LPG Demand Softens, Bookings Fall To 46-50L, Supply Remains Normal: Govt

LPG demand is expected to moderate during the summer season, with bookings already witnessing a decline, said Sujata Sharma, Joint Secretary (Marketing & Oil Refinery), Ministry of Petroleum and Natural Gas, during an inter-ministerial briefing on recent developments in West Asia on Friday.

She stated that LPG bookings have come down to the range of 46 lakh to 50 lakh, compared to levels of more than 50 lakh earlier, indicating a seasonal dip in demand.

“Summer, yes, LPG demand is expected to come down. Bookings have declined and now we are witnessing booking in the range of 46 lakhs to 50 lakhs, which was more than 50 lakhs earlier,” she said.

Despite the decline in demand, the government assured that the domestic supply remains stable. Sharma said there have been no reports of LPG shortages at the distributor level, and deliveries continue as usual.

“Our domestic LPG supply, including petrol and diesel, is normal. There have been no reports of any dry-out of LPG at any distributor,” she said.

On production, she noted that domestic LPG output is fluctuating in the range of 46,000 to 50,000 MMT (Million Metric Tons), indicating steady supply conditions to meet demand.

She also highlighted that overall fuel availability remains adequate across the country. Petrol pumps are operating normally with sufficient availability of petrol and diesel, while refineries are functioning at optimal capacity. Crude oil stocks are also sufficient, ensuring an uninterrupted supply.

On the auto LPG segment, Sharma said that public sector oil marketing companies sold 177 tons per day in February, compared to approximately 296 tons per day in April. She added that certain states, including Karnataka, Tamil Nadu, Telangana, Rajasthan and West Bengal, are witnessing a rise in auto LPG sales.

The government is also taking steps to reduce pressure on LPG demand by expanding the Piped Natural Gas (PNG) network. State governments have been urged to grant deemed approvals to pending applications to accelerate this expansion.

Reassuring consumers, Sharma urged people not to panic or believe in rumours regarding fuel availability.

“We have ample supply, so do not believe rumours and buy petrol, diesel, and LPG only as needed,” she said.

The briefing comes amid evolving geopolitical developments in West Asia, with the government closely monitoring energy supply dynamics while maintaining stable domestic availability. (ANI)