Iran-US-Israel war: The Modi government has decided that priority allocation of natural gas will be given to key sectors that depend heavily on steady supply.
Updated: March 10, 2026 9:31 PM IST
Iran-Israel war: In a significant development amid the ongoing war in Middle East, the government of India has moved quickly to control the supply of natural gas after global disruptions linked to the ongoing conflict in the Middle East raised concerns about shortages. In the recent development, the Modi government has stepped in to regulate how natural gas is supplied and distributed across the country to protect essential services. Here are the steps taken by the GoI amid the ongoing crisis in Middle east with respect to Natural Gas Supply.
What has led to the liquefied natural gas crisis?
In the recent action, the government has said that the shipments of liquefied natural gas passing through the Strait of Hormuz have been affected, as some suppliers have invoked force majeure clauses because of the situation in the region due to Iran- US-Israel war.
How is Modi government managing Petroleum and Natural Gas supplies?
In an order issued by the Ministry of Petroleum and Natural Gas, the government announced the Natural Gas (Supply Regulation) Order, 2026 to manage the available supply. The decision follows fears that reduced LNG shipments could create supply constraints in the domestic market. By regulating distribution, the Centre aims to ensure that the most important sectors continue to receive fuel despite uncertainty in global deliveries.
How is Modi government prioritising domestic piped natural gas?
Under the new order, priority allocation of natural gas will be given to key sectors that depend heavily on steady supply. These include domestic piped natural gas used in households, compressed natural gas used for transport, LPG production and essential pipeline operations.
The order states that these priority sectors will receive up to 100 per cent of their average gas consumption over the past six months, depending on operational availability. The government said the measure is meant to maintain stability in critical services while the global supply situation remains uncertain.
“The Government of India has notified the Natural Gas (Supply Regulation) Order, 2026, prioritising gas allocation to essential sectors amid supply disruptions linked to tensions in West Asia and LNG shipment constraints through the Strait of Hormuz.Why is Modi government using Essential Commodities Act, 1955?
Issued by the Ministry of Petroleum and Natural Gas under the Essential Commodities Act, 1955, the order ensures stable supplies for domestic PNG, CNG transport, fertiliser production and key industrial activities while enabling equitable distribution of natural gas across sectors” (With agency inputs)Source link
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