Failure To Complete The Pipeline Project And Under Capacity Utilization Of The LNG Plant Is Hurting

Failure To Complete The Pipeline Project And Under Capacity Utilization Of The LNG Plant Is Hurting

Kerala Badly

Kerala, for the past few years, had been losing around one lakh metric tonne of liquefied natural gas

(LNG), which would have catered to the energy needs of the state, at a subsidized rate, thanks to the

delay in completing the laying of pipelines by Gas Authority of India Limited (GAIL), a project bogged

down by controversies related to acquisition of land.

The LNG plant at Puthuvype has the the capacity of 5 MMTPA (million metric tonne per annum) but uses

only less than 10 per cent of it. “The centre has earmarked 10 per cent of the natural gas to the state

where the value addition is done. This would have helped us meet energy needs to some extent,“ said a

GAIL official. According to him, the state would have got at least Rs 1,000 crore as VAT every year, had

the full capacity of the plant been utilized.

Land acquisition for the project began in 2007.“There is no need of acquiring land for the project.Rather,

land owners will have to give the right of use (ROU) for laying the pipeline through the property .The

ownership of the land would remain with them,“ said Jiji Thomson, them,“ said Jiji Thomson, former

chief secretary blaming the delay on protests by certain groups in Malappuram and Kozhikode districts.

During the 2007-2015 period, authorities could secure consent only for a length of 17 km from land

owners. “In the next one year period, we took over around 16 km more,“ Jiji Thomson said. Pipes are to

be laid along 503 km in Kerala in two separate alignments -Kochi to Mangalore and Kochi to Palakkad.

“We completed the survey work for the entire alignment except 38 km in Malappuram and 76 km in

Kozhikode district,“ Jiji Thomson said. Once these lines are completed, LNG can be supplied to

Mangaluru and Bengaluru.Until Kanjikode, there is only a single line. The Bangalore line would then take

Palakkad, Coimbatore route to reach the destination.

Energy requirement of industrial units in the state and the transportation sector would be addressed to

certain extent once the laying of pipeline is complete. “In the second phase, we have also plans to lay

pipeline in the southern districts of the state.Once the pipes are laid, we will be able to supply piped

natural gas (PNG) to all the households in the state,“ an official with LNG Petronet said. “The PNG bills

wouldn't exceed Rs 300 a month for a fourmember family ,“ he said. Projects like National Thermal

Power Corporation (NTPC) plant at Kayamkulam and the proposed thermal power plant at Cheemeni in

Kasaragod can be run using the LNG, the official said. The new government, which assumed power in

the state last month has made it clear that it would complete the laying of pipelines in a time-bound

manner. Top officials with the state government and various stakeholders like GAIL and LNG Petronet

are optimistic regarding the project materializing soon.

https://epaperbeta.timesofindia.com/Article.aspx?eid=31811&articlexml=STILL-A- PIPE-DREAM-

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