The urgent review comes amid growing concerns over the closure of the strategically important Strait of Hormuz, a vital global shipping route for oil and gas supplies.

India imports nearly 62 percent of its LPG requirement, and a major portion of these imports—around 85 to 90 percent—passes through the Strait of Hormuz.

Most of the shipments originate from Gulf nations such as Saudi Arabia and other regional exporters.

Any disruption in this route could significantly affect India’s cooking gas supply and fuel markets.

What Steps Has the Government Taken to Prevent LPG Shortage?

To prevent a crisis, the government has activated several contingency measures.

Officials said the priority right now is ensuring uninterrupted LPG supply to households, which form the largest consumer segment in the country.

Authorities are also exploring alternative sources and supply routes to offset any shortfall caused by disruptions in the Gulf region.

Additionally, refineries have been instructed to increase domestic LPG production to stabilise supply.

Why Are Hotels and Restaurants Facing LPG Shortages?

As part of emergency management measures, the government has prioritised domestic cooking gas supply for households.

India consumes around 31.3 million tonnes of LPG annually, with households accounting for nearly 87 percent of total consumption.

The commercial sector—including hotels, restaurants, and catering services—accounts for the remaining 13 percent.

Because of the prioritisation of household needs, several hospitality hubs, including Mumbai and Bengaluru, have already reported supply disruptions for commercial LPG cylinders.

What Rule Has the Government Changed to Stop Panic Buying?

To prevent panic buying and hoarding, the Petroleum Ministry has introduced a temporary change in the LPG refill system.

The refill booking cycle for households has been extended from 21 days to 25 days.

Officials say this step will help maintain balanced distribution while supply chains remain under pressure due to the geopolitical tensions in West Asia.

The government is closely monitoring the situation as the global conflict continues to evolve, with energy security remaining a top priority for India.

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