The Central government has issued emergency orders under the Essential Commodities Act (ECA) to safeguard the supply of natural gas for household kitchens, transport fuel, and industrial use, as the ongoing conflict in the Middle East disrupts liquefied natural gas shipments through the Strait of Hormuz.
The government said suppliers have invoked force majeure clauses as a result of the conflict, necessitating a structured priority allocation of available gas supplies across sectors.
Also read: LPG shortage hits restaurants; Essential Commodities Act invoked
Under the order, domestic piped natural gas, compressed natural gas (CNG) for transport, and LPG production have been designated as Priority Sector 1 — the highest classification.
These sectors will receive 100 per cent of their average gas consumption over the past six months, subject to operational availability. Pipeline compressor fuel and other essential operational requirements for the pipeline network have also been included under this top-priority category.
The Centre has additionally directed refineries and petrochemical units to maximise LPG production and divert key hydrocarbon streams into the LPG pool to shore up domestic cooking gas supplies.
Natural gas supply to fertiliser plants — classified as Priority Sector 2 — will be maintained at 70 per cent of their average consumption over the past six months, subject to operational availability.
The order stipulates that fertiliser units must not use the allocated gas for any purpose other than fertiliser production, and must furnish a certificate confirming this to the Petroleum Planning and Analysis Cell (PPAC) through the Ministry of Fertilisers.
Tea industries, manufacturing units, and other industrial consumers supplied through the national gas grid will receive 80 per cent of their past six-month average gas consumption, subject to operational availability.
City Gas Distribution (CGD) entities have similarly been directed to ensure that industrial and commercial consumers on their networks receive 80 per cent of their average consumption under the same conditions.