**Executive Summary**
The Government of India has issued a briefing on its multi-sectoral response to the ongoing West Asia crisis to ensure energy security and the safety of Indian nationals. Key measures include reducing domestic excise duties by ₹10/litre, imposing new export levies on fuel, and increasing commercial LPG allocations to 70% of pre-crisis levels. The government has dismissed lockdown rumors and instructed authorities to monitor the situation on a fortnightly basis while facilitating the repatriation of citizens from the region.
**Key Points / Main Content**
**Fuel Pricing and Fiscal Measures**
* **Excise Duty Reduction:** Domestic excise duty on petrol and diesel has been reduced by ₹10 per litre to shield consumers from rising international prices.
* **Export Duties:** New Special Additional Excise Duties have been imposed on exports: ₹21.50 per litre for diesel and ₹29.50 per litre for aviation turbine fuel (ATF).
* **Fortnightly Reviews:** The government will review these tax rates every two weeks based on prevailing market conditions and crack margins.
**Supply and Inventory Management**
* **Domestic Mandates:** Refiners are required to supply 50% of exported petrol and 30% of exported diesel to the domestic market.
* **Refinery Operations:** All domestic refineries are operating at high capacity with adequate crude inventories.
* **LPG Production:** Domestic LPG production has been increased by 40% to support local consumption.
* **Kerosene Allocation:** An additional 48,000 KL of kerosene has been allocated to States and Union Territories.
**Natural Gas and Infrastructure**
* **Priority Allocation:** 100% supply is maintained for domestic PNG and CNG transport; industrial/commercial grid supply is at 80%.
* **PNG Expansion:** Over 10,500 new PNG connections were reported in a single day across 110 geographical areas.
* **Accelerated Approvals:** PESO must dispose of CGD applications within 10 days, and PNGRB has directed five-day priority connections for residential schools and community kitchens.
**Maritime and Citizen Safety**
* **Port Operations:** Indian ports remain congestion-free and fully operational.
* **Seafarer Welfare:** 20 Indian-flagged vessels in the Persian Gulf are being monitored; 699 seafarers have been repatriated to date.
* **Academic Impact:** CBSE and ICSE have cancelled Grade X and XII exams in the affected region, while the Kerala Board has postponed exams until a review on April 6.
* **Travel Facilitation:** Since February 28, approximately 475,000 passengers have returned to India, with alternate travel routes established through Jordan, Saudi Arabia, and Armenia.
**Public Communication and Enforcement**
* **Misinformation Control:** The government officially dismissed lockdown rumors and warned against "fake news" regarding fuel shortages.
* **Anti-Hoarding Measures:** Over 3,000 raids have been conducted, resulting in the seizure of 1,500 LPG cylinders to combat black marketing.
**Impact Analysis**
**Domestic Consumers**
**Impact**
Consumers benefit from stabilized retail prices due to excise duty cuts and a steady supply of petrol, diesel, and LPG despite global volatility.
**Action Required**
Citizens are advised to avoid panic buying, rely only on official government sources for information, and use digital modes for LPG bookings.
**Domestic Refiners and Oil Marketing Companies (OMCs)**
**Impact**
Refiners face stricter domestic supply obligations and higher costs for exports through new duties. OMCs are subject to increased inspections.
**Action Required**
Refiners must ensure 50% of petrol and 30% of diesel intended for export is diverted to the domestic market. OMCs must maintain supply chain transparency.
**Indian Nationals and Students in West Asia**
**Impact**
Travel is restricted due to closed airspaces in Kuwait and Bahrain. Students face academic disruptions due to cancelled or postponed examinations.
**Action Required**
Individuals should contact 24×7 helplines at Indian Missions and utilize facilitated alternate travel routes through neighboring countries.
**State Governments and Union Territories**
**Impact**
States are empowered and required to take a primary role in regulating the supply of essential commodities and managing public sentiment.
**Action Required**
States must institutionalize daily press briefings, set up dedicated control rooms, and intensify enforcement drives against hoarding and black marketing.
Key Entities Referenced
Ministry of Petroleum & Natural Gas: The primary ministry coordinating fuel availability, refinery mandates, and the inter-ministerial response to the energy crisis.
Special Additional Excise Duty (SAED): The specific tax mechanism imposed on the export of diesel and aviation turbine fuel (ATF) to ensure domestic supply stability.
