India Enforces Stricter LPG Rules, Pushes PNG Shift on June 1

India’s government enforced stricter liquefied petroleum gas rules on June 1, 2026, banning dual LPG-PNG connections and requiring households with piped natural gas to surrender LPG cylinders within 30 days. The policy aims to reduce hoarding, stabilize LPG supply, and accelerate the shift to piped natural gas. India has 33.2 crore LPG connections but faces supply constraints, with reserves lasting under 2 days if imports are disrupted.

New Rules Target Dual Connections and Hoarding

The government enforced a one-household-one-connection rule, banning households from holding both LPG and PNG simultaneously. Households that switch to PNG must surrender their LPG connection within 30 days. Refill lock-in periods extended to 25 days in urban areas and 45 days in rural areas to prevent misuse and hoarding. These measures aim to curb black market activity and stabilize domestic LPG supply across India.

PNG Offers Lower Costs and Safety Benefits

Piped natural gas costs 10 to 35 percent less than LPG for typical household cooking. A family of four using 6 to 10 standard cubic metres monthly pays ₹600 to ₹900, versus multiple LPG cylinders. PNG operates at 21 millibar pressure, nearly 200 times lower than LPG cylinders, making it safer. The government has issued or activated over 7,500 domestic PNG connections in a single day to accelerate the transition.

Supply Pressures Drive Aggressive PNG Push

India has 1.67 crore PNG connections today, up from 93 lakh in March 2022, but only 1 crore are estimated active. The government targets 12.6 crore PNG homes by 2032, requiring a 12-fold increase in users. LPG reserves stand at 140,000 metric tonnes against daily consumption of 90,000 tonnes. Nearly 50 percent of India’s gas demand is met domestically, while LPG depends heavily on imports from Saudi Arabia and the UAE.

Government Cracks Down on Hoarding and Misuse

Enforcement agencies conducted 3,400 raids in 24 hours, seizing nearly 1,000 LPG cylinders. Authorities registered 642 FIRs and arrested 155 individuals for violations. Public sector oil marketing companies carried out over 1,500 surprise inspections at fuel outlets and LPG distributorships. The government increased commercial LPG allocation to states to 50 percent, prioritizing restaurants, community kitchens, and migrant workers. States and UTs have set up control rooms and district-level monitoring committees to maintain strict vigilance under the Essential Commodities Act, 1955.

Final Thoughts

India’s new LPG rules accelerate the shift to piped natural gas to ease supply constraints and reduce import dependency. With PNG 10 to 35 percent cheaper and safer than LPG, the transition offers clear benefits, but households must adapt to new connection rules and surrender deadlines.

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