Key Points:
- Bombay High Court issued notices to the Centre and Confidence Petroleum over the domestic LPG supply shortage.
- Distributors alleged the company ignored repeated requests to halt exports and prioritize household cylinder supply.
- The petition linked the crisis to global oil disruptions caused by the Iran–Israel conflict, affecting key producing nations.
The Bombay High Court’s Nagpur Bench on Thursday issued notices to the Union government and others after six LPG distributors alleged inadequate domestic cylinder supply caused by global disruptions linked to the Iran–Israel conflict.
Court Seeks Response From Centre And Petroleum Ministry
The Bombay High Court’s Nagpur Bench issued notices to the Union government, the Ministry of Petroleum and Natural Gas, and Confidence Petroleum India Limited on a petition seeking increased supply of domestic LPG cylinders.
A bench of Justice Anil S. Kilor and Justice Raj D. Wakode passed the order while hearing a plea filed by six LPG distributors associated with Confidence Petroleum India Limited. The distributors claim current allocations are insufficient to meet household demand.
The court directed the respondents to submit their replies and scheduled the matter for further hearing on Monday.
In the meantime, the bench ordered that the LPG Supply Shortage of domestic cylinders must strictly follow the central government’s policy governing domestic gas distribution.
Distributors Allege Domestic Supply Not Increased
The distributors argued that despite policy directives prioritizing LPG for domestic consumers, supply levels have not been increased.
According to the petition, the distributors repeatedly urged the company to halt LPG exports and divert more supply to the domestic market. They say those requests did not lead to any meaningful increase in household cylinder availability.
“The policy clearly prioritizes LPG supply Shortage for domestic consumers,” the petition stated. “However, the company has not augmented the supply of household cylinders despite repeated representations.”
The distributors approached the court through advocates Shyam Dewani and Saahil Dewani, seeking directions to ensure adequate supply to the domestic market.
They argued that shortages at the distribution level are affecting their ability to serve consumers and maintain regular delivery schedules.
Global Oil Disruptions Linked To Conflict
The petition attributed the supply disruption partly to the global crude oil movement affected by the ongoing Iran–Israel conflict.
According to the distributors, the conflict has disrupted oil shipments from key producing countries, including Saudi Arabia, the United Arab Emirates, and Syria. These disruptions, the petition said, have constrained LPG production and supply chains.
The Ministry of Petroleum and Natural Gas had issued directions instructing companies to prioritize LPG production and distribution for domestic consumers in view of the emerging supply situation, the petition stated.
The distributors argued that the strict implementation of those directions is necessary to prevent shortages in household cooking gas.
The case, titled M/s Omkar Sales and Others v. Union of India, is registered as Writ Petition (Civil) No. 2165 of 2026.
The court is expected to examine the government’s response and the company’s position when the matter comes up for hearing next week.
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