Business

PNG supply to commercial establishments cut by 20%


Pune: Commercial establishments using piped natural gas (PNG) are set to receive 20% less supply after the Centre ordered restrictions on gas supply to industrial and commercial users due to disruptions in global LNG shipments.

Ranchi, India – Aug. 14, 2019:Pipe cooking gas supply project ready at MECON colony in Ranchi, India, on Wednesday, August 14, 2019. (Photo by Diwakar Prasad/ Hindustan Times ) (Diwakar Prasad/ Hindustan Times)

In a communication issued on Tuesday, Maharashtra Natural Gas Limited (MNGL) informed commercial consumers that gas supply to the industrial and commercial (I&C) sector will be restricted to 80% of their average consumption over the past six months, complying with a central government order.

The MNGL order, issued following directives from the Ministry of Petroleum and Natural Gas (MoPNG) under the Natural Gas (Supply Regulation) Order, 2026, cites the disruption of liquefied natural gas (LNG) shipments amid the ongoing conflict in West Asia, which particularly affects supplies through the Strait of Hormuz.

In the letter sent to Pune-based Hotel Jalsa, MNGL stated that the central government assessed that the conflict had disrupted LNG shipments. Suppliers invoked the force majeure clause, which led to the diversion of available gas to priority sectors.

“As per the central government order dated March 9, 2026, all city gas distribution entities must ensure that industrial and commercial consumers supplied through their networks receive 80% of their past six-month average gas consumption, subject to operational availability,” the company said in the communication.

MNGL further said that due to the constraint in availability of natural gas, supplies to the sector would be maintained under a “special arrangement (force majeure mitigation supply)” from March 9 onwards.

The company also cautioned that gas sourced under special pooling arrangements may be priced differently, and the applicable revised price would be communicated separately.

“You are advised to maintain your gas drawal at the aforestated level of 80% only,” the company said in the letter, adding that MNGL reserved the right to regulate supplies further to ensure compliance with the government order.

The development comes at a time when many eateries and food establishments in Pune are already struggling due to a shortage of commercial LPG cylinders, raising concerns in the hospitality sector about maintaining uninterrupted kitchen operations.



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