Overview
- At an inter‑ministerial briefing on Friday, May 29, joint secretary Sujata Sharma told reporters that Indian Oil, BPCL and HPCL must prepare plans to hold at least 30 days of LPG demand as a formal reserve.
- Domestic refineries have raised LPG output to about 50,000–52,000 tonnes per day while national consumption is roughly 72,000 tonnes per day, and the government is prioritising household cylinders over commercial supplies.
- OMCs have been asked to assess whether additional storage should be in underground caverns or overground tanks and to work out feasibility, costs and timelines before building the reserves.
- Authorities have stepped up enforcement to stop hoarding and diversion, with special state squads, thousands of raids, some arrests and growing retail petrol and diesel sales that officials link to a shift from bulk buyers to pump purchases.
- Supply risks are likely to persist as some Indian‑linked vessels remain stranded near the Strait of Hormuz even though a few tankers have transited, so the reserve plan signals a longer‑term push to reduce dependence on Gulf shipping.