Govt Assures Adequate Fuel Supply, Urges Public to Avoid Panic Buying

New Delhi, March 2026 : The Centre on Wednesday reassured citizens that there is no shortage of essential fuels, including LPG, petrol, and diesel, and urged the public to refrain from panic buying amid concerns triggered by the prevailing geopolitical situation.

In an official update following an inter-ministerial review, the government said that all necessary steps are being taken to ensure uninterrupted availability of fuel across the country. It emphasised that no “dry-outs” have been reported at LPG distributorships or petrol pumps, and the delivery of domestic LPG cylinders is continuing as usual.

The government also highlighted that partial restoration of commercial LPG supply—up to 20 per cent—has already been implemented. Additionally, a proposal for a further 10 per cent allocation linked to the expansion of piped natural gas (PNG) infrastructure is under consideration to ease pressure on supplies.

According to the statement, all refineries are currently operating at high capacity and maintaining adequate crude inventories. Stocks of petrol and diesel remain sufficient to meet national demand. To further strengthen availability, domestic LPG production at refineries has been ramped up to support household consumption.

While acknowledging that LPG supply chains have been impacted to some extent due to global geopolitical developments, the Ministry of Petroleum and Natural Gas encouraged citizens to adopt alternative energy options such as PNG, electric cooking, or induction stoves wherever possible. People were also advised to conserve energy in their daily usage.

Citizens have been urged to use digital platforms for LPG bookings instead of visiting distributors physically, in order to reduce crowding and ensure smoother operations.

The government noted that although all fuel retail outlets are functioning normally, panic buying in certain regions—driven by rumours—has led to temporary surges in demand and crowding. It reiterated that such reactions create artificial shortages despite adequate supplies being available at depots and pumps.

Authorities strongly advised the public to rely only on official communication channels for information and not to believe or spread unverified reports.

To prevent hoarding and black marketing, enforcement agencies have intensified checks across states and Union Territories. Over 2,700 raids were conducted recently, leading to the seizure of nearly 2,000 LPG cylinders in states such as Uttar Pradesh, Maharashtra, Telangana, and Chhattisgarh.

Public sector oil marketing companies, including Indian Oil Corporation, Bharat Petroleum Corporation Limited, and Hindustan Petroleum Corporation Limited, have also stepped up surveillance. More than 1,700 surprise inspections have been carried out at petrol pumps and LPG distributorships nationwide. So far, over 650 FIRs have been registered, and 155 individuals have been arrested in connection with illegal activities.

The government further said that priority allocation is being ensured, with 100 per cent supply maintained for domestic PNG and CNG used in vehicles. Supply to industrial and commercial consumers connected to the gas grid is being sustained at around 80 per cent of normal consumption levels.

City Gas Distribution companies such as Indraprastha Gas Limited, Mahanagar Gas Limited, GAIL Gas, and BPCL have been advised to prioritise PNG connections for commercial establishments like restaurants, hotels, and canteens, while also offering incentives to encourage adoption.

Additionally, an extra allocation of 48,000 kilolitres of kerosene has been made to all states and Union Territories, with instructions to identify district-level distribution points to ensure smooth and equitable supply.

Reiterating its commitment, the government assured citizens that fuel availability remains stable and appealed for calm, responsible consumption, and cooperation to avoid unnecessary disruptions.