Over the past decade, major energy importers in Southern Asia have abandoned or put on hold between two and three times more liquefied natural gas (LNG) capacity than they successfully completed. According to the authors of the newly released report, this high rate of project failure suggests that ambitious regional plans to expand gas use are facing significant practical and financial hurdles.
The report highlights that “over the last ten years, these countries have shelved or cancelled 2–3 times as much proposed LNG import capacity as they have brought online.” It further details that between 2016 and 2025, Southern Asia saw “87 mtpa” of planned capacity either shelved or cancelled, while only 36 mtpa reached the operational stage.
Essentially, for every terminal built to receive gas shipments, at least two others are scrapped before they can open. These massive construction projects often fall apart because they are incredibly expensive to build and operate, especially when compared to the falling costs of local solar and wind power. Additionally, factors like political instability and a lack of connecting pipelines often stop these developments in their tracks, making it difficult for the region to rely on imported gas for its long-term energy needs.
The briefing ‘Southern Asia’s gas plans may be overblown’ was released by Global Energy Monitor in March 2026. Prepared by authors Robert Rozansky and Julie Joly, the report analyzes how geopolitical shocks and falling renewable costs are undermining ambitious gas infrastructure projects across India, Pakistan, and Bangladesh.
