GAIL Chief Sees City Gas Distribution As Key Driver Of India’s Natural Gas Demand

GAIL (India) Ltd, the country’s largest natural gas company, has outlined its outlook for the sector, emphasizing the growing role of city gas distribution in shaping demand. According to the CMD, natural gas availability is set to rise, which will help India strengthen its energy security and reduce reliance on coal.  

Key highlights

• City gas distribution is expected to overtake the fertilizer industry as the primary driver of demand.  
• Price remains the biggest concern for boosting natural gas use in the power sector.  
• Greater availability of natural gas is anticipated, supporting India’s energy transition.  
• Natural gas seen as critical for industrial growth, urban energy needs, and cleaner fuel adoption.  
• GAIL continues to align its strategy with India’s long-term climate and energy goals.  

Industry experts note that the expansion of city gas networks across urban centers will significantly increase consumption, particularly in transport and residential sectors. However, competitive pricing will be essential to unlock demand in power generation. GAIL’s outlook reflects optimism about India’s ability to balance growth with sustainability.  

Sources: Economic Times, Business Standard, Reuters