India invokes emergency powers to boost LPG output amid Middle East supply crisis. The government has directed all oil refiners to maximize liquefied petroleum gas production and supply propane and butane exclusively to Indian Oil Corp, Hindustan Petroleum Corp, and Bharat Petroleum Corp for household distribution. This mandate affects 332 million active LPG consumers across the nation. India imported 33.15 million metric tons of LPG last year, with approximately two-thirds sourced from imports and 85-90 percent originating from the Middle East. The directive restricts refiners from diverting propane and butane to petrochemical production, which typically commands higher margins. This policy will impact companies like Reliance Industries, which previously exported about four cargoes monthly of alkylates, a gasoline blending component.
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