Piped Gas Project in Bengaluru soon

[Hindustani78]

Piped gas project in B'luru soon
April 5, 2015, Bengaluru, DHNS
Contract awarded to Gail Gas Limited for laying 263-km pipeline

Petroleum Minister Dharmendra Pradhan on Saturday said the proposed City Gas Distribution (CGD) project will soon be launched in Bengaluru to supply piped natural gas (PNG) to all households.

Speaking to reporters, he said talks with the Bruhat Bangalore Mahanagara Palike (BBMP) and the State government on laying the pipelines were in the final stages. Simultaneously, steps are being taken to invite a tender for awarding the pipeline laying work, he added.

The GAIL Gas Limited recently bagged the contract for establishing and maintaining of CGD network covering about 263 km of pipeline in Bengaluru Urban and Rural districts. The contract also includes supply of piped gas to all households.

The company will, in turn, be awarding local contracts to lay pipelines. The company has to cover a minimum of five per cent of the estimated 20 lakh households in five years. Admitting that there had been a delay in implementing the project, the minister said that it would now be taken on a priority basis. “Only 15,000 kms of gas pipeline has been laid since the country secured independence. Prime Minister Narendra Modi has now set a target to the Petroleum Ministry to increase it to 30,000 kms by 2019,” he added.

Pradhan was speaking on the sidelines of a function organised to promote “Give It Up” campaign (giving up LPG subsidy). “The campaign is not intended at cutting down subsidy expenditure. It is about helping the poor. The government will use the money saved under the campaign to improve standard of living of the poor,” he added.

Two lakh people

The campaign has been successful and about two lakh people have already given up the subsidised cylinders in the country. Well-known playback singer Lata Mangeshkar, Bollywood actor Ranbir Kapoor and entire staff of TATA group have given up LPG subsidy, the minister said.

On the occasion, about 50 people, including BJP leaders R Ashoka, Vimala Gowda, Arvind Bellad, Tejaswini Ananthkumar, (wife of Union minister Ananth Kumar) handed over filled-in forms declaring that they will give up the LPG subsidy.

 

[Musalman]

Pradhan was speaking on the sidelines of a function organised to promote “Give It Up” campaign (giving up LPG subsidy). “The campaign is not intended at cutting down subsidy expenditure. It is about helping the poor. The government will use the money saved under the campaign to improve standard of living of the poor,” he added.

Two lakh people

The campaign has been successful and about two lakh people have already given up the subsidised cylinders in the country. Well-known playback singer Lata Mangeshkar, Bollywood actor Ranbir Kapoor and entire staff of TATA group have given up LPG subsidy, the minister said.

On the occasion, about 50 people, including BJP leaders R Ashoka, Vimala Gowda, Arvind Bellad, Tejaswini Ananthkumar, (wife of Union minister Ananth Kumar) handed over filled-in forms declaring that they will give up the LPG subsidy.

Interesting and very good idea. We must copy this in Pakistan too for our gas sector.
BTW with so little gas of your own, its not a good idea to give piped gas to your cities. Pakistan (West Pakistan and Bangladesh) made that mistake 50 years back. Now piped gas is in every home in both countries but natural gas which was a very important resource for both the countries is depleting fast.

 

[indo]

We already have piped gas here in Navi Mumbai. Its cheaper, and I think its methane gas instead of the regular LPG.

 

[Musalman]

We already have piped gas here in Navi Mumbai. Its cheaper, and I think its methane gas instead of the regular LPG.

I know that plus u have piped gas in Dehli and Gujrat. As a professional my advise is that its a bad idea You guys should make your LPG system efficient. Anyways up to u guys

 

[indo]

I know that plus u have piped gas in Dehli and Gujrat. As a professional my advise is that its a bad idea You guys should make your LPG system efficient. Anyways up to u guys

Actually LPG used to be a great headache. Acquiring cylinders which would take days to arrive , plus corruption and scarcity. Also there were only certain no. of cylinders allowed per family per year. On the other hand piped gas is uninterrupted , cheap and hassle free. No interaction with PSU's = No problems.

 

[Hindustani78]

Piped natural gas for 5k houses in Hubballi by 2019, says minister
April 6, 2015, Hubballi/Mangaluru, DHNS

At least 5,000 houses in Hubballi-Dharwad will get piped natural gas (PNG) by 2019, according to Union Minister of State for Petroleum and Natural Gas Dharmendra Pradhan.

