Natural gas's share in India's primary energy supply has increased to 7.12% on a provisional basis in FY25, according to Parliamentary information provided by Minister of State for Petroleum & Natural Gas Suresh Gopi. As reported by The Hindu BusinessLine, this represents a marginal but significant increase from 7% in FY24 and 6.7% in FY23. The data comes from the Energy Statistics 2026 released by the Ministry of Statistics and Programme Implementation (MoSPI).
India's natural gas demand is projected to grow substantially to 260 to 300 million standard cubic meters per day (MSCMD) by 2030 under the base case scenario, according to a report by the Petroleum and Natural Gas Regulatory Board (PNGRB). As cited by Gopi in his written response to Lok Sabha, this projected increase is attributed to several key factors including expansion of the City Gas Distribution (CGD) network, increasing adoption of Compressed Natural Gas (CNG) in the transport sector, rising penetration of Piped Natural Gas (PNG) in domestic and commercial segments, and growing industrial demand for cleaner fuels.
The growth in natural gas consumption is being driven by multiple infrastructure and demand-side factors. According to the PNGRB report referenced by Gopi, the expansion of the City Gas Distribution network is a primary catalyst for increased demand. Additionally, the increasing adoption of Compressed Natural Gas in the transport sector and rising penetration of Piped Natural Gas in domestic and commercial segments are contributing to the overall growth in natural gas consumption across India's energy landscape.
