Centre sets up 3-member panel to tackle 'LPG shortage'; steps up domestic production by 10%

NEW DELHI: The Centre has constituted a three-member committee to address the ongoing LPG shortages that have severely affected the hospitality industry, following concerns raised amid the continuing crisis in the Middle East.According to government sources cited by news agency ANI, the new panel will assess the scale of disruption, consult hotel and restaurant industry associations, and reorganise supply distribution to meet genuine commercial requirements. The panel is comprised of executive directors from Indian Oil Corporation (IOC), Bharat Petroleum Corporation Limited (BPCL) and Hindustan Petroleum Corporation Limited (HPCL).The move comes after the Federation of Hotel and Restaurant Associations of India (FHRAI) wrote to the petroleum and natural gas minister, Hardeep Singh Puri, flagging “widespread disruption of LPG supply at the ground level” and urging immediate government intervention.In response, the three-member committee has been tasked with identifying the bottlenecks in commercial LPG availability and interacting directly with hospitality stakeholders to address their grievances.The officials said supply will be reprioritised where necessary to ensure continuity for essential commercial sectors such as hotels and restaurants.The Centre has already directed a 10 per cent ramp-up in domestic LPG production in recent days, while additional consignments of LPG and LNG are being sourced from multiple international suppliers to stabilise the situation.Government sources said India had faced a challenging period initially following the Iran–Israel conflict, but has since mitigated major supply risks due to its diversified oil sourcing strategy. Currently, around 70 per cent of India’s crude oil imports are sourced from regions outside the Strait of Hormuz, providing a strategic buffer against Middle East disruptions.Authorities added that Indian refineries are operating at full capacity and the country is better positioned than many others to recover swiftly once geopolitical tensions subside. No decision has been taken yet regarding restrictions on refined oil exports, the sources confirmed.