Govt is likely to order oil refineries, including private sector Reliance Industries and Essar Oil, to maintain a minimum level of LPG production.
NEW DELHI: Government is likely to order oil refineries, including private sector Reliance IndustriesBSE 3.56 % and Essar OilBSE 0.97 %, to maintain a minimum level of LPG production to ensure uninterrupted supply of cooking gas to the public.
While India is surplus in petroleum products, production of LPG in the country is lower than the demand. The deficit is met through imports which have to increased if any of 20 refiners in the country produces less than projected LPG.
Sources said modern refineries have flexibility of changing product slate and often LPG production is pushed down in favour of high value petrol and diesel.
Change in production profiles of refineries especially private sector units, has in the past led to LPG scarcity and the resultant delays in delivery of domestic cooking gas.