India's LPG Demand Plunges 16% Amid Shift to Piped Gas

India's liquefied petroleum gas (LPG) consumption dropped by 16.1% in August to 2.42 million tonnes, according to data from the Petroleum Planning and Analysis Cell (PPAC).

This decline is part of a broader shift towards piped natural gas, which is seen as a more stable alternative amid supply chain disruptions and geopolitical tensions in West Asia.

The LPG consumption figure represents a 16.1% year-on-year decrease compared to August 2025's 2.89 million tonnes, although it did show a slight 2.2% increase from July's volume.

State-run oil marketing companies, such as Indian Oil Corporation (IOC), Bharat Petroleum Corporation (BPCL), and Hindustan Petroleum Corporation (HPCL), are facing margin pressure due to rising import costs and volatility in the Indian Rupee.