India Looks For 'Alternative Fuels' To Ease Pressure On Cooking Gas

By Shakir Husain

NEW DELHI, March 13 (Bernama) -- India is looking for "alternative fuels" to ease pressure on cooking gas supplies as the sea route through which the country gets much of its gas is drowning in the chaos brought about by the US-Israel war on Iran.

The shortage of liquefied petroleum gas (LPG) has forced restaurants to rejig menus to reduce hot-cooked items, and made households skimp on daily gas use or switch to electric cooking.

One restaurant owner in Delhi said he could serve only four to six dishes out of about two dozen listed on the menu, while another was unable to get new cylinders despite frantically trying for two days.

Many household consumers are forced to buy from unauthorised dealers, at times paying twice or thrice the official rate of 913 rupees per cylinder.

India relies on imports for 60 per cent of its LPG consumption and 90 per cent of it is transported through the Strait of Hormuz, said Sujata Sharma, a joint secretary in the Petroleum and Natural Gas Ministry.

Speaking at a media briefing on Thursday, she said force majeure declared by producers in the Gulf has affected supplies and India is now looking at alternative routes and suppliers to make up for the shortfall.

The Indian government on March 9 invoked the Essential Commodities Act to give priority in gas sales to households and vehicles.

A day earlier it ordered refineries and petrochemical companies to raise LPG production.

Prime Minister Narendra Modi in a speech at an event in New Delhi on Thursday made several references to India's huge energy sector, including the country's LPG consumption.

He said in 12 years the number of LPG connections has more than doubled to 330 million. Similarly, the number of households being supplied piped natural gas (PNG) has grown from 2.6 million in 2014 to 12.5 million.

The Petroleum Ministry official said "it is a difficult situation" but the government is trying to ensure adequate supplies to domestic consumers.

There are 25,000 distributors across the country and five million LPG cylinders are delivered daily, Sharma said, adding that no "dry out" has been reported.

“But there is a many-fold increase in bookings because of panic,” she said.

People carrying empty cylinders have been seen standing in long queues outside gas distribution agencies in recent days.

“All over India, the LPG shortage is resulting in massive queues, with crores (tens of millions) of common citizens staring at a food security crisis, with eateries being forced to shut down and widespread panic being spread among the people,” Congress party lawmaker K.C. Venugopal said on social media.

In the commercial LPG sector, priority is being given to hospitals and educational institutions while a committee comprising executive directors from state companies Indian Oil Corporation Ltd, Hindustan Petroleum Corporation Ltd, and Bharat Petroleum Corporation Ltd is reviewing allocations to restaurants, hotels and other business users.

Alternative fuel options “are being activated to ease pressure on LPG and gas channels,” Sharma said.

This involves supplying more kerosene, coal and fuel oil to states for distribution, as well as relaxing environmental rules on using biomass and refuse-derived fuel (RDF) pellets in the hospitality and restaurant segment for one month.

The new measures are in stark contrast to India's campaign in recent years to phase out kerosene, coal and firewood as cooking fuels.

If the LPG crunch and supply uncertainty continue, the hospitality sector may have to rely more on induction stoves, electric cooking or wood stoves.

People may have to adjust their food habits to have more cold items in their meals than popular spicy gravy dishes or fried snacks.

With about 20 commercial vessels being attacked so far in the Strait of Hormuz, the sea passage remains dangerous.

Iran has warned it will hit any American or Israeli-linked vessels, but has not closed it to shipping.

-- BERNAMA