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The government on Saturday announced compulsory blending of compressed biogas, which is extracted from municipal and agriculture waste, in natural gas to cut reliance on imports. Initially, 1 per cent of biogas will be blended in gas used in automobiles and household kitchens for cooking from April 2025, a government statement said. The share will be increased to around 5 per cent by 2028.

Eight entities submitted bids for 6 GAs. Six bids came in for Meghalaya, four for Sikkim, four for Nagaland, three for Manipur, two for Arunachal Pradesh, and one for J&K. No bid was received for Ladakh.

The data indicates a total consumption of 5,254 million metric standard cubic meter (mmscm) for the month of September, reinforcing India’s position as one of the fastest-growing markets for natural gas.

The uptick is attributed to domestic gas gaining an edge in price competitiveness against other fuels. Factors influencing this trend include declining gas prices and the sustained expansion of distribution infrastructure.

India’s Petroleum and Natural Gas Regulatory Board (PNGRB) has offered licenses for the retailing of compressed natural gas (CNG) in seven areas, primarily in the North East and J&K. This move aims to expand the reach of natural gas in the country. The bidding round includes areas such as Arunachal Pradesh, Meghalaya, Manipur, Nagaland, Sikkim, Jammu & Kashmir, and Ladakh.

The Organization of the Petroleum Exporting Countries (OPEC) in its latest world oil outlook has projected that the share of natural gas in India’s total energy mix will reach 10.6 per cent by 2045 compared to the government’s target of 15 per cent by 2030.

Petroleum and Natural Gas Regulatory Board (PNGRB) offered seven geographical areas (GAs) of Arunachal Pradesh, Meghalaya, Manipur, Nagaland, Sikkim, Union territory (UT) of Jammu & Kashmir and Ladakh under the 12th city gas distribution (CGD) bidding round for retailing of CNG to automobiles and piping the fuel to household kitchens and industries.

The price of natural gas produced from difficult areas like deepsea KG-D6 block of Reliance Industries on Sunday was cut by a steep 18 per cent, in line with softening of benchmark international gas prices, an official notification said. However, the price of gas that is largely used for making CNG for fueling automobiles or piping to households kitchens for cooking purposes will remain unchanged due to a price cap that is set at 30 per cent less than market rates such as that paid to Reliance.

Mahanagar Gas Ltd (MGL) plans a capital expenditure of ₹800 crore this fiscal year, focusing on infrastructure for compressed natural gas (CNG) and piped natural gas (PNG), the firm’s Managing Director Ashu Shinghal told ET Energyworld in an interview.