India Revokes Emergency Natural Gas Supply Restrictions

The Government of India revoked the majority of the Natural Gas (Supply Regulation) Order, 2026, on July 5, 2026. The Ministry of Petroleum and Natural Gas issued an amendment removing the government-mandated priority list used to allocate domestic and imported liquefied natural gas (LNG). This action restores normal gas allocations to refineries, fertilizer plants, industrial consumers, and city gas distributors.

The emergency measures were originally implemented on March 9 under the Essential Commodities Act. They were triggered by a West Asia conflict that began with U.S. and Israeli strikes on Iran on February 28, followed by retaliatory attacks and the subsequent disruption of LNG shipments through the Strait of Hormuz. During the crisis, the state-run GAIL and the Petroleum Planning and Analysis Cell pooled and redistributed supplies, prioritizing essential sectors like CNG transport and PNG households over petrochemical plants and power stations.

Officials withdrew the order after a ceasefire eased supply concerns and maritime traffic resumed in the strategic waterway. This move marks the final rollback of three emergency energy measures; the government had previously removed diesel purchase caps for bulk consumers, restored commercial LPG supplies, and ended directives for refiners to maximize LPG production.