LPG
Recent Development
• India has signed its first structured LPG import deal with the United States, amounting to around 2.2 million tonnes per annum (≈10% of imports).
• The deal involves major PSU refiners like Indian Oil Corporation Limited, Bharat Petroleum Corporation Limited, and Hindustan Petroleum Corporation Limited.
Liquefied Petroleum Gas
• Liquefied Petroleum Gas is a portable and efficient fuel, widely used across domestic, commercial and industrial sectors.
• LPG mainly consists of propane and butane, which are natural gas liquids obtained during crude oil refining and natural gas extraction.
• At normal temperature LPG exists as a gas, but liquefies under pressure or cooling, making it easy to store and transport in cylinders.
• LPG is colourless and odourless, and a stenching agent (Ethyl mercaptan/ethanethiol) is added to detect leaks easily.
Key Features
• LPG is highly versatile and used in more than 1,000 applications, including cooking, heating, transport, and industrial processes.
• The chemical composition of LPG varies depending on the location and time of the year. (Example : LPG Mix (Ratio of Butane : Propane = 60:40))
• Propane has a lower boiling point and is suitable for outdoor storage and large-scale uses, such as central heating and transport fuel.
• Butane is mainly used in portable applications, including small cylinders, lighters, and leisure activities like camping and boating.
• LPG has high energy efficiency and burns cleaner than traditional fuels, producing lower particulate emissions.
Production & Sources
• Around 60% of LPG is obtained during natural gas and oil extraction, while the remaining is produced during refining or from alternative feedstocks.
• Experts suggest that emerging sources include renewable feedstocks, leading to the development of cleaner variants like BioLPG.
India’s LPG Scenario
• India is one of the world’s largest LPG consumers, with over 60% of its requirement met through imports.
• LPG is predominantly used as a cooking fuel, especially under schemes promoting clean energy access in rural households.
• Related Scheme : Pradhan Mantri Ujjwala Yojana (PMUY)