Archive · 26 Jan 2026
India Faces Gas Supply Challenges Amid Rising Demand
India is having a tough time getting enough natural gas.
The country is producing less gas at home and not importing much more from other countries.
This is happening while more and more people and businesses need gas for things like making fertilizer, heating homes, and generating electricity.
The biggest users of gas are in states like Gujarat, Uttar Pradesh, and Maharashtra.
Experts say India needs to find ways to produce more gas at home and make better deals to buy gas from other countries to meet its growing needs.
India's domestic natural gas production fell 4.2% year-on-year in December 2025.
LNG imports remained nearly flat, leading to a 2.6% drop in total gas available for sale.
Gas consumption rose to 5,703 MMSCM in December, driven by fertilizers, city gas distribution, and power generation.
City gas distribution demand grew 8.1% year-on-year, while power sector consumption jumped 16.5%.
Gujarat, Uttar Pradesh, and Maharashtra are the top gas-consuming states, accounting for a significant share of national demand.
- Who
- India's natural gas ecosystem, including domestic producers and LNG importers
- What
- Tightening gas supply due to lower domestic production and flat LNG imports
- When
- December 2025
- Where
- India
- Why
- Increasing demand from key sectors like fertilizers, city gas distribution, and power generation
- Gross domestic natural gas production
- 2,937 MMSCM (December 2025)
- Net gas production available for sale
- 2,446 MMSCM (December 2025)
- LNG imports
- 2,808 MMSCM (December 2025)
- Total natural gas available for sale
- 5,254 MMSCM (December 2025)
- Total gas consumption
- 5,703 MMSCM (December 2025)
- CGD demand growth
- 8.1% y-o-y
- Power sector gas consumption growth
- 16.5% y-o-y (December 2025)
- Top gas-consuming states
- Gujarat, Uttar Pradesh, Maharashtra
