Amidst the increasing tension in West Asia, the Indian government has given priority to domestic Piped Natural Gas (PNG) over the needs of industry and business. The government has issued the Natural Gas (Supply Regulation) Order, 2026, under which by diverting gas from petrochemical plants and refineries, it will be ensured that the supply of piped gas to homes remains complete.
This decision has been taken at a time when global gas suppliers are citing force majeure. The threat to maritime supply routes has increased due to drone attacks on energy infrastructure in West Asia. India imports more than half of its natural gas requirement through these routes.
How is the government saving domestic gas supply?
To avoid domestic energy crisis, the Central Government has used its powers under the Essential Commodities Act, 1955. This gives the government the power to change existing commercial contracts if needed.
According to the new order, domestic PNG and CNG for vehicles have been kept in Priority Sector-I. 100% gas supply will be ensured to these sectors on the basis of average consumption of last six months. This means that as long as gas is available in the national gas grid, gas will first be supplied to the kitchens of homes, only then it will be supplied to factories or power plants.
What are the gas companies saying?
Manish Verma, marketing head of Aavantika Gas Limited in Madhya Pradesh, said that the cost of purchasing gas has increased due to the war, but there will not be much impact on domestic PNG supply. Providing gas to homes will remain a priority in cities like Indore, Gwalior and Ujjain.
Similarly, officials of Green Gas Limited in Uttar Pradesh said that the demand for PNG in Lucknow and Agra is currently being fully met and consumers do not need to panic.
Is there a danger of domestic PNG supply being cut off?
Gas supply will remain normal in most of the houses. However, companies are increasing their strictness regarding bill payment. If there is too much pressure on the supply, then gas can be cut off first for those consumers whose bills are outstanding for a long time. The government has given the responsibility to GAIL (India) Limited to manage the pooled price system, so that the essential sectors continue to get cheap gas.
Why is the gas supply to industries being reduced?
While priority has been given to domestic consumers, industries are getting less supply of gas. Adani Total Gas Limited said that some of its Middle East suppliers have reduced the supply, due to which it has to provide less gas to industrial customers. According to the new order of the government, many industries will now get only about 80% of their average gas consumption. With this, it is being ensured that despite the global supply crisis, the gas supply to homes for kitchens and essential services is not disrupted.