New Delhi is speeding up the development of natural gas infrastructure as the Middle East conflict sparks domestic conflict
The Indian government has ordered gas pipeline projects to be expedited, amid a shortage of cooking gas fueled by the Middle East conflict.
The government requested a special law on Tuesday – the Essential Commodities Act – to reduce delays and obstacles in establishing and expanding natural gas infrastructure across the country.
The move comes as India moves to change its oil sources amid disruptions in the global energy market caused by tensions in the Middle East.
The US-Israel war against Iran has almost stopped shipping through the Strait of Hormuz. About 40% of India’s crude oil imports and 55% of its natural gas (LNG) exports go through the direct route, which is controlled by Iran.
The disruption in the supply of liquefied petroleum gas (LPG) and natural gas is expected to continue for a long time, the Ministry of Petroleum and Natural Gas said in the order. India imports 85% of its oil and almost half of its natural gas.
According to the document, the move aims to address delays in land approval and acquisition. The order also aims to establish a system to remove obstacles including permit delays and high fees, increase the speed of pipeline construction and expand the use of pipeline natural gas. It also reduces the fees charged to pipeline companies for granting access and sets simple rules for land access and compensation.
The ministry said the order is effective immediately, and aims to speed up the city’s gas supply infrastructure and gradually shift from LPG to piped natural gas.
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