Panic: Fuel fears fuel queues
NEW DELHI: People queued up at petrol stations and domestic LPG outlets amid panic buying across the country over a perceived paucity of fuel, even as the government told Parliament on Thursday that there was no shortage of petrol, diesel and kerosene due to the West Asia crisis and it was not the time for rumour-mongering.
Oil minister Hardeep Singh Puri said in the Lok Sabha there was no shortage LPG, crude, petrol, diesel, ATF and Kerosene even as videos showed people standing in queue outside gas station in several parts of the country.
Hardeep Singh Puri said the “field reports” indicate that hoarding and panic-booking at the distributor and retail level are “driven by consumer anxiety rather than any actual supply shortage.”
India is in its fourth consecutive day of LPG shortages, with disruptions being reported across major cities including Mumbai, Bengaluru, and Kolkata.
In his address at the NXT Summit on late Thursday evening, Prime Minister Narendra Modi urged state governments to enhance monitoring to stop black-marketers and hoarders in such times. “Our resolve is clear - citizens should not face any problems due to wars in different parts of the world,’’ he said.
“Some people are trying to create panic and pursue their own agendas. I don’t want to comment on them politically at this time. But I will definitely say that by doing so, they are not only exposing themselves to the public but also causing significant harm to the country,’’ PM Modi said on LPG crisis.
He said that no country is untouched by the impact of this global crisis brought on by war, adding that his government, too, is leaving no stone unturned to address this crisis. ``I have had discussions with top leaders from several countries around the world regarding this issue. Continuous efforts are also underway to address the disruptions to the supply chain,’’ he said.
The Prime Minister said that promoting diverse energy sources has been a constant necessity for India’s rapid development. To strengthen this, the government has worked on two levels – first to develop infrastructure to increase energy access in the country and secondly, to ensure that we do not have to depend solely on foreign countries for energy with emphasis was laid on self-reliance in the energy sector.
“Till 2014, there were only 14 crore LPG connections in the country. This means that only about half the families in the country had an LPG connection. Today, there are more than double that, i.e., around 33 crore domestic LPG connections. In the last 11 years, we have doubled our bottling capacity. Distribution centers have also increased from 13,000 to more than 25,000. In 2014, there were only four LNG terminals in the country, today their number has also doubled. The gas pipeline, which used to be about 3,500kilometers, has been expanded to 10,000 kilometers. Since about 60 percent of LPG comes from abroad, the import terminal capacity at the country’s major ports has also been greatly increased,’’ PM Modi said.
Restaurant associations say commercial LG cylinder supply have stopped or become irregular over the past several days, raising concerns about the hospitality sector’s ability to continue operations.
The US-Israel attacks on Iran and Tehran’s retaliation have shut the Strait of Hormuz, a key sea route through which India gets 85-90 per cent of its LPG imports from West Asian nations, including Saudi Arabia and Qatar. The shutdown of Qatar’s LNG exports has rattled global gas markets.
On the procurement front, India has been steadily reducing its dependence on the Strait of Hormuz. Roughly 70% of crude oil imports now arrive via alternative routes, up from 55% previously — a shift that offers some buffer against regional disruptions.
The government said that consumers in rural India will be able to book LPG cylinders after 45 days, while consumers in urban India will be able to book after 25 days.
The government further asked consumers not to make bookings in a panic.
Addressing a question on the problems in booking LPG cylinders, Petroleum Ministry spokesperson Sujata Sharma said that some families are facing problems booking LPG cylinders as they are trying to book before the booking period of 25 days. She urged the consumers not to do any panic booking by paying heed to any rumour.
Eateries and quick-service restaurant chains, which rely heavily on commercial LPG cylinders to run kitchen operations, fear that restrictions on fuel supply to them could disrupt operations and drive input cost inflation.
Several eateries across the country have been forced to trim their operations.
The Tamil Nadu Hotels Association said small and medium-sized restaurants in the southern state were badly hit, with many iconic establishments in Chennai forced to stop serving fuel-intensive dishes such as dosas and fried rice to conserve their dwindling gas stocks.
A restaurant owner in Delhi said, “There is a shortage of cylinders. Even double the price, around Rs 1,500 to Rs 2,000, is not enough.” He added that his eatery requires at least three cylinders every day.
In West Bengal, officials said the “shortage” of cooking gas cylinders had begun to affect midday meals in schools across the state, forcing authorities to adopt alternative fuels such as firewood or serving limited food items to students.
