Union govt increases commercial LPG allocation to 50% amid supply recovery

This enhanced quota will prioritize essential sectors, including restaurants, hotels, food processing units, industrial canteens, and community kitchens

Mar 21, 2026 - 14:12
Mar 21, 2026 - 14:15
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Union govt increases commercial LPG allocation to 50% amid supply recovery

THE Union government on Saturday authorised an additional 20% allocation of commercial LPG for states and Union Territories, raising the total supply to 50% of pre-Middle East crisis levels. This decision follows a rise in domestic production, which is helping the energy sector gradually stabilise.

This enhanced quota will prioritise essential sectors, including restaurants, hotels, food processing units, industrial canteens, and community kitchens.

The plan also includes targeted distribution to support migrant workers.

The supply adjustments come after a three-week conflict in the Middle East severely hampered energy imports to India.

To protect household fuel security, the government initially restricted LPG access for commercial establishments like hotels. However, with domestic output improving and alternative imports arriving, the Ministry of Petroleum and Natural Gas is now easing these curbs to support the broader hospitality and food industry.