Natural Gas and Petroleum Products Distribution Order, 2026: A notified policy document providing a streamlined and time-bound framework for the expansion of pipeline infrastructure.
Essential Commodities Act, 1955: The legal framework empowering authorities to take enforcement action against hoarding and black marketing of fuel and LPG.
West Asia: The central geographic region of the ongoing crisis that has triggered disruptions in petroleum supply chains and maritime operations.
Ministry of Petroleum & Natural Gas
Inter-Ministerial Briefing on Recent
Developments in West Asia
Government dismisses rumours of Lockdown
Citizens advised to beware of Fake News & Misinformation;
Adequate supplies of petrol and diesel are available and
supply chains remain fully operational
Government Reduces Excise Duty on Petrol and Diesel; Aims
to ensure Energy Security for the Country amid Global
Uncertainty
Government to Continuously Monitor and Review Situation
on a Fortnightly Basis
Domestic refiners mandated to supply 50% of exported
petrol and 30% of exported diesel to the domestic market
Government of India approves additional 20% allocation of
commercial LPG, taking total allocation to 70% of pre-crisis
levels
10,568 PNG connections (new and gas-in) reported/issued
across 110 geographical areas yesterday
Enforcement drives continue against Black Marketing and
Hoarding
India’s maritime sector continues to operate smoothly with no
congestion reported across ports
External Affairs Minister exchanges views with participating
countries on sidelines of G7 Foreign Ministers’ Meeting being
held on 26–27 March 2026Government Closely Monitoring Situation in Gulf and West
Asia; Safety of Indian Community Remains Top Priority
Posted On: 27 MAR 2026 6:16PM by PIB Delhi
Continuing its outreach to keep the media informed on the evolving situation in West Asia, the
Government of India held its regular interaction at the National Media Centre today. During the
interaction, representatives from the Ministries of Petroleum and Natural Gas, Ports, Shipping and
Waterways, External Affairs, and Information and Broadcasting shared updates on fuel availability,
maritime operations, assistance to Indian nationals in the region, and steps being taken to ensure stability
across these sectors. Senior Officers from the Central Board of Indirect Taxes and Customs (CBIC) also
participated and provided updates on recent decisions relating to excise duty.
Tax and Duty-Related Updates
Recent tax and duty measures were highlighted, aimed at supporting supply stability. It was stated that:
· The ongoing crisis in West Asia has implications for the Indian economy, particularly due to
disruptions in supplies of petroleum products.
· Following the crisis, there has been a significant surge in international crude oil prices.
International prices of petrol, diesel and aviation turbine fuel (ATF) have also increased sharply.
· The prevailing market situation creates incentives for refineries to export petroleum products at
higher international prices.
· The Government has responded with calibrated measures to address the situation.
· Export duties have been imposed in the form of Special Additional Excise Duty (SAED) and/or
Road and Infrastructure Cess. These duties have been imposed on the export of diesel and aviation
turbine fuel (ATF) produced in India.
· As per the notified rates:
Ø Export duty on diesel: Rs 21.50 per litre
Ø Export duty on ATF: Rs 29.50 per litre
Ø Export duty on petrol is nil at present based on prevailing crack margins.
· The rates will be reviewed on a fortnightly basis.
· These measures aim to prioritize domestic availability of diesel and ATF.
· The steps are also intended to ensure energy security for the country amid global uncertainty.
These uncertainties have been exacerbated by disruptions in supply chains and volatility in
international markets in terms of both availability and price.
· Apart from export-related measures, changes have also been made in excise duties on petrol and
diesel for domestic consumption.
· The changes involve a reduction of Rs 10 per litre in the domestic special additional excise duty
component on both petrol and diesel.
· These steps are intended to ensure that there is no increase in retail prices of petrol and diesel for
consumers during the ongoing crisis.· The situation is being closely monitored. The department will review developments periodically
and take further measures as necessary.
Energy Supply and Fuel Availability
An update on the prevailing fuel supply situation was shared, highlighting the steps being taken to
ensure uninterrupted availability of petroleum products and LPG in the context of the Strait of
Hormuz closure. It was noted that:
Crude and Refineries
· All refineries are operating at high capacity with adequate crude inventories, and sufficient stocks
of petrol and diesel are being maintained.
