calender_icon.png 26 March, 2026 | 1:22 AM

No Fuel, LPG shortage

26-03-2026 12:00:00 AM

Minister for Civil Supplies N Uttam Kumar Reddy on Wednesday firmly dismissed rumours of any petrol, diesel or LPG shortage in Telangana, asserting that supplies are more than adequate and running ahead of demand. Addressing the media, he clarified that the sudden surge in demand is entirely panic driven, with no basis in actual supply constraints. According to official data, oil companies supplied 17,898 kilolitres against a demand of 17,246 kilolitres on the day, creating a surplus. He noted that while consumption has risen by nearly 25 percent due to panic buying, supply has been maintained at levels exceeding average demand. The government has also secured buffer stocks and deployed additional tankers to ensure uninterrupted distribution across the state.

The state government has intensified monitoring mechanisms to ensure seamless fuel distribution, with control rooms operating round the clock in coordination with civil supplies, police and legal metrology departments. Officials have been deployed across fuel stations to assess real time supply conditions and prevent hoarding. The Minister emphasised that 596 petrol bunks in Hyderabad are fully operational and none are permitted to shut down. He also warned against illegal practices such as storing fuel in containers and confirmed strict enforcement measures. Highlighting that Strategic Petroleum Reserves and supply lines remain robust, he reiterated that there is absolutely no cause for concern. The government appealed to citizens to act responsibly, avoid panic buying and refrain from spreading rumours, assuring that petrol, diesel and domestic LPG are available in abundance across Telangana.

Oil Companies step up Supplies and reassure Public

Oil Marketing Companies including Indian Oil Corporation Limited, Bharat Petroleum Corporation Limited and Hindustan Petroleum Corporation Limited have reiterated that there is no shortage of fuel anywhere in Telangana. Officials confirmed that all terminals and supply points are fully stocked and operating smoothly, with continuous replenishment of petrol pumps underway. The companies acknowledged that temporary disruptions at a few outlets were caused solely by an unusual spike in demand rather than any supply failure.

To address this, they have prioritised deliveries to high demand locations and are closely monitoring stock levels at retail outlets. Production from refineries has been scaled up, and supply chains remain intact to ensure uninterrupted availability. They also cautioned the public against unsafe storage practices such as carrying fuel in plastic containers, stressing that such actions pose serious safety risks.

Panic buying continues for Second Day

 The state capital region witnessed chaotic scenes for the second consecutive day as panic buying led to long queues at several petrol stations. While some bunks remained shut displaying no stock boards, vehicles lined up for kilometres, spilling onto main roads and causing significant traffic congestion near some of the bunks that were open. In several locations, police personnel were deployed to regulate crowds and ensure smooth movement of traffic, while also preventing the sale of fuel in bottles and cans. 

The government has also secured buffer stocks and deployed additional tankers to ensure uninterrupted distribution across the state.

N Uttam Kumar Reddy Minister for Civil Supplies

Switch to PNG or Lose LPG: New Govt Order

The government has mandated that cooking gas LPG supply to households will be discontinued if consumers fail to switch to piped natural gas where such connectivity is available, under a new order aimed at accelerating gas network expansion and reducing reliance on a single fuel.

As India grapples with an LPG shortage due to the war in West Asia disrupting supplies from key sources, the government is pushing households and commercial users to switch to piped natural gas (PNG) -- a more convenient alternative that is both domestically produced and sourced through diversified supply.

PNG is continuously supplied to kitchen burners through pipelines, eliminating the need to book refills.

The Ministry of Petroleum and Natural Gas has notified the Natural Gas and Petroleum Products Distribution (Through Laying, Building, Operation and Expansion of Pipelines and Other Facilities) Order, 2026, aimed at accelerating pipeline infrastructure, easing approvals and promoting a shift from LPG to PNG to strengthen energy security.

The order issued on March 24 states that LPG supply "shall cease after three months" if a household does not opt for PNG despite availability. The provision, however, allows continuation where it is "technically infeasible" to provide a piped connection, subject to a no-objection certificate.

The move is aimed at freeing up LPG supplies from areas with pipeline connectivity and diverting them to regions lacking such infrastructure, while promoting "fuel diversification" amid global supply disruptions, including damage to liquefaction facilities in the Gulf and the continued blockage of the Strait of Hormuz.

Commenting on the order, Oil Secretary Neeraj Mittal in the post on X said "a crisis (has been) turned into an opportunity" through the ease of doing business reforms. The order, issued under the Essential Commodities Act, seeks to fast-track pipeline infrastructure by easing approvals, standardising charges and ensuring time-bound permissions.

To facilitate rapid rollout, public authorities must grant right of way or permissions within prescribed timelines, failing which approvals will be deemed granted. The order also bars authorities from imposing charges beyond those specified.

In housing areas, entities controlling access must grant permissions within three working days, and last-mile PNG connectivity is to be provided within 48 hours. Applications for pipeline connectivity in such areas cannot be rejected.

The order further provides for intervention by designated officers with powers akin to a civil court to resolve disputes over land access and grant right of way where necessary. Authorised entities must begin laying pipelines within four months of approval or face penalties, including possible loss of exclusivity.

The Petroleum and Natural Gas Regulatory Board (PNGRB) has been designated as the nodal agency to monitor implementation, including tracking approvals, rejections and compliance.

In case the right of way or right of use permission to lay pipeline to residences for supply of PNG is not granted by the entities that control access to the housing complex, a notice will be issued and three months thereafter oil marketing companies will stop supply of LPG.

Listing out "consequences of households not applying for and obtaining PNG connection when notified by authorised entity" that has laid a pipeline to supply such fuel, it said, "The LPG supply to such an address shall cease after three months from the date of the communication."

"The supply of LPG to a household shall not cease, if the authorised entity issues a no-objection certificate (NOC) on the ground that it is technically infeasible to provide a piped natural gas connection or gas supply to such household," it said.

The authorised entity shall maintain records of the reasons for such technical infeasibility and withdraw the NOC as and when it is able to provide and operationalise the piped gas connectivity to such households.