India to attract 6 lakh cr investment in the gas sector
12 August 2019
India's oil and steel minister Dharmendra Pradhan said that the country is expected to witness more than Rs 6 lakh crore worth of investment in its natural gas sector over the next 8 years. He was speaking at the Bloomberg New Energy Finance (BNEF) summit here.
While replying to a question on whether the government’s ambition to increase the share of natural gas in the overall energy basket will lead to increased reliance on LNG imports, Pradhan said: “As the natural gas market matures we expect prices to go down. We are not exactly worried about LNG imports because our policies are aligned toward augmenting domestic natural gas production and investing in other complementary technologies like Coal Bed Methane, Bio-gas, etc."
He added that it is the right time to think of options like blending electricity generated from gas power plants with renewable energy as a means to further aid the process of emission reduction. "This option has the merits of balancing the grid and optimum utilization of the transmission infrastructure by complementing the un-certain nature of renewable energy generation with gas-based power. This will also aid in optimum utilization of our gas power plants," Pradhan said.
The minister said the country, in order to meet its energy demand, will continue to rely on traditional energy from coal-fired plants and oil and gas besides focussing on new cleaner technologies.
Talking about the state of natural gas infrastructure in the country, Pradhan said the recently concluded City Gas Distribution (CGD) rounds would attract close to Rs 1.20 lakh crore of investments across the country.
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