New Delhi, Mar 10 (JKNS): The Ministry of Petroleum and Natural Gas has issued the Natural Gas (Supply Regulation) Order, 2026, invoking powers under the Essential Commodities Act, 1955, to regulate production, allocation, and distribution of natural gas following disruptions in liquefied natural gas (LNG) shipments through the Strait of Hormuz amid the ongoing Middle East conflict.
According to the official order accessed by news agency JKNS, the move aims to ensure equitable distribution and continued availability of natural gas to priority sectors, including domestic piped natural gas (PNG), compressed natural gas (CNG) for transport, LPG production, fertilizer manufacturing, and other essential industries.
The order states that the disruptions in LNG supply, coupled with suppliers invoking the force majeure clause, have necessitated diversion of natural gas to these priority sectors. It highlights that natural gas, including re-gasified LNG, is a critical input for domestic PNG, CNG, fertilizer production, LPG production, and other industrial activities.
Exercising powers under Section 3 of the Essential Commodities Act, the government has made it mandatory to regulate production, sector-wise allocation, diversion of natural gas supplies, and its distribution, disposal, acquisition, and use. The Natural Gas (Supply Regulation) Order, 2026 comes into effect from the date of its publication in the Official Gazette.
The directive also provides sector-wise priority allocations and instructs gas producers, marketers, LNG terminal operators, pipeline operators, and city gas distribution companies to comply with the revised supply schedules and allocation mechanisms. (JKNS)