· Domestic LPG production from refineries has been increased by 40% to support domestic
consumption.
Retail Outlets
· All retail outlets are operating normally across the country.
· In view of the increase in crude prices due to the Middle East crisis, the Government of India
has reduced excise duty on petrol and diesel by ₹10 per litre to protect consumers.
· The Government has also imposed a levy of ₹21.5 per litre on export of diesel and ₹29.5 per
litre on export of aviation turbine fuel (ATF) to ensure adequate domestic availability.
· The Government has mandated domestic refiners to supply 50% of exported petrol and 30% of
exported diesel to the domestic market.
· Panic buying was reported in some areas due to rumours, resulting in unusually high sales and
crowding at retail outlets. However, adequate stocks of petrol and diesel are available across all
petrol pumps in the country.
· The Government has reiterated its advice to the public not to believe rumours.
Natural Gas
· Priority allocation continues with 100% supply to domestic PNG and CNG transport, while
supply to industrial and commercial consumers connected to the grid is being maintained at around
80% of average consumption.
· City Gas Distribution (CGD) entities have been advised to prioritise PNG connections for
commercial establishments such as restaurants, hotels and canteens.
· CGD companies including IGL, MGL, GAIL Gas and BPCL are offering incentives for domestic
and commercial PNG connections.
· The Government of India has requested States/UTs and Central Ministries to expedite approvals
required for expansion of CGD networks.
· The Government of India vide letter dated 18.03.2026 has offered additional 10% allocation of
commercial LPG to States/UTs linked to transition from LPG to PNG, and additional allocations
have been recommended for States undertaking reforms.
· Several States have introduced measures to facilitate faster PNG rollout, including streamlined
Right of User/Right of Way permissions, extended working hours and rationalisation of charges.
· Petroleum and Explosive Safety Organisation (PESO) has advised its offices to dispose of CGD
applications on priority within 10 days.· Petroleum and Natural Gas Regulatory Board (PNGRB) vide its order dated 23.03.2026 has
directed CGD entities to prioritise PNG connections for residential schools, colleges, hostels,
community kitchens and anganwadi kitchens within five days, wherever feasible.
· Ministry of Road Transport and Highways has adopted an accelerated approval framework with
reduced timelines for CGD infrastructure for a period of three months.
· The Government of India vide Gazette dated 24.03.2026 has notified the Natural Gas and
Petroleum Products Distribution Order, 2026, providing a streamlined and time-bound framework
for expansion of pipeline infrastructure and enhancing last-mile connectivity.
· CGD entities reported 10,568 PNG connections (new and gas-in) across 110 geographical areas
on the previous day.
LPG
· Supply of LPG continues to be affected due to the prevailing geopolitical situation.
· No dry-outs have been reported at LPG distributorships.
· Delivery of domestic LPG cylinders continues as normal.
· The Government had already restored partial commercial LPG supply (20%) to consumers, with
an additional 10% allocation linked to PNG reforms.
· The Government of India vide letter dated 21.03.2026 has allowed another 20% allocation, taking
the total allocation to 50%, with priority to key sectors like restaurants, dhabas, hotels, industrial
canteens, food processing/dairy, subsidised canteens/outlets run by State Govt. or local bodies for
food, community kitchens, 5 Kg FTL for migrant labourers.
· The Government of India vide letter dated 27.03.2026 has approved an additional 20% allocation
of commercial LPG, taking total allocation to 70% of pre-crisis levels, with priority to steel,
automobile, textile, dye, chemicals and plastics. Among this, priority shall be given to process
industries or those requiring LPG for specialised heating purposes that cannot be substituted by
natural gas.
· More than 40,000 - 5 Kg Free Trade LPG cylinders were sold on the previous day.
· 28 States/UTs have issued allocation orders for non-domestic LPG, while PSU Oil Marketing
Companies are supplying in remaining areas.
· Around 29,656 MT of commercial LPG has been uplifted since 14 March 2026.
Kerosene
· An additional allocation of 48,000 KL of kerosene has been made to all States/UTs over and
above regular allocation.
· States/UTs have been requested to identify district-level distribution points.
· 17 States/UTs have issued SKO allocation orders, while Himachal Pradesh and Ladakh have
indicated no requirement.
