Israel's Energy Ministry Mandates Two-Week LPG Stockpiles Amid Storage Facility Delays
The Israeli Ministry of Energy has issued new regulations requiring dozens of companies supplying liquefied petroleum gas (LPG) to maintain stockpiles sufficient for two weeks of continuous supply. This measure aims to prevent potential shortages caused by import disruptions, supply chain difficulties, or operational failures at the Haifa and Ashdod refineries, which together provide 63% of Israel's cooking gas. The regulations were signed by Energy Minister Eli Cohen after consultations with Finance Minister Bezalel Smotrich and Defense Minister Israel Katz.
Until now, LPG suppliers were not obligated to hold emergency reserves. However, the implementation of these regulations will be gradual and contingent upon the establishment of suitable storage facilities connected by dedicated pipelines to refineries or seaports, with continuous monitoring by the Ministry's Fuel and Gas Administration. The ministry has informed suppliers that the regulations will only take effect once the first government-approved storage facility is operational, with obligations phased in according to the capacity of new storage sites.
Plans for new storage facilities are underway, including sites in Yavor in Western Galilee and the Neot Hovav industrial zone in the south, alongside expansions at existing facilities in Ashdod and Ashkelon. These southern storage plans received approval from the National Planning and Building Council in April. A senior LPG company official told Calcalist that the ministry is "putting the cart before the horse," urging faster completion of storage facilities since current capacity only covers three days of supply.
The ministry responded that regulation enforcement will align with the pace of facility construction, which is at various planning stages, and that financing and cost models for these sites are yet to be finalized. This regulatory push follows a recent State Comptroller report warning that in the latter half of 2025, Israel narrowly avoided a cooking gas shortage crisis that could have affected millions and disrupted the economy due to technical failures, refinery shutdowns from Iranian missile threats, and maintenance work. The shortage was averted by urgent LPG imports.
