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LNG Stations in India: Growth, Policies & Future Outlook

India’s transport sector is at a turning point. With rising fuel costs, environmental concerns, and the government’s strong push towards clean mobility, Liquefied Natural Gas (LNG) has emerged as a promising alternative to diesel for long-haul trucking and buses. Over the last few years, LNG stations in India have slowly expanded, and the momentum is now stronger than ever. From highways to logistics hubs, LNG is gearing up to power the future of commercial mobility.

Current Status of LNG Stations in India

As of September 2025, India has around 29 operational LNG retail stations spread across key highways and industrial corridors. These stations are strategically placed along the Golden Quadrilateral, mining clusters, and major logistics hubs, making LNG accessible to heavy-duty fleets on the move. Both public sector undertakings like Indian Oil, Petronet, and NTPC, along with private players such as Shell, Adani, and Think Gas, are actively driving this expansion.

Backing this network are eight LNG regasification terminals with a combined capacity of nearly 52.7 million metric tonnes per annum (MMTPA). These terminals ensure a steady supply of LNG for transportation and industrial needs. Importantly, India’s west coast states like Gujarat and Maharashtra remain the strongest LNG hubs due to their robust port and pipeline infrastructure, but new projects are rapidly emerging in the southern and eastern regions as well.

Government Push and Policy Support

The Indian government has made it clear that LNG will play a vital role in decarbonising highways and reducing diesel dependency. Policies allowing 100% Foreign Direct Investment (FDI) in LNG infrastructure, updated emission standards, and modernised transport safety norms are already in place.

A landmark plan is underway to set up 1,000 LNG stations across the country within the next three years, requiring an investment of nearly ₹10,000 crore. These stations will be positioned every 300–500 kilometres, ensuring truckers and bus operators have reliable access to fuel no matter where they travel.

Government support is also complemented by public-private partnerships, fleet incentives, and advancements in storage technology. By 2028, India aims to convert at least 10% of long-haul trucks and buses to LNG, a move that will cut emissions significantly while reducing operating costs for transporters.

Future Projections for LNG in India

The future of LNG in India looks very promising. According to industry forecasts, the Indian LNG market is expected to grow from US$15.86 billion in FY2024 to US$26.41 billion by FY2032, registering a CAGR of 6.58%.

Within the next 4–5 years, India is likely to have 300–500 LNG stations, capable of meeting an annual demand of 1.5–2.5 MMTPA from the transport sector alone. By 2030, the share of natural gas in India’s overall energy mix is projected to rise sharply, supported by higher LNG imports and a strong retail distribution network.

Conclusion

The rise of LNG stations in India marks a significant shift in how the country approaches commercial transport. With government backing, strong industry participation, and a clear roadmap for scaling up infrastructure, LNG is set to redefine long-haul trucking and bus operations. Affordable, sustainable, and future-ready, LNG is no longer just an alternative—it is becoming the fuel of choice for India’s highways.