 In 2012-13, India consumed 15.744 million tons petrol and 69.179 million tons diesel which are mainly produced from imported crude oil at huge foreign exchange out go.Use of natural gas for heating, cooking and electricity generation is not economical as more and more locally produced natural gas will be converted into LNG for use in transport sector to reduce crude oil imports.In addition to the conventional natural gas production, coal gasification, coal bed methane, coal mine methane and Biogas digesters / Renewable natural gas will also become source of LNG forming decentralised base for production of LNG to cater to the widely distributed demand.