Pressure from Industries to Resume Full Gas Cylinder Sales; Nepal Oil Corporation Responds

The government’s policy of selling only half gas cylinders has created financial difficulties and supply chain issues among industries and retailers. Nepal Oil Corporation has stated that the policy to sell only half cylinders remains in place due to international tensions, and there is no immediate plan to reopen full cylinder sales. The Nepal LPG Gas Industry Association and retailers, despite no shortage of gas in the market, have demanded the resumption of full cylinder sales, citing that the half-cylinder policy has doubled operational costs for industries. April 19, Kathmandu.

Industry stakeholders have expressed that the government’s ‘half cylinder’ policy, aimed at averting gas shortages in the market, is not favorable for businesses. The increasing adoption of electric stoves (induction) by consumers and the half-weight cylinders being held up in the market have disrupted the cycle of the gas industry. Since February 11, 2026 (28th Falgun 2082), Nepal Oil Corporation has directed the sale of only 7.1 kg half cylinders. However, this policy has caused a shortage of empty cylinders for many industries.

Following the U.S. and Israeli attack on Iran, Iran’s closure of the Strait of Hormuz has affected the global supply chain. Citing this, the Corporation has maintained the rule to sell only half cylinders. However, the Nepal LPG Gas Industry Association has demanded the removal of this rule and the reopening of sales for 14.2 kg full cylinders. According to the association, all industrial gas bullet cylinders are currently fully filled, and there is no problem dispatching full-capacity cylinders to the market.