India mandates 63.81 KTPD LPG output target to bolster domestic cooking-gas supply

The government has set combined daily LPG production targets of 63.81 KTPD for 24 refinery and upstream firms, including Reliance Industries, BPCL and Nayara Energy. The order also requires adequate storage and transport capacity, with production schedules reviewed twice a year.

— Source published Sun, 16 Aug, 2026, 19:06 IST · First seen Sun, 16 Aug, 2026, 19:10 IST · Source Mint · Industry

What happened

Reliance Industries · India has set LPG production targets totaling 63.81 KTPD for 24 refiners and upstream firms, including Reliance, BPCL and Nayara. The

Key facts

  • 63.81 KTPD combined LPG production potential
  • 24 refinery and upstream companies
  • 18 public-sector refineries
  • 3 private-sector companies
  • 3 upstream companies
  • Reliance Industries: 18 KTPD
  • BPCL Kochi refinery: 4.80 KTPD
  • Nayara Energy: 4.48 KTPD
  • Top three producers combined: 27.28 KTPD
  • Production schedule updated twice yearly on January 1 and July 1

Why this matters

The mandate makes LPG storage, transport and distribution assets more strategically valuable, creating partnership or acquisition opportunities around midstream capacity.

What to watch

  • Actual monthly LPG production versus the 63.81 KTPD combined target.
  • Refinery turnaround schedules, crude throughput and LPG import volumes.
  • Bottling-plant utilization, cylinder availability and rail/road transport capacity.
  • Domestic LPG retail-price and subsidy decisions, which determine whether compliance costs can be recovered.
  • Reported stockouts, delivery waiting times and regional allocation changes.
  • Outcomes of the first twice-yearly government production-schedule review.
  • Major LPG producers increase production planning, inventory buffers and refinery LPG recovery optimization ahead of semiannual reviews.
  • Oil marketing companies prioritize bottling-plant throughput, cylinder circulation and distributor-level stock visibility in high-demand regions.
  • Government agencies intensify compliance reporting and may intervene with import planning or regional supply reallocation if output trails targets.
  • Retail distributors prepare for more consistent allocations but face closer scrutiny of delivery timeliness, diversion and inventory management.