New LPG Norms from May 1: Booking Gaps, OTP Delivery, eKYC Mandatory

Oil companies tighten norms to curb misuse; price revision likely amid global supply pressures

New Delhi: With new rules set to take effect from May 1, India’s LPG distribution system is undergoing a significant reset aimed at improving transparency and preventing misuse. Leading oil firms, Indian Oil Corporation, Bharat Petroleum and Hindustan Petroleum, are finalising measures to curb hoarding, black marketing and diversion of subsidised cylinders.

A key change is the extension of the refill booking interval. Customers in urban areas must now wait 25 days between bookings, while those in rural regions may face a gap of up to 45 days. The system will automatically reject early requests.

In addition, OTP-based delivery will become compulsory. The Delivery Authentication Code (DAC), already used in over 94.5% of transactions, will now be “non-negotiable,” meaning customers must verify deliveries using a code sent to their registered mobile number.

Meanwhile, LPG prices remain under scrutiny. Following recent geopolitical tensions, domestic cylinder rates have already risen by Rs 60, while commercial cylinder prices have seen multiple hikes. Further revisions are expected.

The government has also made Aadhaar-based eKYC mandatory for beneficiaries of the Pradhan Mantri Ujjwala Yojana who have not yet completed the process.

Amid supply concerns, India is importing additional LPG from the United States. With daily demand at around 80,000 tonnes against domestic production of 46,000 tonnes, authorities have urged consumers to update their mobile details and track booking eligibility online.

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