Parliament Question: Natural Gas (Supply Regulation) Order, 2026

LOK SABHA UNSTARRED QUESTION No. 6242 TO BE ANSWERED ON 2nd April, 2026 NATURAL GAS (SUPPLY REGULATION) ORDER, 2026 6242. SHRI LAVU SRI KRISHNA DEVARAYALU: पेट(cid:332)ोिलयम और (cid:366)ाकृ ितक गैस मं(cid:361)ी Will the Minister of PETROLEUM AND NATURAL GAS be pleased to state: (a) whether the Government has issued the Natural Gas (Supply Regulation) Order, 2026 to regulate production, allocation and distribution of natural gas in view of possible supply disruptions, if so, the details thereof; (b) whether the said order allocates gas supply to sectors based on their average consumption during the last six months, if so, the details thereof; (c) whether the Government is aware that certain industries, such as the agricultural seed processing sector operate on a seasonal cycle, particularly during the months of February to April when mechanical drying of hybrid seeds is undertaken, if so, the details thereof; (d) whether the Government has received any representations from seed industry associations regarding difficulties arising from the six-months averaging formula for gas allocation, if so, the details thereof; and (e) whether the Government proposes to issue any clarification or modification in the said order to account for seasonal industries such as seed processing to ensure uninterrupted fuel supply during the peak processing period, if so, the details thereof? ANSWER पेट(cid:332)ोिलयम और (cid:366)ाकृ ितक गैस मं(cid:361)ालय म(cid:336) रा(cid:475) मं(cid:361)ी ((cid:373)ी सुरेश गोपी) MINISTER OF STATE IN THE MINISTRY OF PETROLEUM AND NATURAL GAS (SHRI SURESH GOPI) (a) to (e) Government has notified the Natural Gas (Supply Regulation) Order, 2026 dated 09.03.2026 under the Essential Commodities Act, 1955 to regulate the production, allocation and distribution of natural gas to ensure its equitable availability across sectors. Under this framework, natural gas supplies are being prioritized for critical sectors such as domestic PNG, CNG for transport and LPG production, which are being maintained up to 100% of their average past six month average gas consumption, subject to availability, thereby safeguarding household and essential requirements. The idea of 6 month average is to eliminate short- term consumption variations. Supply to other sectors, including agricultural seed processing sector, is being rationalized in a calibrated manner to manage any temporary constraints without widespread disruption. The Order also provides for diversion and pooling of gas from non-priority sectors to priority sectors and enables necessary adjustments in supply schedules through coordinated action by GAIL (India) Ltd and Petroleum Planning & Analysis Cell. These steps are aimed at ensuring adequate natural gas availability and preventing disruption to domestic consumers, industries and economic activity, including in regions where concerns have been raised. Representations have been received from industry associations such as National Seed Association of India (NSAI), the Federation of Seed Industry of India (FSI), and the Indian Chamber of Food and Agriculture (ICFA). Pointing out that allocation based on the past six-month average does not reflect the requirements of this seasonal activity, as consumption remains minimal during off-season months. As explained earlier, the whole purpose of 6 month average is to smooth out such variations. ****