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As oil firms squeeze commercial, industrial LPG supply, Punjab industry feels the heat

An LPG distributor associated with Bharat Petroleum Corporation Limited in Ludhiana, requesting anonymity, said agencies have been instructed to prioritise domestic LPG deliveries.

As oil firms squeeze commercial, industrial LPG supply, Punjab industry feels the heatUnder the new guidelines, domestic consumers cannot book LPG refills within 25 days of their previous delivery. Although the order applies nationwide, its effects are beginning to be felt in Punjab, where a large portion of the industrial and hospitality sectors depend on commercial LPG cylinders.

The state-run oil marketing companies (OMCs) have announced suspension of Non-Domestic Non-Exempted (NDNE) LPG supply across Punjab in view of escalating tensions in the West Asia. The oreds, issued on March 6, has put an immediate halt on the dispatch of commercial cylinders of 19 kg as well as larger 47.5 kg and 425 kg jumbo cylinders commonly used by factories, hotels and other commercial establishments.

An LPG distributor associated with Bharat Petroleum Corporation Limited in Ludhiana, requesting anonymity, said agencies have been instructed to prioritise domestic LPG deliveries. “Orders came on March 6. Till Monday, we delivered all types of cylinders — domestic and commercial — which were already in the pipeline. But now the focus is only on domestic supplies, with a capping of 25 days between refill bookings, until further orders.”

Under the new guidelines, domestic consumers cannot book LPG refills within 25 days of their previous delivery. Although the order applies nationwide, its effects are beginning to be felt in Punjab, where a large portion of the industrial and hospitality sectors depend on commercial LPG cylinders.

T R Mishra, chairman of the Focal Point Industrial Association in Ludhiana, said around 60 per cent of Punjab’s industry is located in the city. “These orders are going to affect the steel and fabrication-based industries. As of now units are not feeling the immediate impact because they still have some stock, but they have been told that fresh dispatch has been halted temporarily. We urge the Centre to find an alternative arrangement to ensure smooth supply of commercial and industrial LPG cylinders.” Prolonged disruption could raise raw material costs and contribute to inflation. The hospitality sector is also monitoring the situation closely, as hotels and restaurants rely heavily on commercial LPG cylinders.

Amarveer Singh, president of Hotel & Restaurant Industry Association of Punjab, said most establishments still have sufficient stock. “At present, most hotels and restaurants have around a month’s supply of LPG cylinders. We are hopeful that the situation will stabilise before the existing stock runs out.”

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