India is set to increase its strategic energy diversification efforts by planning to source 10% of its total LPG (Liquefied Petroleum Gas) imports from the United States starting in 2026, as announced by Union Minister Hardeep Singh Puri. The move marks a significant shift in India’s long-term energy sourcing strategy, signalling deeper cooperation in the global energy market.
India, one of the world’s largest consumers and importers of LPG, has been focusing on broadening supply channels, strengthening fuel security, and reducing dependence on limited geographic partners. The decision to source a larger share of LPG from the US aligns with India’s broader objective of enhancing fuel stability, affordability, and resilience against global supply fluctuations.
According to official statements, the arrangement is expected to support India’s growing domestic LPG demand, particularly driven by household, rural, commercial, and industrial consumption. India has also witnessed rising usage under national clean-cooking initiatives, which has increased the need for reliable and steady import channels.
The shift comes in the backdrop of evolving geopolitics, global energy price volatility, and the need for predictable trade agreements that foster long-term stability in energy markets. Sourcing from the US could also pave the way for expanded bilateral cooperation in other energy domains such as LNG, crude, renewables, and hydrogen.
Experts believe the decision could help India mitigate supply concentration risks, balance procurement spread across multiple regions, and possibly strengthen bargaining power in future energy contract negotiations. Additionally, this diversification aligns with the government’s larger vision of energy transformation, transition, and secure future-ready supply chains.
More operational details, including pricing frameworks, logistics, shipping arrangements, and contract models, are expected to emerge as implementation timelines move forward.
❓ FREQUENTLY ASKED QUESTIONS (FAQ)
Q1: What percentage of LPG imports will India source from the US in 2026?
India plans to source 10% of its LPG imports from the United States.
Q2: Why is India diversifying LPG import sources?
To strengthen energy security, reduce dependence on limited suppliers, and ensure price and supply stability.
Q3: Who announced the decision?
The update was announced by Union Minister Hardeep Singh Puri.
Q4: When is the new import arrangement expected to begin?
The sourcing is expected to start in 2026.
Q5: How will this impact consumers?
Diversification could improve long-term availability and create a more resilient supply chain for both households and industries.
Published on : 17th November
Published by : SMITA
www.vizzve.com || www.vizzveservices.com
Follow us on social media: Facebook || Linkedin || Instagram
🛡 Powered by Vizzve Financial
RBI-Registered Loan Partner | 10 Lakh+ Customers | ₹600 Cr+ Disbursed
SOURCE CREDIT :Reported by: Pratiksha Thayil