High gas prices: How India's gas economy works
- India imports 45-50% of its LNG requirement every month, and thus relies on it to fill its demand-supply gap.
Earlier this month, the government raised domestic gas prices to a historic high, on the back of a seven-fold increase in international prices of liquefied natural gas (LNG) over the past two years. The higher prices are expected to hold for at least the next six months, and possibly more if the Russia-Ukraine war intensifies. This would add to the financial outgo for industrial consumers, households and the central government.