Skip to main content

https://indianmasterminds.com

ADVERTISEMENT
ADVERTISEMENT

Petroleum Ministry Proposes New Kerosene Allocation Policy for States

The proposal comes in the wake of declining kerosene demand, as the government has been actively replacing it with cleaner fuel alternatives
Indian Masterminds Stories

The Ministry of Petroleum and Natural Gas has proposed a new policy for the allocation of kerosene oil to states and Union Territories (UTs). A draft of the policy was released on April 7, with the Ministry seeking stakeholder feedback within 15 days. The proposal comes in the wake of declining kerosene demand, as the government has been actively replacing it with cleaner fuel alternatives.

Also Read: Manpower Crisis Hits India’s Aviation Regulators, Nearly Half the Posts Vacant

According to the draft policy, 20 States and UTs may not require kerosene oil allocations anymore due to reduced consumption. The existing policy divides kerosene allocation into two categories:

  1. Public Distribution System (PDS) Subsidized Kerosene for cooking and lighting.
  2. Non-Subsidized Kerosene for specific uses like fisheries, fairs, exhibitions, and emergencies.

However, with the progressive reduction of subsidies since 2016 and the price linkage to international oil rates since 2020, the Ministry believes that a unified allocation system is more appropriate. Under the proposed policy, kerosene will now be allocated under a single category: “PDS SKO Allocation to States/UTs”, applicable for three financial years (2025-26 to 2027-28).

Key Provisions of the Proposed Policy:

  • States/UTs will receive PDS SKO allocations based on the highest quantity lifted in the past three years.
  • Allocations will continue on a quarterly basis, but states cannot carry forward unutilized allocations except in cases of natural calamities or emergencies.
  • States will have flexibility in sub-allocating kerosene for cooking, lighting, or special needs like fisheries and public events based on their requirements.
  • The policy will be reviewed after three years.

Decline in Kerosene Consumption

Kerosene has historically been used for cooking and lighting by ration card holders. However, with the government’s push for LPG through the Pradhan Mantri Ujjwala Yojana (PMUY), kerosene consumption has dropped significantly. According to the Petroleum Planning and Analysis Cell (PPAC), consumption has declined by about 77% between 2021-22 and 2023-24.

The 20 States and UTs identified as not requiring regular annual kerosene allocations include:

  • Andaman and Nicobar Islands, Andhra Pradesh, Chandigarh, Dadra and Nagar Haveli and Daman and Diu, Delhi, Goa, Gujarat, Haryana, Himachal Pradesh, Jammu & Kashmir, Ladakh, Lakshadweep, Madhya Pradesh, Nagaland, Puducherry, Punjab, Rajasthan, Telangana, Uttar Pradesh, and Uttarakhand.

The proposed policy aligns with the government’s vision of reducing dependence on polluting fuels while ensuring that states continue to have access to kerosene for essential purposes.

Also Read: Dr Poonam Gupta Appointed Deputy Governor of Reserve Bank of India


Indian Masterminds Stories
Join our WhatsApp Channel
ADVERTISEMENT
ADVERTISEMENT
Related Stories
ADVERTISEMENT
ADVERTISEMENT
NEWS
Uttar Pradesh UP Government
Major Infra Push: UP Clears 74-Km Expressway Linking Yamuna and Ganga Networks
PMGSY Bihar rural road connectivity
Bihar Mega Bridge Nears Completion: Bhagalpur–Madhepura Link Set for 2027 Opening
samrat-choudhary-263553606-16x9_0
Bihar Cabinet Clears 300 Multidisciplinary Colleges, Extends Student Credit Card and Kushal Yuva Schemes
mp (1)
Ahmedabad Investment Meet: MP Secures ₹8,635 Crore Proposals, CM Mohan Yadav Invites Gujarat Investors 
bihar agricultural
Bihar-Telangana Join Hands to Boost Farm Innovation, Farmer Training and New Opportunities
Jal Jeevan Mission 2.0
Jal Jeevan Mission: Uttarakhand Govt Accelerates Rural Water Supply, 15 Lakh+ Families Benefit 
Solar-Power-Plant
NTPC Mining Invites EOI for 40 MW Solar Projects in Jharkhand and Chhattisgarh Under RESCO Model
Bihar’s New Cooperative Push: Sugar Complex, Vegetable Booths and Jobs in Focus
Bihar’s New Cooperative Push: Sugar Complex, Vegetable Booths and Jobs in Focus
ADVERTISEMENT
ADVERTISEMENT
Videos
Shakeel Ahmad Ganie IRS Interview
‘My Path Has Not Been Straight’: Shakeel Ahmad Ganie’s Journey to the IRS
Sumit Ramteke tn
IPS Sumit Ramteke on the Cases That Changed His Career and Shook Organized Crime | Video Interview
How NAFED is Strengthening Farmers, Markets and Food Security
How NAFED is Strengthening Farmers, Markets and Food Security
ADVERTISEMENT
UPSC Stories
Abhay Pratap Singh UPSC CAPF 2025
From 10 SSB Setbacks to UPSC CAPF AIR 191: Abhay Pratap Singh’s Journey in Uniform
After 10 SSB setbacks, postal department job and two CAPF attempts, Abhay Pratap Singh cleared UPSC CAPF...
From Engineering Desks to the Uniform: The Inspiring Journeys of UPSC CAPF 2025’s Top 5 Toppers
From Engineering Desks to the Uniform: The Inspiring Journeys of UPSC CAPF 2025’s Top 5 Toppers
Sheershoo Deb, Aryan Sheoran, Akanksha Vishwakarma, Rohan and Harsh Shankarlal Solanki prove that there...
How Family Sacrifices Helped Pradip Bhandare Achieve His IFS Dream
How Family Sacrifices Helped Pradip Bhandare Achieve His IFS Dream
After seven Civil Services Mains, three Indian Forest Service Mains, five UPSC interviews and years of...
CSR NEWS
CSR TIMES Awards
NLC India Bags Gold at CSR TIMES Awards 2026 for Over 150 Rural Infrastructure Projects 
NLCIL recognised in the Rural & Infrastructure Development category after implementing over 150 projects...
Project Bright Horizon
HPCL, Assam Rifles and Antogattva Foundation Sign MoU to Launch Project Bright Horizon in Northeast
Project Bright Horizon aims to directly impact 1,500 people and benefit 2,500 more through better learning,...
CMPDI CSR
CMPDI Partners with Frontline Global Services to Train 60 Jharkhand Youth Under CSR Initiative
 CMPDI will invest ₹73.62 lakh to provide residential Phlebotomy Technician training, helping unemployed...
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT
Latest
Uttar Pradesh UP Government
Major Infra Push: UP Clears 74-Km Expressway Linking Yamuna and Ganga Networks
PMGSY Bihar rural road connectivity
Bihar Mega Bridge Nears Completion: Bhagalpur–Madhepura Link Set for 2027 Opening
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT
Videos
Shakeel Ahmad Ganie IRS Interview
Sumit Ramteke tn
How NAFED is Strengthening Farmers, Markets and Food Security
ADVERTISEMENT
ADVERTISEMENT