Consumption has doubled in 10 years, LPG production is the same, the country is moving towards a big crisis? Understand the whole thing from statistics

LPG Crisis in India: The growing effects of the ongoing war between the US and Israel with Iran have affected global energy markets, and its impact is now being seen in countries like India as well. Due to shortage in supply of LPG gas in India, long queues are being formed at many places, especially in cities where mess, hotels and restaurants are being affected.

In many parts of India, students and people living in lodges are worried because there is shortage of gas in their kitchens. Menus have become limited in some restaurants and hotels, and there are reports of cooking using wood in many places. What’s more troubling is that industries such as fertilizers and ceramics have also hit production, with threats of closure, the BBC reports.

Opposition parties protest

Regarding this situation, the opposition parties, especially the Congress, protested in the Parliament complex and demanded a debate in the Parliament on the supply of LPG. At the same time, Petroleum and Natural Gas Minister Hardeep Puri said in the Lok Sabha on March 12 that there is no shortage of petrol, diesel and kerosene. He also said that the supply of natural gas is also stable and the supply of LPG is completely safe.

What did the government say?

The minister also said that attempts were being made to create panic, and that “domestic LPG supply is completely safe”. According to him, gas bookings are increasing, but this is not due to any shortage, but due to the concern of consumers.

LPG consumption increased in India

LPG consumption in India has increased by 60% in the last decade. India was consuming 19.6 million metric tons (MMT) of LPG in 2015-16, which is now likely to increase to 31.3 MMT. Apart from this, the addition of 10.33 crore LPG connections under the Pradhan Mantri Ujjwala Yojana has also led to a rapid increase in the number of domestic consumers.

Source: PPAC

domestic production status

However, despite the increase in LPG consumption, its domestic production in India has remained stagnant. Only 41% of consumption in India comes from domestic production. Domestic production in the last eight years has remained around 12 MMT, whereas in 2015-16 it was around 54%. Due to this, India has to depend on imports for LPG.

India’s LPG import

India, which is the world’s second largest LPG importer, imports about 60% of its requirement. A large part of this import comes through the Strait of Hormuz, which is currently the center of disputes due to Iran and the US-Israel conflict. About 85% of LPG is imported through this narrow waterway.

Where does LPG come from in India?

India’s LPG imports mainly come from Qatar (33%), UAE (27%) and US (8.6%). About 80% of India’s petroleum gases are supplied from the Gulf countries, due to which this problem further increases when there is any interruption in the supply due to mutual disputes or wars between these countries.

India’s LPG import

LPG storage conditions

LPG storage space in India is also limited. The total LPG storage capacity till October 2025 is 1555.6 thousand metric tonnes, which can meet the demand for only 18 days if the supply stops. Storage capacity is relatively better in West and South India, where 26 and 23 days’ demand can be met, while in North India only 8 days’ demand can be met.

Also read- LPG shortage is about to end, two tankers leaving the Strait of Hormuz, naval warships in alert mode.

Due to these circumstances, if there is a major interruption in the supply of LPG, it will not only cause problems to domestic consumers but may also affect industrial production. India will now have to look for alternative routes for LPG imports and reduce dependence on the Strait of Hormuz.