Press Brief: Incentive Scheme for Promotion of Domestic PNG Connections

The Government of India has approved the Incentive Scheme for Promotion of Domestic PNG Connections, effective from 1 September 2026. The initiative aims to accelerate the expansion of active piped natural gas (PNG) connections and convert unbilled connections into working ones. Currently, there are 1.74 crore Domestic PNG connections across the country. Under the scheme, City Gas Distribution (CGD) entities will receive an additional 200 standard cubic meters (SCM) of domestically-produced, lower-priced APM gas for every incremental billed connection achieved over a threshold level. This allocation substitutes costlier imported LNG for their transport segment, lowering sourcing costs and reducing the capital expenditure payback period for CGD entities.