Due to the ongoing military tension between Iran and America in West Asia and the closure of the Strait of Hormuz, the supply of LPG is once again under pressure across the world. Actually, this situation has once again brought a challenge for India. In fact, the country fulfills about 60% of its LPG requirement through imports. Most of this also comes from West Asia through the Strait of Hormuz. But meanwhile, an interesting news is that there has been a record decline in domestic LPG refill bookings in India.
In response to a question in the Rajya Sabha on July 27, 2026, the Ministry of Petroleum and Natural Gas said that Indian Oil (IOCL), Bharat Petroleum (BPCL) and Hindustan Petroleum (HPCL) together had received a total of 18.19 crore domestic LPG refill bookings in January. But by June this figure came down to 12.80 crores. There were about 5.39 crore less bookings in June as compared to January. If seen in percentage terms, a decline of about 30 percent was recorded. The biggest decline was seen between March and April.
The booking of LPG gas in January 2026 was Rs 18.19 crore. In February it fell to Rs 16.65 crore. However, with the beginning of the war between America and Iran, it increased again to 18 crores in March. But in April it has seen a record decline. In April it fell to Rs 13.24 crore. Then in May it reached 12.98 crores. In June it further fell to 12.80 crore bookings.
Has there also been a decline in refill bookings of Ujjwala beneficiaries?
- January: 4.37 crores
- February: 4.05 crores
- March: 3.69 crores
- April: 3.04 crores
- May: 2.84 crores
- June: 2.90 crores
There has also been a decline in bookings by Ujjwala beneficiaries. In comparison to January, about 1.47 crore less bookings were registered in June. This means that there was a decrease of about 34 percent. However, a slight improvement was definitely seen in June as compared to May.
Are people not filling domestic LPG due to these reasons?
- If we look at the prices of LPG, it may seem at a glance that due to the cost of gas, people are filling less cylinders. But neither in the government data nor by the government has any such reason been given. However, it is certain that the prices of domestic LPG have increased during this period of decline in bookings. On April 1, 2026, the price of 14.2 kg domestic cylinder in Delhi was Rs 913, which was increased to Rs 942 from July 1, 2026. At the same time, the beneficiaries of Pradhan Mantri Ujjwala Yojana used to get LPG gas at Rs 613 after a targeted subsidy of Rs 300, which now costs Rs 642.
- With the beginning of the Iran-America war in the last month of February, a crisis situation emerged regarding the availability of LPG gas in India. In such a situation, to avoid this crisis, wood and cow dung cakes along with LPG are used in rural areas. Using biogas or other traditional fuels. That is why LPG cylinders last longer. There is no need to fill LPG anytime soon.
- Amidst the LPG crisis, the use of induction cooktop, piped natural gas (PNG) and electric cookers has increased in urban areas. Already gradually people in urban areas were using alternative means for cooking. But after the LPG crisis, their use has increased rapidly. Now this trend has started in villages also. This is also a big reason why LPG bookings have declined.
- It is being said about the Ujjwala beneficiaries that they are somehow able to sustain their livelihood. In such a situation, it is proving very difficult for them to refill LPG every month. In such a situation, they are using only traditional resources like wood for cooking.
What did the government say?
The Government of India has not presented any official analysis in Parliament confirming any prospects for a decline in domestic LPG. Therefore these should be seen only as possible causes. The government also says that there is no shortage of domestic LPG in India, Indian consumers are buying cheaper cooking gas compared to many countries of the world. The government has also said that public sector oil companies are bearing under-recovery of up to Rs 700 per cylinder. At the same time, subsidy of ₹ 300 per cylinder is also being given to Ujjwala beneficiaries.
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