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Delhi-NCR Gas Crunch Deepens As IGL Cuts Commercial PNG Supply By 20% After LPG Shortage

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The fuel crisis triggered by escalating tensions in West Asia has begun to tighten its grip on Delhi-NCR’s energy supply network. After a severe shortage of commercial LPG cylinders, piped natural gas (PNG) supplies have now been curtailed for businesses across the region. Indraprastha Gas Limited (IGL) has imposed a mandatory 20% reduction in gas supply for all commercial and industrial consumers beginning March 11. The directive, issued following instructions from the government, aims to protect domestic fuel availability amid disruptions in global energy flows.

The move has added pressure on the hospitality sector, which was already struggling with the unavailability of commercial LPG cylinders. With regular supplies drying up and even black-market cylinders scarce despite inflated prices, several restaurants in areas such as Paharganj and Vasant Kunj have already suspended operations. Industry leaders warn that if the situation continues, the capital’s restaurant ecosystem could face severe disruptions within days.

Delhi-NCR Gas Crunch Deepens: Commercial PNG Supply Curtailed

Piped natural gas had long served as a dependable alternative to LPG cylinders for many establishments in Delhi-NCR. However, the global energy shock stemming from geopolitical tensions has now disrupted that safety net.

IGL issued an advisory instructing commercial and industrial users to restrict their gas consumption to 80% of their average usage over the previous six months. According to the notice, the restrictions came into effect at 6:00 AM on March 11, as per Economic Times.

The advisory was also circulated by commercial complexes to their tenants. Ambience Mall in Vasant Kunj shared the notice with businesses operating within the premises, alerting them to the mandatory cut.

Restaurants Already Feeling Impact

The immediate fallout has been visible across parts of the capital where eateries rely heavily on steady fuel supplies to operate.

Restaurants in prominent commercial hubs have reported disruptions in kitchen operations after fuel availability tightened. With LPG cylinders unavailable through normal channels and PNG supplies now reduced, many establishments are struggling to maintain daily service.

Hospitality industry representatives caution that the situation could worsen by the weekend if alternative fuel supplies are not restored, potentially leading to a broader shutdown across Delhi’s dining sector.

Household Gas Supply Protected

While commercial users face restrictions, authorities have moved to ensure that domestic consumption remains unaffected.

The Centre invoked the Essential Commodities Act on March 9 in a bid to secure energy shipments passing through the Strait of Hormuz, one of the world’s most critical oil and gas transit routes.

Following the government’s move, IGL reassured residents about continued access to domestic PNG and vehicle fuel. In a message to customers, the company said, “Your energy needs are our top priority. IGL ensures the uninterrupted flow of domestic PNG for your kitchens and CNG for your vehicles.”

West Asia Crisis Reverberates In India

The fuel supply disruptions are closely linked to the intensifying conflict in West Asia. The Strait of Hormuz, a crucial corridor for global oil and gas transport, has become increasingly unstable amid clashes involving Iran, the United States, and Israel.

Iran’s Supreme Leader, Mojtaba Khamenei, recently stated that closing the strategic waterway is being used as a “tool of pressure,” highlighting the geopolitical stakes surrounding the conflict.

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