Role of State Governments / UTs
· Under the Essential Commodities Act, 1955 and LPG Control Order, 2000, State Governments
are empowered to act against hoarding and black marketing and play a primary role in regulating
supply of essential commodities.
· The Government of India has requested all States/UTs to:Ø Institutionalise daily press briefings and issue regular public advisories.
Ø Set up dedicated control rooms and helplines.
Ø Actively monitor and counter misinformation on social media.
Ø Intensify enforcement drives and conduct regular raids and inspections.
Ø Issue commercial LPG and SKO allocation orders.
Ø Fast-track CGD expansion, including RoW/RoU approvals.
Ø Promote PNG adoption and alternate fuels.
Ø Nominate senior nodal officers for coordination with the Ministry.
· 14 States/UTs are conducting daily press briefings, while others have been requested to do so.
Enforcement action
· Enforcement drives are ongoing across States/UTs, with more than 3,000 raids conducted and
over 1,500 LPG cylinders seized.
· PSU Oil Marketing Companies conducted more than 1,500 surprise inspections at retail outlets
and LPG distributorships across the country.
· More than 350 show cause notices have been issued to LPG distributorships.
Other Government Measures
· The Government continues to prioritise domestic LPG and PNG supply, along with essential
sectors such as hospitals and educational institutions.
· Measures include enhanced refinery production, revised booking intervals and prioritised
allocation of supplies.
· Alternate fuels such as kerosene and coal are being promoted to ease LPG demand.
· Ministry of Coal has directed Coal India and Singareni Collieries to increase supply to States for
distribution to small and medium consumers.
· States have been advised to facilitate new PNG connections for domestic and commercial
consumers.
Public Advisory
· The Government is making all efforts to ensure availability of petrol, diesel and LPG, and
citizens are advised to avoid panic purchases.
· Citizens are advised to rely only on official sources and not believe rumours.
· For LPG, consumers are requested to:
Ø Use digital modes for booking.
Ø Avoid visiting LPG distributors unnecessarily.
· Citizens are encouraged to use alternate fuels such as PNG and electric or induction cooktops.
· All citizens are requested to conserve energy in their daily usage.
Maritime Safety and Shipping OperationsThe current maritime situation in the Persian Gulf, along with measures being undertaken to
safeguard Indian vessels and crew, was also briefed. It was stated that:
· All Indian seafarers currently present in the region are safe and no shipping incident involving
Indian-flagged vessels has been reported in the past 24 hours.
· 20 Indian-flagged vessels with around 540 Indian seafarers remain in the western Persian Gulf
region. The Directorate General of Shipping (DG Shipping) continues close monitoring in
coordination with ship owners, RPSL agencies and Indian Missions.
· The DG Shipping Control Room remains operational 24×7 and has handled 4,326 calls and 8,556
emails since activation, including 98 calls and 335 emails in the past 24 hours, and 218 calls and
647 emails over the last 48 hours.
· DG Shipping has facilitated the safe repatriation of more than 699 Indian seafarers so far,
including 25 in the past 24 hours and 64 over the last 48 hours, from airports and various regional
locations.
· India’s maritime sector continues to operate smoothly with no congestion reported across ports,
as confirmed by State Maritime Boards including Gujarat, Maharashtra, Goa, Keralam, Andhra
Pradesh and Puducherry.
· The Ministry continues to coordinate with the Ministry of External Affairs, Indian Missions and
maritime stakeholders to ensure the welfare of Indian seafarers and uninterrupted maritime
operations.
· The Ministry of Ports, Shipping and Waterways continues to closely monitor shipping
movements, port operations, safety of Indian seafarers and continuity of maritime trade in view of
the evolving situation in West Asia.
Safety of Indian Nationals in the Region
Recent developments in the region, including assistance through Indian Missions, were shared
during the briefing. It was informed that:
· The External Affairs Minister is visiting France to participate in the G7 Foreign Ministers’
Meeting being held on 26–27 March 2026.
· On the sidelines of the meeting, the External Affairs Minister held discussions with his
counterparts from participating countries, where in addition to bilateral issues, he also exchanged
views on the evolving situation in West Asia.
· The External Affairs Minister met the Foreign Ministers of France, Canada, South Korea, Japan,
Brazil, the United Kingdom and Germany during these engagements.
