The Nagpur bench of the Bombay High Court on Thursday issued notices to the Union Ministry of Petroleum and Natural Gas, the Directorate General of Foreign Trade (DGFT), and Confidence Petroleum India Ltd on a petition filed by six LPG distributors seeking increased supply of domestic cooking gas cylinders amid disruptions caused by the ongoing Iran war.
The petition, filed through advocates Shyam Dewani and Saahil Dewani, alleges that Nagpur-based Confidence Petroleum India Ltd has failed to increase the supply of household LPG cylinders despite directions from the central government to prioritise domestic distribution during the current energy crisis.
According to the petitioners, the war involving Iran has disrupted global crude oil supplies, which in turn has constrained LPG production. In response to the situation, the Ministry of Petroleum and Natural Gas had issued directives stating that LPG production and supply should prioritise domestic consumers.
Despite these directions, the distributors claim that their repeated representations to the company asking it to halt LPG exports and increase domestic supply have not been acted upon. They alleged that the company informed them it could not prioritise the domestic market because it must continue supplying international markets under its export strategy.
The matter was heard by a bench comprising Justices Anil S. Kilor and Raj D. Wakode. While issuing notices to the Ministry of Petroleum and Natural Gas, the DGFT, and Confidence Petroleum India Ltd, the court made the notices returnable on Monday.
In the interim, the bench observed that the government’s policy of prioritising domestic LPG supply must be strictly followed.
The petitioners told the court that they procure LPG from Confidence Petroleum India Ltd and distribute it to customers including households, hotels, small industries and commercial establishments across Nagpur and other districts of Maharashtra.
The plea further stated that the Ministry of Petroleum and Natural Gas is responsible for framing policies and issuing directions concerning petroleum products, including LPG, while the DGFT is tasked with issuing directions relating to export prohibitions, restrictions and trade policy measures.
Through the petition, the distributors have requested the High Court to direct Confidence Petroleum India Ltd to prioritise LPG supply for the domestic market and stop exports until the domestic supply situation stabilises. They have also sought directions to the petroleum ministry to ensure adequate LPG availability for domestic consumption.
