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Refineries face LPG deficit
Refineries face LPG deficit
Reliance Industries Ltd. shuts a part of its refinery because of which a short fall in LPG for next months would be faced. Reliance is planning maintenance on its Jamnagar refinery in oct and nov and refiners expect a shortage of about 200,000-300,000 tonnes of LPG as a result in that period. State-run refiners Indian Oil ,Hindustan Petroleum ,Bharat Petroleum and Marketer IBP are the only companies allowed to market LPG to indian households and restaurants which consume about 10 million tonnes of it a year.

S.Roy the chairman of Hindustan Petroleum says that they are taking adequate measures to meet the shortage so that there ismo panic among consumers. He further said that that shall resort to imports as a last alternative. State-run firms buy 2.5million tonnes of LPG yearly from Reliances Jamnagar refinery . Senior officials at other state run firms confirmed that they expected a shortfall and that they were already trying to meet demand through other channels including imports. An official said that they do not have enough capacity for imports and there is a shortage worldwide of LPG and if they even if they could import enough there were not enough ships available. He said that they have managed to get a few parcels but still the shortage is going to be there. He said that there will be no replacement of a gas cylinder for 21 days and no enrolement for supplies in this period. The government has raised domestic fuel prices twice this year but cooking gas prices that are state owned have not risen since November. Firms have already bared the april-june quarter losses this year due to a cap on retail petrol and diesel prices while international prices have risen 50% since January.
Posted On : 9/26/2005 4:39:00 PM

Refineries face LPG deficit