Govt Pushes PNG Shift Amid Fuel Crisis, LPG Supply to Stop if Households Don’t Switch
New Delhi: In a major policy move amid the ongoing fuel crisis triggered by the West Asia conflict, the Centre has mandated a transition from LPG to piped natural gas (PNG) in areas where pipeline connectivity is available. The government said LPG supply to such households will be discontinued if they fail to switch within three months.
The decision comes in the backdrop of supply disruptions following the US-Israel conflict with Iran, which has impacted LPG imports and global energy flows. With key shipping routes like the Strait of Hormuz facing uncertainty, India is looking to secure domestic energy supply and reduce dependence on imports.
Under the newly notified Natural Gas and Petroleum Products Distribution Order, 2026, households with access to PNG must apply for connection or risk losing LPG supply after a three-month period.
The order also mandates that housing societies and entities controlling access must grant permissions within three working days. Gas companies are required to provide last-mile PNG connectivity within 48 hours, and applications cannot be arbitrarily rejected.
However, the government has clarified that LPG supply will continue in cases where PNG connectivity is technically not feasible, subject to proper certification.
Government’s Strategic Push
Officials said the move aims to accelerate the expansion of the city gas distribution (CGD) network and promote fuel diversification. Oil Secretary Neeraj Mittal highlighted that the reform will improve ease of doing business and enable faster infrastructure growth.
The policy has been issued under the Essential Commodities Act, with provisions to streamline approvals and standardise processes.
Why PNG is Being Promoted
PNG is seen as a more stable and continuous fuel source, as it eliminates the need for cylinder refills and reduces logistical challenges. By shifting urban households to PNG, the government aims to free up LPG supplies for rural and underserved areas.
The move also aligns with India’s long-term strategy to build resilient and diversified energy systems in response to global geopolitical risks.
The Centre’s push towards PNG marks a significant shift in India’s household energy policy, driven by both immediate crisis management and long-term energy security goals.
With inputs from PTI
Our Final Thoughts
The government’s decision to mandate a shift to PNG reflects a proactive approach to managing fuel supply challenges during a global crisis. While the move may cause short-term inconvenience for some households, it could lead to more efficient and reliable energy access in the long run. The success of this policy will depend on how quickly infrastructure can be expanded and how smoothly the transition is managed. Clear communication and on-ground execution will be crucial to ensure public acceptance and avoid disruption.