Speaking after the inauguration of gas flow into the GAIL’s (Gas Authority of India Limited) Hubballi-Dharwad spur-line here on Sunday, the minister said that he would take the responsibility of making sure that at least 5,000 houses get piped gas in two-three years, no matter who gets the bid for the gas supply in the twin-cities. The bid to supply PNG here will be opened on April 24.

The Union government has set itself a target to provide natural gas connection to nearly one crore houses across India by 2019. “Our government aims at providing clean and green energy to the people so that it protects the health of people and also our environment.” He said, the Union government was ready to purchase any quantity of ethanol from sugarcane farmers, including those in Karnataka, at a minimum price of Rs 48 per litre. “This is part of our attempts at encouraging bio-fuel manufacturing in the country,” he said.

Skill centre

Later, in Mangaluru, at the dedication of a Polypropylene unit at the Mangalore Refinery and Petrochemicals Limited (MRPL) 3rd Phase, he said a world class skill development centre will be set up in the coastal city.

“Various departments are formulating their own strategies on skill development. In the hydrocarbon sector alone, 136 skills have been identified. The hydrocarbon presence is huge here with MRPL, ONGC Mangalore Petrochemicals Limited (OMPL), Mangalore Special Economic Zone Limited (SEZ) and Indian Strategic Petroleum Reserves Limited (ISPRL) operating in the region. Looking at the potential in the hydro carbon sector, the MRPL will coordinate with all other departments, the State government and the Centre in setting up the skill development centre. A consultant will be appointed to look into the concerned areas and submit a detailed report on the same,” he said.

Production capacity

MRPL Managing Director H Kumar said that the production capacity of the Polypropylene unit is 4.40 lakh metric tonne per annum and was set up at an estimated cost of Rs 1,803 crore.

The project was delayed for a year owing to the non availability of land. The unit is ready to meet the demand for polypropylene in the whole of South Indian market. The polypropylene will be used as a major raw material for the downstream plastic industry, he said.

 

[janon]

I know that plus u have piped gas in Dehli and Gujrat. As a professional my advise is that its a bad idea You guys should make your LPG system efficient. Anyways up to u guys

Why?

 

[Musalman]

Why?

Natural gas should be Industrial priority and not to be used by the domestic consumers for cooking. For them other alternatives are available , although not very convenient one.

 

[Bang Galore]

Natural gas should be Industrial priority and not to be used by the domestic consumers for cooking. For them other alternatives are available , although not very convenient one.

The government does away with subsidies running into 1000's of crores a year......win-win for everyone.

 

[Hindustani78]

Ministry of Petroleum & Natural Gas
16-November, 2016 16:21 IST
Present pricing mechanism for domestically produced natural gas is formula based

The Minister of State (I/C) for Petroleum & Natural Gas Shri Dharmendra Pradhan informed the Rajya Sabha in a written reply today that the selling price of domestically produced natural gas is determined as per the New Domestic Gas Price Guidelines 2014 issued vide notification dated 25.10.2014. The gas prices presently are USD 2.50 /MMBTU on Gross Calorific Value (GCV) basis for the period 01.10.2016 to 31.03.2017. The production costs of companies vary from field to field depending upon the area, logistics, complexity, onland or offshore etc. ONGC and OIL have not incurred any losses. They have posted profits in their accounts for last several years. Profit after Tax of OIL and ONGC are Rs. 2330.11 Crore and Rs. 16003.6 Crore respectively for 2015-16.

The present pricing mechanism is formula based and has been worked out considering the volumes and prices prevailing at major international markets such as Henry Hub, National Balancing Point, Alberta and Russia. The formula has been finalized considering the requirements of producing and consuming sectors. The Government has provided marketing and pricing freedom with a cap on gas production from difficult areas. In respect of natural gas production, the operating cost for ONGC and OIL for 2015-16 (including statutory levies) is US$ 2.02/mmbtu and US$ 1.53/mmbtu respectively.

Royalty and other statutory levies applicable to Exploration and Production companies including ONGC and OIL are as per the rates specified by the notifications issued by Union Government from time to time.

**********

Ministry of Petroleum & Natural Gas
16-November, 2016 16:24 IST
Report on dispute between ONGC and RIL

The Minister of State (I/C) for Petroleum & Natural Gas Shri Dharmendra Pradhan informed the Rajya Sabha in a written reply today that Justice (Retd.) A.P. Shah Committee has submitted its Report on disptue regarding oil and gas blocks in KG Basin on 28th August, 2016. The Committee had in its Report concluded inter-alia that there has been unjust enrichment to the contractor of the block KG-DWN-98/3 due to production of the migrated gas from ONGC’s blocks KG-DWN-98/2 and Godavari PML. The details of the Report as well as the recommendations of the Committee have also been uploaded on this Ministry’s website.

