Govt Withdraws Emergency Gas Supply Curbs As LNG Shipments Resume Via Strait of Hormuz

India has withdrawn emergency gas restrictions after LNG shipments through the Strait of Hormuz resumed following a ceasefire. Energy flows have normalised, restoring supply stability and rolling back crisis-era controls across key sectors.

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The move follows the restoration of LNG shipping routes via Strait of Hormuz

India has withdrawn emergency natural gas supply restrictions imposed during the Middle East conflict after liquefied natural gas (LNG) shipments through the Strait of Hormuz resumed and maritime traffic stabilised following a ceasefire and the lifting of earlier disruptions. 

The Ministry of Petroleum and Natural Gas said the situation has significantly improved, with energy flows from the Middle East returning to normal levels and LNG cargo movement through the strategic waterway becoming steady again. The emergency measures, introduced in March under crisis provisions, were implemented after disruptions in LNG shipments through the Strait of Hormuz raised concerns over India's energy security and supply stability.

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ALSO READ: Iran To Impose Service Fees On Strait of Hormuz Transit, Offers 'Special Treatment' To Allies

The government had earlier invoked emergency powers under Section 11 of the Electricity Act to regulate and prioritise gas allocation for essential sectors. This included directing gas-based power plants to maximise generation under controlled pricing and ensuring regulated distribution of both domestically produced gas and imported LNG during the crisis period. These restrictions have now been fully rolled back as supply conditions normalised.

The decision follows the restoration of LNG shipping routes through the Strait of Hormuz, a critical global energy corridor.

After the easing of maritime tensions, delayed cargoes and long-term chartered shipments from Gulf suppliers, including “The ongoing conflict in the Middle East that had resulted in the disruption of liquefied natural gas shipments through the Strait of Hormuz has been subject to a ceasefire, and negotiations are ongoing, as part of which, sea traffic through the Strait of Hormuz has been permitted to resume,” the notification said.

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Officials noted that India had earlier faced force majeure declarations from several suppliers due to shipping disruptions, which had temporarily constrained imports and triggered emergency rationing measures.

ALSO READ: Tankers U-Turn In Hormuz, With Some Taking Iran Route Instead

After Tehran restricted Hormuz traffic following February 28 US-Israeli strikes, India has withdrawn emergency measures, including LPG production mandates and bulk diesel limits, as fuel supplies have now normalised.

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