What is LNG bunkering in India?

LNG bunkering is the supply of liquefied natural gas as marine fuel to ships at Indian ports. With Shell forecasting 54-68% global LNG demand growth by 2040, Indian ports need specialized terminals to service growing LNG-fueled fleet operations and industrial buyers seeking clean energy alternatives.

How much does it cost to start LNG bunkering in India?

INR 150-250 crore for a single port hub, covering: cryogenic storage tanks (INR 80-100 cr), pipeline infrastructure (INR 30-40 cr), specialized bunker tankers (INR 20-30 cr), land lease/port fees (INR 10-20 cr), and regulatory approvals (INR 5-10 cr).

Is LNG bunkering profitable in India?

Yes. Revenue potential: INR 4-6 crore/year per port from ship bunkering (200 calls × INR 2-3 lakh), plus INR 8-12 crore/year from industrial LNG sales and terminal rentals. Break-even in 8-10 years with 60-70% margins on fuel spreads.

What regulations apply to LNG bunkering in India?

Shipping Act 1958 (cargo handling licenses); Petroleum Rules 2002 (storage permits); IMO SOLAS/MARPOL standards (fuel quality); Port Authority NOCs; Directorate General of Shipping approval; GST 5% on services; Environmental clearance under EIA Notification 2006.

LNG Bunkering Hubs India 2026 — Port Infrastructure Business

AI SummaryLNG bunkering hubs at Indian ports represent a INR 8,500-12,000 crore opportunity by 2030, driven by Shell's forecast of 54-68% global LNG demand growth by 2040. As India transitions to clean shipping fuels and industrial LNG adoption accelerates, ports like Mumbai, Cochin, and Paradip lack adequate bunkering infrastructure. Entrepreneurs with port access, capital (INR 150-250 cr), and energy sector partnerships should establish cryogenic terminals now to capture this emerging maritime energy market.