LPG price surge pushes auto, taxi operators to seek subsidy for shift to CNG, EV

The ongoing global conflict has led to a sharp increase in LPG prices and disrupted availability, placing a heavy financial burden on drivers and vehicle owners | Photo Credit: File photo The Federation of Private Transport Associations has urged the State and Union government to extend financial assistance to LPG-run auto and taxi operators to facilitate a transition to CNG and electric vehicles (EVs), citing rising fuel costs and supply concerns. In a press release issued on Tuesday, the president of the federation, S. Nataraj Sharma, said that the ongoing global conflict has led to a sharp increase in LPG prices and disrupted availability, placing a heavy financial burden on drivers and vehicle owners. He noted that even at higher prices, consistent supply remains a challenge in several parts of the country. The federation said recent appeals by Union Ministers and Prime Minister Narendra Modi encouraging the adoption of alternative fuel options such as EVs, CNG, and public transport have further intensified the pressure on LPG-dependent operators. “Auto and taxi drivers are willing to shift to cleaner and more economical fuel options like EVs and CNG. However, the high initial cost of conversion is a major hurdle. Without government support, this transition is not financially viable for many,” the federation stated. The association has formally submitted representations to both the State Transport Department and the Union government, seeking subsidies to ease the conversion process. It argued that such a move would not only support the livelihoods of thousands of drivers but also align with broader environmental and energy sustainability goals. Box: Fuel supply concerns trigger panic in few areas Despite the Centre stating that there is no shortage of petrol, diesel, LPG, or crude oil in the country and urging citizens not to panic, a few areas in Karnataka have reported temporary fuel concerns, particularly in Nelamangala. A petrol pump displaying a “No Stock” board triggered panic among residents, leading to confusion and apprehension. Nevertheless, fuel station employees in Bengaluru have confirmed that there is no significant shortage or panic buying occurring in the city. Naveen J, a petrol pump worker on Kasturba Road, said there is no reason for concern. “Some people are filling full tanks, fearing a possible price hike or shortage. But as of now, there is no supply issue, and we have not seen any significant panic buying,” he said. Published - May 12, 2026 10:51 pm IST