India: An Emerging LNG Market

Abstract

In the era of economic modernization, India has emerged as central economic and trading zone in
emerging Asian market focusing on logical choices to accelerate its economic performance. Private sector
involvement in power and fertilizer sector and rationalization of prices have increased demand of natural
gas manifolds and made us to look for efficient energy management system. Paltry domestic output of
natural gas mandates that India must import natural gas to meet it expected explosive growth in demand
for the fuel. Pipeline imports might seem a logical choice, but historic proposals of IPI and other subsea
pipelines proved it to be a problematic alternative. Considering the scope of India’s expected demand
growth, impressive technological enhancement and malevolent political relations with neighbors, India
has no better option than LNG for sourcing Natural gas. India has settled on a comprehensive program
of establishing LNG terminals around the country and expanding its domestic gas pipeline infrastructure
to deliver that re-gasified LNG to market. To give a big boost to natural gas in India and deal with energy
diplomacy, current government is really working hard to develop strong and long term strategic relationships
with resource rich countries and bridge the demand-supply gap.