Government Withdraws Emergency Gas Supply Curbs as LNG Shipments Resume
LNG shipments resume easing gas supply concerns.
The Indian government has withdrawn most emergency restrictions on natural gas allocation after liquefied natural gas (LNG) shipments through the Strait of Hormuz resumed following a ceasefire in West Asia. The Ministry of Petroleum and Natural Gas announced the decision on Saturday through an official notification, stating that the supply situation had stabilised with maritime traffic returning to normal and negotiations underway in the conflict region.
The emergency measures were originally introduced on March 9 under the Essential Commodities Act after geopolitical tensions in the Middle East disrupted LNG shipping routes. During the crisis, several suppliers invoked force majeure and rerouted cargoes, raising concerns over India’s energy security due to its heavy dependence on imported hydrocarbons, particularly from the Gulf region.
In its latest order, the ministry amended the Natural Gas (Supply Regulation) Order, 2026, removing key provisions that had allowed the government to prioritise and centrally allocate domestically produced gas and imported LNG. Officials said the rollback reflects improved supply conditions and the restoration of stable shipping activity through one of the world’s most critical energy corridors.
Also Read: Trump Says US Bombing Of Iran Will Resume If Agreement Not Reached
India relies on imports for nearly 88 per cent of its crude oil needs and about half of its natural gas consumption, with a significant share of both coming from West Asia. The Strait of Hormuz remains a vital passage, especially for LNG imports from Qatar, making any disruption in the region a serious concern for domestic energy planning and pricing stability.
During the emergency period, the government had implemented strict allocation rules to ensure uninterrupted supply for essential sectors. Priority was given to households using piped natural gas, transport fuel systems, and fertiliser plants, while industrial users and power stations faced controlled reductions in supply to manage shortages and maintain grid stability across the country.
With the situation now normalised, the Ministry of Petroleum and Natural Gas stated that the special provisions were no longer required. The notification confirmed that sections of the March 9 order had been omitted, restoring standard market-based allocation mechanisms for gas distribution across sectors as international supply routes stabilise.
Also Read: Yogendra Yadav Rebuts Pradhan Over Emergency, Says Textbooks Already Covered It
