The Ministry of Petroleum and Natural Gas shared an update on the fuel supply scenario in the nation, highlighting measures being taken to ensure ongoing availability of petroleum products and LPG in view of the Strait of Hormuz closure.
The Ministry noted that all refineries are working at high capacity with adequate crude inventories, and enough stocks of petrol and diesel are being maintained. LPG manufacturing has also been multiplied to help domestic consumption.
While the Government of India has reduced excise duty on petrol and diesel by Rs. 10 per litre, it has applied an export levy of Rs. 21.5 per litre on diesel and Rs. 29.5 per litre on aviation turbine fuel (ATF) to ensure availability in the domestic market.
“Instances of panic purchase because of rumours had been observed in certain regions, resulting in surprisingly high income and crowding at retail outlets. Moreover, adequate stock of petrol and diesel are available at all petrol pumps across the country” the Ministry stated.
Natural gas: Priority to retail customers
The Petroleum Ministry also mentioned that priority has been accorded to consumers with a 100% supply to domestic PNG and CNG delivery. Supplies to industrial and commercial consumers related to the grid are also being maintained at around 80% of their average consumption. CGD entities have also been suggested to prioritise PNG connections for commercial establishments which includes restaurants, hotels and canteens to address with concerns concerning commercial LPG availability.
“Partial commercial LPG supply (20%) had already been restored earlier. Also allocations had been made, taking total commercial LPG allocation to 50% and subsequently to 70% of pre-crisis levels, including reform-based allocations,” the ministry said in a statement. The new additional allocation prioritises industries along with steel, car, textile, chemicals and plastics, specially process industries requiring specialised heating.
