Natural Gas (Supply Regulation) Order, 2026
The Government of India, invoking powers under the Essential Commodities Act, 1955, notified the Natural Gas (Supply Regulation) Order on 9 March 2026. This Order establishes a four-tier priority framework for natural gas allocation, overriding all existing Gas Sale Agreements (GSAs) and commercial contracts. It represents an extraordinary government intervention in the gas market, triggered by the disruption of LNG supplies due to the Strait of Hormuz crisis.
- Priority Sector I (100% allocation): Domestic PNG (piped natural gas), CNG for transport, LPG production — "no-cut" category
- Priority Sector II (70% allocation, now being raised to 90%): Fertiliser plants
- Priority Sector III (80%): Industrial consumers on national gas grid (including tea manufacturing)
- Priority Sector IV (80%): Industrial and commercial consumers on City Gas Distribution (CGD) networks
- Curtailment sources: Petrochemical facilities and power plants face reduced allocations; refineries cut to ~65%
- Implementation: Coordinated by GAIL (Gas Authority of India Limited) with PPAC (Petroleum Planning and Analysis Cell)
- Legal basis: Essential Commodities Act, 1955 — Section 3 empowers the Centre to control production, supply, and distribution of essential commodities
● Tracked since March 10, 2026 · last seen April 04, 2026 · updates as the daily brief publishes
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