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LPG Alert: LPG Cylinder Delivery Becomes a Nightmare; Network Issues Plague Villages! Is the DAC System Failing?

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LPG Delivery System Update: An LPG distributor has filed a petition in the Bombay High Court regarding the OTP-based delivery system, seeking to continue the provision for offline bookings.

LPG Delivery System Update: A legal challenge concerning the new digital system implemented for domestic LPG cylinder deliveries has reached the Nagpur Bench of the Bombay High Court. The Court has sought a response from the Central Government and the oil companies regarding the demand to allow the continuation of the offline booking system.

This matter came to light following a petition filed by the LPG Distributors Association (India). The Association contends that the OTP-based delivery system is causing various difficulties for both consumers and distributors.

What is the Full Story?

It is worth noting that, for the delivery of domestic LPG cylinders, oil companies have implemented a ‘Delivery Authentication Code’ (DAC) system. Under this system, an OTP is sent to the customer’s mobile phone at the time of delivery; the delivery is considered complete only after the customer provides this OTP.

According to the petition, this system was initially applied to only 50 percent of deliveries, a figure that was subsequently raised to 95 percent. Subsequently, on April 4, 2026, via a message sent over WhatsApp, the system was made mandatory for 100 percent of deliveries. Furthermore, distributors were warned that punitive action would be taken against them if they delivered cylinders without proper authentication.

What Objections Did the Distributors Raise?

The petition, filed by Jayprakash Tiwari—President of the LPG Distributors Association—argues that this system is creating several practical difficulties. According to the Association:

  • Not every consumer owns a mobile phone.
  • Additionally, many people are unable to comprehend or navigate the OTP system.
  • Rural areas frequently suffer from poor network connectivity.
  • Consequently, technical glitches often prevent the timely receipt of the OTP.
  • Another issue is that disruptions in the website and server infrastructure adversely affect the delivery process.
  • For these reasons, cylinder deliveries are frequently stalled or significantly delayed. Issues During the “Blackout Period”

The petition claims that severe technical glitches occurred within the system between March 8 and March 17.
During this period, discrepancies were observed between physical stock and online records.
Additionally, booking and delivery data were affected.
The distribution process was disrupted in several locations.
The Association has termed this a “blackout period.”

What Did the Court Say?

A division bench comprising Justice Anil Kilore and Justice Raj Wakode has directed the Central Government and the oil companies to take a decision on this petition within three weeks.

What Are the Association’s Demands?

The petitioners demand that:

The digital authentication system should continue to operate.
However, the facility for offline booking should also be retained.
Users should be able to collect cylinders directly from the agency whenever necessary.