BHUBANESWAR: In an effort to prevent the diversion and black marketing of subsidised domestic LPG cylinders, and promote use of cleaner cooking fuel, the state government has directed all urban local bodies (ULBs) to encourage households to voluntarily surrender their LPG connections after switching to piped natural gas (PNG).
A directive to this effect was recently issued by the Housing and Urban Development department to all collectors and district magistrates, municipal commissioners, executive officers of municipalities and NACs and project directors of District Urban Development Agencies (DUDAs).
As per the recent communication of the department, consumers who have already been provided with domestic PNG connections should be encouraged to voluntarily surrender their LPG connections to avoid redundant usage. Similarly, eligible LPG consumers living in areas where PNG infrastructure is available should be urged to shift to PNG.
The state government has also asked local authorities to undertake awareness campaigns highlighting the safety, convenience, environmental and economic benefits of PNG. ULBs have been directed to extend administrative support to City Gas Distribution (CGD) entities for speedy expansion of domestic PNG connections, resolve local issues affecting their rollout and coordinate with other stakeholders to facilitate their implementation.
The advisory comes close on the heels of the notification of the Odisha City Gas Distribution (CGD) Policy, 2026, published on April 28. Stress is being laid on surrendering redundant LPG connections in areas with PNG supply in view of instances of black marketing during the cooking gas supply crisis triggered by the ongoing West Asia conflict in April.
Following the crisis, domestic LPG cylinders were reportedly sold illegally for Rs 3,000-Rs 3,500 in parts of Bhubaneswar and other cities, while refill gas was also sold at prices of Rs 300 or more per kg in the black market. The illegal trade was being carried out by unscrupulous individuals in collusion with some domestic LPG consumers.
A state-wide crackdown by the Food Supplies and Consumer Welfare department against illegal hoarding and unauthorised storage of LPG cylinders in mid-April had led to a seizure of at least 4,992 illegally stored LPG cylinders. Around 384 cases were registered under the Essential Commodities Act, while five persons were also arrested for their involvement in hoarding and illegal trade of cooking gas cylinders.
Officials said encouraging consumers to migrate to PNG and surrender unused LPG connections would help minimise diversion and misuse of subsidised cylinders while strengthening the state’s transition to cleaner energy.
