City gas firms advised to prioritise PNG connections for commercial entities
New Delhi: As the West Asia crisis escalates affecting global supply chains, the government has advised city gas distribution (CGD) entities to prioritise PNG connections for commercial establishments such as hotels, restaurants and canteens.
The CGD companies include IGL, MGL, GAIL Gas and BPCL are currently offering incentives. These have been directed by PNGRB to shorten the timeline between the submission of applications and the commencement of gas supply to consumer households and pursue mass awareness initiatives.
The government has also requested states and UTs to expedite approvals for CGD expansion.
Meanwhile, the Centre has also offered all states/UTs additional 10 per cent allocation of commercial LPG to states, provided they can help in long term transition from LPG to PNG.
According to Petroleum Ministry, it is now on the states/UTs to take this reform forward and ensure expansion of CGD network and expedite issuance of connections to domestic and commercial/industrial PNG consumers in their areas.
In the meantime, over 13,700 new PNG connections have been issued in recent days and more than 7,300 consumers have shifted from LPG to PNG, helping reduce pressure on LPG demand.
While supply of LPG is still a concern in view of prevailing geopolitical situation, no dry-outs have been reported at distributorships.
Notably, panic bookings have declined significantly — from 89 lakh on March 13 to around 55 lakh on March 20 — while domestic LPG deliveries continue as normal.
Around 18 states and UTs have issued orders for allocation of non-domestic LPG, with supply being made available across all States and UTs. Educational institutions and hospitals are being prioritised, receiving around 50 per cent of commercial LPG allocation.
Around 11,360 MT of commercial LPG has been uplifted in the past week, informed the government. Priority sectors continue to receive protected supplies, including 100 percent supply to domestic PNG and CNG transport.