Gujarat Earns Rs 61,813.64 mn From Oil And Gas Royalties

28 Feb 2026 CW Team

The Gujarat government reported that it earned Rs 61,813.64 million (mn) in royalty from crude oil and natural gas production for the financial years 2024-25 and 2025-26 up to 31 December 2025, the state assembly was told. The figure was presented by the Minister of Energy and Petrochemicals in response to a question on sector revenues. The disclosure formed part of routine legislative oversight on sector performance.

Crude oil output in 2024-25 was 5,283,170 tonne (t), while production for 2025-26 up to 31 December 2025 stood at 3,970,837 t, reflecting a reduced extraction in the current year to date. The assembly record indicated that the earlier year had higher crude output compared with the current year to date.

Natural gas production in 2024-25 reached 742,565,338 standard cubic metres and was 531,805,907 standard cubic metres in 2025-26 up to 31 December 2025. The decline in gas volumes mirrored the fall in crude oil output over the comparable periods.

Royalty collections from crude oil amounted to Rs 34,298.3 mn in 2024-25 and Rs 23,495.28 mn in 2025-26 up to 31 December 2025, while natural gas contributed Rs 2,314.29 mn and Rs 1,705.77 mn in the respective periods. The combined receipts of Rs 61,813.64 mn have substantially bolstered the state treasury in the two year span. Officials noted that such receipts support public expenditure priorities and infrastructure investment plans.

Officials framed the receipts as evidence of Gujarat's status as a major energy producing state, with resource extraction making a significant contribution to revenue and broader economic activity. Continued monitoring of output and royalty flows was described as central to fiscal planning and sector policy. Analysts expect continued attention to output trends given their bearing on state finances.

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