India has invoked the Essential Commodities Act (ECA), 1955 to ensure steady natural gas supply as the ongoing US–Israel–Iran conflict disrupts global energy routes. The government issued a notification stating that natural gas supply should be treated as a priority allocation and maintained at 100% of the average consumption recorded over the past six months, subject to operational availability.
The decision comes amid concerns over disruptions in gas shipments passing through the Strait of Hormuz, a crucial route for global energy transport. Around 85–90% of India’s LPG imports come from Gulf countries such as Saudi Arabia, making supplies vulnerable during geopolitical tensions. India has about 33.08 crore active LPG consumers, and the government aims to maintain uninterrupted supply for households.
In the financial year 2024–25, India consumed 31.3 million tonnes of LPG, but domestic production accounted for only 12.8 million tonnes, meaning a large portion had to be imported. India also uses around 195 million standard cubic meters of natural gas every day for electricity generation, fertiliser production, CNG fuel for vehicles, piped gas for homes, and various industries. Nearly half of this gas requirement is imported.
To reduce dependence on traditional suppliers, India has also begun receiving LPG under a new import agreement with the United States. Under this deal, state-run oil companies will import about 2.2 million tonnes of LPG from the US Gulf Coast in 2026, which will make up roughly 10% of the country’s annual LPG imports.
Under the ECA order, households and CNG vehicles will receive full gas supply, while industries, tea producers, and manufacturers will receive around 80% of their previous supply levels. Fertiliser plants will receive 70%, while refineries and petrochemical units will face larger reductions.