Lok Sabha Question No. 1040 (UNSTARRED), answered on 2018-12-17
Subject: Allocation of Gas
Ministry: PETROLEUM AND NATURAL GAS
Asked by: REKHA ARUN VERMA, LALLU SINGH, KIRIT PREMJIBHAI SOLANKI

## LOK SABHA

## UNSTARRED QUESTION NO. 1040

## TO BE ANSWERED ON 17.12.2018

## Allocation of Gas

## 1040.   SHRIMATI REKHA VERMA: SHRI LALLU SINGH: DR. KIRIT P. SOLANKI:

Will the Minister of PETROLEUM AND NATURAL GAS पेट्रोल ियम और प्राक ृ तिक गैस मंत्री be pleased to state:

(a) whether the government is aware that various gas based power plants and other plants are lying closed due to non-supply of gas from IGL in Uttar Pradesh and if so, the details thereof;

(b) whether the industrial development has been adversely affected due to non-supply of gas by IGL in the State and if so, the details thereof;

(c) whether the State Government and public representatives had requested the Government to lay IGL Gas pipeline in the industrial areas and if so, the details thereof;

(d) whether the Government is likely to accept the request of the State government and if so, the  details  thereof  along  with  the  time  by  which  the  IGL  gas  pipeline  will  be  laid  in  the industrial areas;

(e) whether more than 3000 Mega Watt gas based capacity remain idle/closed in the State of Gujarat due to inadequate availability of gas at affordable rate and if so, the details thereof: and

(f)  whether  the  State  Government  has  requested  either  to  allocate  Administered  Price Mechanism Gas or provide subsidy on available gas in the market and to facilitate the power purchase agreement with Public Sector Undertaking and if so, the details thereof along with the response of the Government in this regard?

## ANSWER

## MINISTER  OF  PETROLEUM  AND  NATURAL  GAS  (SHRI  DHARMENDRA PRADHAN)

(a)  Indraprastha  Gas  Limited  (IGL)  is  presently  operational  in  Geographical  Areas  (GA) comprising of NCT Delhi, Gautam Budh Nagar and Ghaziabad districts in Uttar Pradesh and Rewari  district  in  Haryana.    IGL  is  supplying  Compressed  Natural  Gas  (CNG)  for transportation  and  Piped  Natural  Gas  (PNG)  for  domestic,  commercial  and  industrial purposes in these cities.  At present IGL is not supplying gas to gas based power plants. IGL is supplying gas to 5000 Industrial and Commercial customers.

(b) to (d) In order to cater to the needs of Industrial Customers, IGL has laid a robust pipeline network of over 12,000 kms covering almost all major Industrial Area in its GAs. At present,

IGL is catering to the gas requirement of around 5000 Industrial & Commercial Customers across in  its  GA.  As  per  demand,  IGL  is  expanding  its  pipeline  network  by  providing  last mile connectivity for industrial areas in Gautam Budh Nagar & Ghaziabad. IGL has informed that all the identified areas for industrial connections have been addressed and there are no pending requests to lay gas pipeline in the industrial areas with IGL as on date.

(e)  Domestic natural  gas  is  allocated  as  per  the  prevailing  gas  allocation  policy  depending upon  the  availability  and  balance  demand  is  being  met  through  the  import  of  Liquefied Natural Gas (LNG) which is imported under open general license on the terms and conditions mutually agreed upon between the buyers and sellers. The plant may source natural gas as per its  requirement.  The  power  plants    in  Gujarat,  in  the  period  April  -  October,  2018, produced  8843.50  MUs  of  electricity  and  were  supplied  3.13  MMSCMD  of  domestic gas.

(f) Yes,  Madam.  A  letter  dated  24.01.2017  from  Hon'ble  Minister  of  Agriculture, Energy, Government of Gujarat was received.

Further, all gas based power plants can generate power from gas and sell the same to any discom or any other consumer. Government has also provided Nil Custom duty on Liquefied Natural Gas (LNG) and Natural Gas (NG), when  imported for generation of electrical energy by a generating company as defined in section  2(28) of the Electricity Act,  2003  (36  of  2003)  to  supply  electrical  energy  or  to  engage  in  the  business  of supplying electrical energy to the grid.

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