The Government has accepted the recommendations of the Committee and consequently, it has been decided by the Government to claim restitution from the contractor for the block KG-DWN-98/3 for the unjust benefit received and unfairly retained. A notice in this regard has been issued by the Ministry on 3rd November, 2016. Government through this notice has directed RIL to remit an amount of USD 1,552,071,067 (computed provisionally) being net amount of restitution receivable along with interest upto 31.3.2016 and USD 174,905,120 towards the revised additional cumulative Profit Petroleum receivable upto 31.3.2016 to the Government within 30 days from the date of receipt of the notice.

RIL vide its Notice of Arbitration dated 11.11.2016 has invoked arbitration disputing the claim of the Government of unjust benefit and restitution claimed in the aforesaid Ministry’s notice dated 3.11.2016.

 

[Hindustani78]

Ministry of Petroleum & Natural Gas
21-November, 2016 15:22 IST
Steps being taken to make India a Gas based economy

The Minister of State (I/C) for Petroleum & Natural Gas Shri Dharmendra Pradhan informed the Lok Sabha in a written reply today that natural gas is one of the cleanest and most environment friendly fuels having extremely low Carbon Dioxide emissions compared to other fuels like coal and oil. The Government has taken the following steps to make India a gas based economy:

i. Development of Gas Sources either through Domestic gas Exploration & Production activities or through building up facilities to import natural gas in the form of LNG,

ii. Development of Gas Pipeline Infrastructure and Secondary distribution network.

iii. Development of gas consuming markets like Fertilizer, Power, Transport and Industries etc.

Fertilizer and Power Sectors are the major gas consumers in Indian gas market. They consume about 60% of total gas consumption at country level in FY 2015-16. In order to develop the gas consuming market, Government has implemented Fertilizer Gas Pooling Scheme which has encouraged the utilization of installed Fertilizer Units in the country.

On the Power Sector, Government has come up with a scheme to make operational the stranded gas based power plants on R-LNG. It has helped in reviving Stranded Power plants of around 16,000 MW capacity and saved them from becoming NPA. LNG consumption in Power sector has increased from the level of 3 MMSCMD during April-2015 (prior to Pooling) to a maximum level of 11.47 MMSCMD during March-2016.

Further, the Government has taken several steps to enhance domestic natural gas production through several policy initiatives such as:

(i) Policy to grant relaxation, extension, and clarifications at development and production stage for early monetization of hydrocarbon discoveries

(ii) Marginal Field Policy- Discovered Small Field Policy

(iii) Uniform Licensing Policy-Hydrocarbon Exploration and Licensing Policy

(iv) Policy for Grant of Extension to small and medium sized discovered fields

(v) Policy for Marketing Freedom for Gas Produced from Deepwater and Ultra Deepwater areas etc.; and

(vi) Policy on testing requirements for discoveries made under New Exploration and Licensing Policy (NELP) Blocks.

To incentivize gas production from difficult areas, Government has granted marketing, including pricing, freedom for the gas produced from difficult areas. Marketing freedom has also been provided under Discovered Small Field bidding round as well as under Hydrocarbon Exploration and Licensing Policy (HELP) under which acreages will be provided in future.

The implementation of these policy initiatives and other reform initiatives is expected to enhance domestic natural gas production from the fields.

The Government normally does not provide any financial support for laying pipeline infrastructure. However, Government has taken a decision to provide a capital grant of Rs. 5176 crore (i.e. 40% of the estimated capital cost of Rs.12,940 Crore) to GAIL for development of a 2539 Km long Jagdishpur-Haldia/Bokaro-Dhamra Gas Pipeline (JHBDPL) project to connect Eastern part of the country with National Gas Grid.

During the financial year 2015-2016, the CPSEs have incurred an approximate amount of Rs. 2962 crore on natural gas and other petroleum products pipeline infrastructure development.

 

[AndrewJin]

Natural gas should be Industrial priority and not to be used by the domestic consumers for cooking. For them other alternatives are available , although not very convenient one.

Import from Russia, cheap and clean.

 

[damiendehorn]

Import from Russia, cheap and clean.

Where would they lay the pipes, to get cheap russian gas?

 

[AndrewJin]

Where would they lay the pipes, to get cheap russian gas?

both pipes and ships can do the work

 

[Indus Pakistan]

What's the big deal here? Every city I have gone to in Pakistan has piped gas - including even small towns for decades.