India’s LPG adoption success story is being choked dry

Growing up in Kerala, it was a weekly ritual to spark the firewood and get ready for an oil bath.

- NARAYAN RAMACHANDRAN

The weather was warm enough during the week to use the plentiful water from a running tap or well. The firewood had to be kept dry and was allocated pride of place in the outhouse to be brought out in small batches for weekly baths or cooking. In an unexpected twist, many parts of India are having to return to this tradition of burning firewood.Liquefied petroleum gas (LPG) is a fuel commonly used in Indian households and commercial establishments for cooking purposes. It is most often a combination of propane and butane. An almost-fully-burning clean fuel, it has replaced firewood and kerosene in most Indian kitchens. LPG is produced as a byproduct of natural gas liquids (NGL) extraction or as a distillate product from the oil refinery process. The cost of extraction as a byproduct is much lower than as a distillate, which explains to some degree why India still relies on LPG imports rather than on domestic oil distillation for its full annual requirement.

The global demand for LPG is over 340 million tonnes annually. India’s consumption of LPG, almost entirely for cooking, is approximately one-tenth of the world’s consumption at around 31.3 million tonnes. The household sector, utilizing 14.2kg cylinders, accounts for the overwhelming bulk, approximately 87% of total consumption. The commercial sector (restaurants mainly) uses 19kg, 47.5kg or 425kg cylinders and accounts for 13% of total usage.