NEW DELHI
The central government has officially withdrawn its emergency natural gas supply restrictions. This major decision comes after a welcome ceasefire in West Asia allowed vital liquefied natural gas (LNG) shipments to safely resume through the highly strategic Strait of Hormuz.
In a fresh notification, the Ministry of Petroleum and Natural Gas rolled back the strict Natural Gas Order of 2026. This emergency rule had previously allowed the state to control and ration all domestic and imported gas according to a strict priority list to prevent severe national shortages.
“With maritime traffic returning to normal, our immediate worries over national fuel and gas availability have completely eased,” the ministry announced. The sudden conflict involving major global powers forced the government to act fast under the Essential Commodities Act to protect citizens.
India relies heavily on foreign nations, importing 88% of its crude oil and nearly half of its natural gas. While oil companies managed to safely buy crude oil from alternative countries during the peak of the crisis, natural gas remained incredibly vulnerable. This is because almost all essential LNG shipments originating from Qatar must pass through the narrow Strait of Hormuz. Now, with peace talks moving forward, local markets can breathe easy as fuel flows back to normal.
The Anatomy of the Crisis
- Hostilities Outbreak: Military tension between the US, Israel, and Iran severely choked global shipping channels.
- Supply Shock: Major international gas suppliers canceled deliveries and diverted large cargo ships away from danger.
- Triple Action: The government initially cut diesel sales, boosted LPG production, and rationed natural gas to survive.
West Asia Import Dependency
- 40% to 45% of India’s crude oil
- Around 65% of total LNG supplies
- Strait of Hormuz is the main route
- Qatar cargo remains most vulnerable