Government Boosts Gas Allocation for Fertiliser Plants to 95% with 4.15 Lakh PNG Connections
Synopsis
In a significant move, the government has increased gas allocation for fertiliser plants to 95%, enhancing energy security and supporting cleaner energy initiatives. With over 4.15 lakh PNG connections gasified, the transition from LPG to PNG is underway.
Key Takeaways
Gas allocation for fertiliser plants increased to 95% .
Over 4.15 lakh PNG connections have been established.
Incentives are available for domestic and commercial PNG connections .
States can receive an additional 10% LPG allocation for supporting PNG transition.
A model draft State CBG Policy has been proposed to boost CBG development.
New Delhi, April 11 (NationPress) On Saturday, the government announced a 5 percent increase in the overall gas allocation to fertiliser plants, bringing it to approximately 95 percent of their six-month average consumption. This adjustment is based on the available inventory and the scheduled arrivals of LNG cargo.
Consumers will continue to be prioritized, with 100 percent supply guaranteed for domestic PNG and CNG transport.
Since March 2026, around 4.15 lakh PNG connections have been successfully gasified, with an additional 4.55 lakh customers registered for new connections. To date, over 26,000 PNG consumers have opted to surrender their LPG connections, as reported by the Petroleum Ministry.
Furthermore, since March 14, 2026, approximately 1,13,233 MT of commercial LPG has been sold, which is equivalent to over 60 lakh of the 19-kg LPG cylinders. On March 10 alone, 7,140 MT of commercial LPG—equivalent to more than 3.76 lakh cylinders—was sold.
The ministry has instructed CGD entities to focus on PNG connections for commercial venues, such as hotels, restaurants, and canteens, to alleviate concerns surrounding commercial LPG availability. CGD companies, including IGL, MGL, GAIL Gas, and BPCL, are providing incentives for both domestic and commercial PNG connections.
Additionally, states, UTs, and Central Ministries have been urged to expedite the necessary approvals for expanding CGD networks.
The government has proposed an extra 10 percent allocation of commercial LPG to states that assist in the long-term shift from LPG to PNG. Currently, eighteen states and UTs are benefiting from this additional allocation linked to PNG expansion reforms.
In a bid to promote a cleaner, safer, and more self-reliant energy future, the Ministry of Road Transport and Highways has implemented an Accelerated Approval Framework for CGD infrastructure over the next three months to prioritize application processing.
To facilitate CBG development, the government has drafted a model State CBG Policy intended to support states in forming their own investor-friendly and implementation-focused ecosystem for CBG initiatives. States that adopt this approach will be prioritized for the next round of additional commercial LPG allocation, as stated by the government.
Point of View
Addressing both consumer needs and environmental concerns.
NationPress
28 Jun 2026
Frequently Asked Questions
What is the new gas allocation percentage for fertiliser plants?
The gas allocation for fertiliser plants has been increased to 95 percent of their six-month average consumption.
How many PNG connections have been gasified since March 2026?
Approximately 4.15 lakh PNG connections have been gasified since March 2026.
What incentives are being offered for PNG connections?
CGD companies are providing incentives for both domestic and commercial PNG connections to encourage the transition from LPG.
How many states are receiving additional LPG allocation linked to PNG expansion?
Eighteen states and UTs are currently receiving additional commercial LPG allocations tied to PNG expansion reforms.
What is the government's approach to promote CBG development?
The government has introduced a model draft State CBG Policy to guide states in creating an investor-friendly environment for CBG development.
