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Amid energy crisis, India could cut LPG imports by 20% blending with DME: EY-Parthenon report

India faces LPG supply disruptions amid West Asia tensions. A joint EY-Parthenon and New Era Cleantech report proposes blending LPG with 20% DME to reduce LPG imports by about 6.3 million tonnes annually, with BIS standards already permitting blending and CSIR endorsing DME as a clean alternative.

Why It Matters

If adopted, blending could affect energy security, cooking fuel availability, and spur domestic DME production and policy development.

Timeline

7 Events

China leads global DME capacity (around 90%)

April 19, 2026

The article notes that China has the world’s biggest DME production capacity, around 90%, due to its massive coal-to-chemicals industry.

Balasaheb Darade: Blending policy could unlock investments in DME

April 19, 2026

Balasaheb Darade, MD of New Era Cleantech, says a clear blending policy will be key to unlocking investments and scaling domestic DME production.

India's domestic DME production is currently limited

April 19, 2026

The article notes that India currently has limited pilot-scale domestic DME production.

BIS: Standards permit up to 20% DMG-LPG blending

April 19, 2026

The Bureau of Indian Standards has notified standards permitting up to 20% DMG-LPG blending in India, according to PTI.

CSIR: DME can blend with LPG up to 20%

April 19, 2026

CSIR states that DME can be used as a substitute or blending agent for LPG and can be used as fuel in household cooking gas and industries; blending with LPG up to 20% is feasible.

CSIR describes DME as sustainable and eco-friendly fuel

April 19, 2026

The Council of Scientific and Industrial Research describes DME as a sustainable and eco-friendly fuel; it is a synthetically produced fuel that can be used in specially designed compression ignition diesel engines and is noted for low emissions.

Report: 20% DME-LPG blending could cut LPG imports by 6.3 mt/yr

April 19, 2026

A report titled 'Coal gasification for energy and chemical security' by EY-Parthenon and New Era Cleantech Solution Ltd states that blending LPG with 20% DME could reduce LPG imports by about 6.3 million tonnes per year.