A merger for a better tomorrow

In an attempt to reduce prices for re-gasified liquefied natural gas (R-LNG) users and encourage its use, the Ministry of Petroleum and Natural Gas has come up with a proposal. The proposal aims at pooling in together domestic and imported gas for the non-priority sector.

According to a senior petroleum ministry official “We are looking into a possibility of pooling re-gasified liquefied natural gas (R-LNG) with domestic natural gas. This would lead to a reduction in prices for them (the intended users) and would encourage them to use more R-LNG,”

The government is processing the proposal to provide pooled gas to stranded power plants. The objective of the proposal will be to increase the productivity of the plants. The power generation capacity of the plants is 16,374 Mw; but because of the gas shortage at 72 mscmd, the plants are operating at a 24% load.

With the introduction of the new policy it is believed that consumers would be encouraged to use natural gas with it’s cheaper price and vast reach.


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