· The External Affairs Minister addressed the G7 Foreign Ministers’ Meeting session with invited
partners on reform of global governance on 26 March 2026.
· During his address, he highlighted the urgency of reforms in the United Nations Security
Council, the need for streamlining peacekeeping operations and strengthening humanitarian supply
chains.
· He also raised concerns of the Global South, particularly in relation to energy challenges,
fertiliser supplies and food security.
· At the second session of the G7 Foreign Ministers’ Meeting on 26 March 2026, the External
Affairs Minister conveyed that uncertainties arising from the conflicts in West Asia underscore the
need for more resilient trade corridors and supply chains.· The Ministry of External Affairs continues to closely monitor developments in the Gulf and West
Asia region, with the safety, security and welfare of the Indian community remaining the highest
priority.
· A dedicated special control room remains operational to assist Indian nationals and their families,
with continuous coordination being maintained with State Governments and Union Territories.
· Indian Missions and Posts across the region are functioning round the clock with 24×7 helplines,
issuing regular advisories and maintaining close engagement with Indian community organisations
and local authorities.
· Missions continue to proactively assist seafarers, stranded Indian nationals and short-term visitors
with visa facilitation, consular services and logistical support.
· The Government is according high priority to the welfare of Indian students in the Gulf region
and is making efforts to ensure that their academic year is not impacted.
· Missions are coordinating with local authorities, Indian schools and education boards including
CBSE, ICSE and Kerala Board.
· CBSE and ICSE Boards have cancelled Grade X and XII examinations in the region, while the
Kerala Board has postponed examinations and will review the situation on 6 April.
· The National Testing Agency has issued an advisory regarding the conduct of competitive
examinations, including JEE (Main) 2026, for candidates registered from Kuwait, Dubai and
Bahrain.
· Since 28 February, around 4,75,000 passengers have returned from the region to India.
· In the UAE, airlines continue to operate limited non-scheduled flights based on operational
considerations, with around 80 flights expected to operate today to India.
· Flights are operating from various airports in Saudi Arabia and Oman to destinations in India.
· With Qatar airspace partially open, Qatar Airways is expected to operate around 10 flights to
India today.
· Kuwait and Bahrain airspaces remain closed. Jazeera Airways and Gulf Air are operating flights
from Dammam Airport in Saudi Arabia to various destinations in India.
· Due to flight restrictions and airspace closures, Indian nationals are being facilitated for travel via
alternate routes including:
Ø From Iran through Armenia and Azerbaijan
Ø From Israel through Jordan
Ø From Iraq through Jordan and Saudi Arabia
Ø From Kuwait and Bahrain through Saudi Arabia
· An Indian national lost his life in an attack in Abu Dhabi. The Government has expressed
condolences to the family, and the Mission is coordinating with local authorities for early
repatriation of mortal remains.
· Another Indian national sustained minor injuries in the incident and has been discharged from
hospital.· A total of 7 Indian nationals have lost their lives and 1 remains missing in various incidents.
Missions in Oman, Iraq and the UAE are in touch with authorities for tracing the missing
individual and facilitating repatriation of mortal remains.
Public Communication
The Ministry of Information and Broadcasting noted that:
· The Government of India appeals to all citizens not to believe rumours like those of lockdown
and to remain cautious about fake news and misinformation being circulated on social media and
other platforms.
· Earlier, rumours were being spread regarding shortage of LPG cylinders, which had led to panic
booking in some areas.
· With the support of the media and the outreach efforts undertaken by the Government, panic
booking of cylinders had subsequently subsided.
· In the last few days, similar rumours are being circulated regarding shortages of petrol and diesel.
· It is clarified that there is no shortage of petrol and diesel supplies in the country.
· Citizens are requested not to rush to petrol pumps or engage in panic buying.
· Adequate supplies of petrol and diesel are available and supply chains remain fully operational.
· Attempts are being made in certain quarters to spread rumours and create unnecessary panic
among citizens. The Government urges people not to believe or circulate such misinformation.
· The State Governments have also been requested to take appropriate action against those
spreading fake news and misinformation.
· Strict action should also be taken against any attempts at hoarding or black marketing of petrol,
diesel or LPG cylinders.
· The Government reiterates that there is no shortage of petroleum products or LPG cylinders, and
citizens need not panic or rush to petrol pumps or distributors.
***
MN
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