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Power Min seeks priority status for generation stations in allotment of domestic gas

11 Apr 2013 Evaluate

Seeking top priority status for generation stations in allotment of domestic gas, Power Minister Jyotiraditya Scindia has sought a date for the meeting of the Empowered Group of Ministers’ (EGoM) in this regard. The move is to save more than Rs 1 lakh crore investments from turning sour as 24,000 mw of gas-fired capacity is idling on account of fuel shortage.

On the back of shortage of gas, the gas-based power stations in the country are running at 35% efficiency level as generation utilities manage supplies to keep units running at their minimum operating level. Currently, gas-based fertilizer plants get top most priority in allocation of scarce natural gas followed by LPG-extraction units with gas-based power plants placed third in the priority list.

About 24,000 mw of gas-fired generation capacity is idling due to gas fuel shortage sparked by output from Reliance Industries (RIL) Andhra offshore field falling to 17 mcmd (million cubic metres a day) from 60 mcmd. In addition, around 9000 MW of gas-fired plants are stranded due to lack of gas and are likely to become non-performing assets.

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