Centre Allows Temporary Kerosene Distribution in Kerosene-Free States, UTs Amid LPG Supply Concerns

The Central government has allowed ad-hoc allocation of public distribution system (PDS) kerosene in 21 states and Union Territories, including regions previously classified as kerosene-free, to support household cooking and lighting needs amid global energy supply pressures.

The move follows the month-long war in West Asia, disrupting the energy supply chain, particularly cooking gas LPG.

India imports 60% of its cooking gas needs, 85-90% of which comes from the Gulf countries. The war has stopped those supplies, forcing the curtailment of supplies to commercial users like hotels and restaurants.

While domestic households have been given priority in the supply of the available LPG, the limited stocks have led to panic buying and long queues.

To ease pressure on LPG, the government allowed the temporary use of kerosene for cooking and lighting throughout the country, including the 21 states and UTs that were previously declared kerosene-free.

The Ministry of Petroleum and Natural Gas has issued a notification allowing temporary exemptions under the Petroleum Act, 1934 and Petroleum Rules, 2002, to facilitate the distribution of PDS kerosene in 21 states and UTs, according to a gazette notification of March 29.

Under the notification, up to two designated PSU oil marketing company (OMC) service stations per district -- preferably company-owned and operated -- will be permitted to store up to 5,000 litres of kerosene, subject to prescribed safety conditions.

Agents and dealers have been exempted from obtaining licences for decanting kerosene at these designated stations, while tank vehicles with existing licences will also not require additional permits for the same purpose.

The exemptions are conditional on strict adherence to safety norms and operational guidelines issued by the Petroleum and Explosives Safety Organisation (PESO). Records of storage, decantation and distribution must be maintained and made available for inspection by district authorities and PESO.

The order takes immediate effect and will remain valid for 60 days or until further notice.

The notification covers 21 PDS kerosene-free states and Union Territories, including Delhi, Chandigarh, Haryana, Punjab, Uttar Pradesh, Rajasthan, Goa, Madhya Pradesh and Gujarat.

"In view of the prevailing geo-political situation affecting energy supplies worldwide, the Central Government has decided to make an ad hoc allocation of PDS kerosene to the States/Union Territories (UTs), including 21 states/UTs which are PDS kerosene-free," the notification said.

This, it said, will facilitate prompt distribution of PDS kerosene to households for cooking and lighting purposes.