Share of natural gas in Indian fuel basket at 6.5%
The share of natural gas in India’s fuel basket is 6.5 per cent as compared to the world average of
23.8 per cent.
This is according to the Minister of State (Independent Charge) for Petroleum & Natural Gas
Dharmendra Pradhan who referred to the BP Statistical Review of World Energy, June 2015 in a
written reply a question in the Lok Sabha on Monday.
Measures taken
Pradhan also said that in order to increase the share of gas in the fuel basket, several steps have
been taken by the government including approval of Hydrocarbon Exploration and Licensing Policy
as well as approval of a policy to auction 67 discovered small fields belonging earlier to ONGC and Oil
India. “Marketing and pricing freedom for new gas production from deepwater, ultra deepwater and
high pressure-high temperature areas subject to certain condition has been allowed,” the reply
stated.
Pradhan further said that Indraprastha Gas Ltd in collaboration with Ituk Manufacturing India Pvt Ltd
has launched a pilot programme to run two wheelers on CNG, which will also help promote the use
of natural gas a fuel.
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West Bengal government plans for alternative gas line
The state government in a bid to provide cheap and natural gas, decided to create an alternative gas
supply pipeline through 'Greater Calcutta Gas Supply Corporation (GCGSC)' in six districts in and
around Kolkata. In the next three years the state government will build its own pipeline network
through GCGSC and the supplier will be decided on the basis of competitive bidding.
Speaking to the media at Nabanna, chief minister Mamata Banerjee said, "The people of the state
are facing a huge problem in getting a LPG connection. It is expensive and sometimes it is beyond
the reach of the common people. In this condition, the state government has decided to create an
alternative pipeline for supply of gas that will be cheap and environment friendly."
GCGSC that sources 1.80 lakh cubic metre gas from Dankuni Coal Complex of Coal India source has a
customer base of around 12,000 and is supplying. The state gas firm has 458 kilometres long gas
pipeline in the state which Kolkata, both 24 Parganas, Howrah and Hooghly. "The GCGSC was having
some problem with the sourcing of gas and so the state government has started negotiations with
GAIL and H-Energy. We have done a readymade pipeline and the state government will develop the
required infrastructure. The supply will be done by anyone of the company and that will come
through competitive bidding," Banerjee said.
However, the state government is yet to clarify the source of the gas. "There are two companies –
GAIL and H-Energy. GAIL will supply natural gas and H-Energy will supply Liquefied Natural Gas
(LNG). This will be on fixed pipeline and so it will be secure," state finance minister Amit Mitra said.
Bu the minister didn't spell out the source of the gas. In 2011 there was MoU signed by HPCL, GAIL
and GCGSC for the supply of natural gas to Kolkata but that was stalled absence of gas and the
required nod from Petroleum and Natural Gas Regulatory Board (PNGRB), the regulator for
petroleum and natural gas.