India’s LNG imports could rise four times in the next two decades as the nation moves towards a gas‐based economy, according to a report by the International Energy Agency.
The country’s LNG imports could rise from around 30 bcm in 2019 to more
than 120 bcm in 2040, IEA said in its report named India Energy Outlook.
India is already a major LNG importer, world’s fourth-largest, and has several long‐term gas contracts in place for around 35 bcm per year of deliveries.
The largest source of LNG for the Indian market is Qatar, although its share of the total has declined in recent years as Indian buyers have contracted shipments from a more diverse set of exporters, the report said.
In 2019, these included African exporters Nigeria and Angola, other Middle Eastern countries such as United Arab Emirates and Oman, the United States and Australia.
The range of potential sources of LNG and the increasing flexibility of contractual terms provide some comfort in terms of gas security, although India does face the prospect of a rising bill over time for imported gas, the report said.
India currently imports LNG via six terminals with a combined capacity of 42.5 million tonnes. The busiest facilities are Petronet LNG’s 17.5 mtpa Dahej terminal and Shell’s 5 mtpa Hazira terminal.
The country’s LNG imports are continuing to improve and they increased for the sixth straight month in December but also during the fiscal year.
