This paper, from the perspective of whole-chain governance theory and taking Suqian City as an empirical case, systematically analyzes the multidimensional bottlenecks confronting “illegal gas” governance in areas such as inter-departmental coordination, distribution supervision, accountability implementation, and cross-regional control. The study demonstrates that Suqian City has established an innovative four-in-one governance mechanism—comprising institutional design, technological empowerment, regional collaboration, and public welfare保障—that has created a closed-loop management system covering all stages from filling and distribution to use and recycling. Specific practices include: pioneering a multi-departmental joint enforcement mechanism; innovatively implementing a unified liquefied petroleum gas (LPG) distribution model; developing and deploying an integrated LPG supervision system; and promoting collaborative regulation among adjacent regions in three provinces. Based on an evaluation of the outcomes of Suqian’s experience, this paper derives universally applicable insights for national gas safety governance, offering a replicable pathway to address the challenges of “illegal gas” governance.