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India lifts emergency natural gas supply controls after LNG disruption
Economic Times··5 Jul
The Centre withdrew emergency natural gas supply controls on July 4, 2026, through the Natural Gas Supply Regulation Amendment Order. The March 9 order was issued after Middle East conflict disrupted LNG shipments through the Strait of Hormuz and suppliers invoked force majeure. The latest notification cited ceasefire negotiations and resumed sea traffic through Hormuz.
Prism
What It Means For You
- Emergency gas allocation rules affected industrial users after March Hormuz disruptions forced supplier force majeure.
- The amendment restores normal sector allocation after ceasefire talks and resumed Hormuz shipping.
- Priority-sector diversion orders issued March 9 under the Natural Gas Supply Regulation Order are withdrawn.
What's Happening
- The Centre withdrew emergency natural gas supply controls on July 4 through an amendment order.
- Controls were imposed in March 2026 after Middle East conflict disrupted LNG shipments through Hormuz.
- The notification cited ongoing negotiations and permitted sea traffic through the strait.
Gas Controls Rolled Back
- The March 9 Natural Gas Supply Regulation Order regulated production, allocation and consumption including LNG.
- Suppliers invoked force majeure during Hormuz closures, requiring diversion to priority sectors.
- India relies heavily on imported LNG, making Strait of Hormuz stability critical for energy supply.
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