2 weeks ago
India sets LPG production targets; Reliance gets largest quota
The government of India wants to make sure there is always enough cooking gas for people.
Most of the gas India uses for cooking is brought from other countries on ships.
During a recent war in West Asia, the sea route used by these ships was blocked, so India did not get all the gas it needed.
To fix this problem, the government has told its refineries how much gas they should be able to make.
Refineries are big factories that turn oil into fuel and gas.
For the first time, the government set targets for 21 refineries and gas companies.
Together, they can make about 63,810 tonnes of cooking gas every day, which is about 70 percent of what the whole country uses in a day.
The biggest target was given to Reliance Industries' refinery at Jamnagar.
The government also asked these companies to keep enough storage and trucks to move the gas around.
Companies only have to reach these levels if there is a supply problem, and the targets will be checked and updated twice a year.
The Indian government set first-ever maximum daily LPG production targets for 21 refineries and upstream companies, with combined potential of 63,810 tonnes a day.
Reliance Industries' Jamnagar domestic-tariff-area refinery received the largest quota at 18,000 tonnes a day, while its export-only refinery was exempted.
The framework follows the West Asia conflict, when closure of the Strait of Hormuz disrupted imports on which India relies for over 64% of its LPG.
Eighteen public-sector refineries must produce 31,470 tonnes a day, Nayara Energy's Vadinar refinery 4,480 tonnes, and ONGC and GAIL 6,460 tonnes.
Companies must maintain LPG storage, evacuation and transport infrastructure, and the production schedule will be reviewed on January 1 and July 1 every year.
- Who
- India's Ministry of Petroleum and Natural Gas, plus 21 refiners and upstream companies including Reliance Industries, Nayara Energy, ONGC, GAIL and Oil India Ltd.
- What
- The government set first-ever maximum daily LPG production targets for 21 refineries and upstream companies, with combined production potential of 63,810 tonnes a day.
- Where
- India, including Reliance's Jamnagar refinery in Gujarat and Nayara Energy's Vadinar refinery, in the wake of the West Asia conflict.
- When
- The order was issued on August 13, 2026, and reported on August 16, 2026.
- Why
- To create a standing supply-security framework so that a future disruption to imported LPG supplies — like the Strait of Hormuz closure during the Iran conflict — does not again force shortages and rationing.
Key facts
- Order date
- August 13, 2026
- Companies covered
- 21 refineries and upstream companies
- Combined production potential
- 63,810 tonnes per day (about 70% of daily consumption)
- Reliance Industries (Jamnagar DTA refinery)
- 18,000 tonnes per day
- Public-sector refineries (18)
- 31,470 tonnes per day
- Nayara Energy (Vadinar refinery)
- 4,480 tonnes per day
- ONGC and GAIL
- 6,460 tonnes per day
- LPG import dependence (FY 2025-26)
- About 64-65% (21.3 million tonnes of 33.2 million tonnes consumed)
Quotes
Petroleum and Natural Gas Ministry
Issuing government order on LPG production capacity
“"Central Government shall update the Schedule on 1 January and 1 July of every year, including updates to Liquefied Petroleum Gas production from new refineries and upstream oil companies or additional Liquefied Petroleum Gas quantities from existing refineries and upstream companies due to changes to associated infrastructure and production technology, evacuation, supply, transport or distribution of Liquefied Petroleum Gas,"”
livemint.com
“It is hereby ordered that all public sector, joint venture and private sector oil refining companies, and upstream oil companies shall develop, augment and at all times maintain adequate infrastructure for storage, evacuation and transport of Liquefied Petroleum Gas (LPG) either by itself or through other entities viz railways or road tankers adequate for the specified quantities.”
thehindubusinessline.com
Sources
Govt sets LPG production targets for refineries amid West Asia crisis
Govt sets 63,810-tonne-a-day LPG production plan to guard against another supply shock
Govt sets LPG production targets for refiners; Reliance gets largest quota









