LPG crisis looms over the world, Saudi Aramco stops delivery in May, plant fault becomes major reason

News India Live, Digital Desk: Saudi Aramco, the world’s largest oil and gas producing company, has given a major blow to the global energy market. The company has said in its official announcement that it is suspending the delivery of LPG for the coming month of May. This decision has come at a time when many countries of the world are already struggling with energy crisis and rising prices. Due to this step of Aramco, there is a possibility of a huge rise in the prices of LPG in the coming days. What is the real reason for stopping the supply? According to Saudi Aramco, this decision has not been taken for any political or strategic reason, but due to technical fault: Facility Damage: There is news of technical fault and damage to the infrastructure in a major gas processing plant of the company. Maintenance work: The damage is said to be so serious that It will take time to fix this and check the safety standards, due to which the slots for the month of May have been cancelled. What will be the impact on the global market and India? Saudi Arabia is one of the major LPG exporters in the world. This decision of Aramco will have a direct impact on the Asian and European markets: Increase in prices: Due to reduced supply and intact demand, ‘panic buying’ may start in the prices of LPG in the international market. India’s situation: India imports a large part of its LPG needs from Saudi Arabia. Although India has adequate buffer stock and alternative supply routes from other countries (like Qatar and UAE), the rise in global prices may increase the price of non-subsidized cylinders domestically. Will the kitchen budget be affected? At present, Indian oil companies (IOCL, BPCL, HPCL) have not given any official statement on this. But experts believe that if this problem of Aramco continues for a long time, it will have a deep impact on the bookings and prices for the month of June. Shortage of LPG for heating and industrial purposes can be felt even in developed countries. Indian Petroleum Ministry is keeping an eye on the situation, preparedness of the government and oil companies. It is believed that India may demand additional cargo from other Gulf countries so that there is no shortage of gas in the domestic market.