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GAIL Gas Supply Stopped, Yelahanka Power Plant Near Bengaluru Forced to Stop

Karnataka's power system has lost an important backup source after natural gas supply to the State's only gas-based power station at Yelahanka was stopped, raising concerns about electricity supply during peak demand periods.

Officials from the Karnataka Energy Department said the 370-megawatt Yelahanka gas power plant, operated by Karnataka Power Corporation Limited (KPCL), had to halt generation from the morning of March 12 after the Central Government revised the priority order for natural gas allocation during the current supply shortage.

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Karnataka's Yelahanka gas power plant stopped generation on March 12 after a Central Government order under the Natural Gas (Supply Regulation) Order, 2026, revised gas allocation priorities, favouring essential sectors over power generation and impacting a key backup source for Bengaluru.
Gas Shortage Forces Yelahanka Power Plant to Stop Karnataka Warns of Possible Electricity Disruption

Why Gas Supply to the Plant Was Stopped

The decision follows a notification issued under the Natural Gas (Supply Regulation) Order, 2026, which reorganises how limited domestic natural gas is distributed among different sectors.

Under the revised system, essential sectors receive priority access to gas supplies. These include domestic piped natural gas connections, LPG production, transport CNG networks and pipeline operations. Fertiliser plants receive the next level of supply, followed by industrial and commercial users.

Power generation has been placed at the lowest priority, meaning gas-based power plants will receive fuel only if surplus supplies remain after higher-priority sectors are served.

Energy Department officials said this change has resulted in complete stoppage of gas supply to the Yelahanka plant, leaving the facility unable to operate for now.

Why the Yelahanka Plant Matters

Although Karnataka has multiple sources of electricity, the Yelahanka station plays a special role in the grid. Gas-based plants can start and stop quickly, making them useful during peak demand hours or when renewable sources like solar and wind fluctuate.

The plant mainly supports Bengaluru's electricity network, providing additional supply during periods of high consumption.

Officials noted that the unit had been running continuously since December 2025 to support the State's power requirements.

How Karnataka Is Meeting Electricity Demand

Karnataka currently consumes around 355 million units of electricity every day. Even without the Yelahanka plant, the State is meeting this demand using a mix of sources, including:

Coal-based thermal power stations

Hydroelectric projects

Solar and wind energy generation

Electricity purchases from the central grid

Energy Department sources said Karnataka is also procuring power through exchange arrangements with states such as Punjab, Uttar Pradesh and Haryana to maintain grid stability.

Global Energy Situation Behind the Gas Shortage

The tightening natural gas supply is linked to wider disruptions in global energy markets. Ongoing geopolitical tensions in West Asia have affected oil and gas flows, forcing governments to prioritise critical sectors in fuel allocation.

Because of this, gas-based power plants across the country are facing the risk of reduced or suspended fuel supply.

Could There Be Power Cuts?

Officials say electricity supply in Karnataka remains stable for now because other generation sources are compensating for the loss of the Yelahanka unit.

However, energy experts say gas-based plants act as important "peaking stations" that help balance sudden demand spikes in large cities like Bengaluru.

If the gas shortage continues for an extended period and demand rises further, authorities say short-term supply pressure or localised adjustments in distribution cannot be completely ruled out.

For now, the Energy Department says it is closely monitoring the situation while coordinating with central agencies and power utilities to ensure that Karnataka's electricity supply remains steady despite the fuel shortage.

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