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Guidelines on city gas distribution network soon: PNGRB

Last Updated: Saturday, December 8, 2012 - 22:27

Hyderabad: Petroleum and Natural Gas Regulatory Board (PNGRB) will soon come out with guidelines for setting up city gas distribution (CGD) network across the country.

S Krishnan, PNGRB Chairman, on Saturday said the guidelines are expected to be ready in 12 weeks after which opinion from public and other stakeholders will be invited. After this, the final norms will be issued by PNGRB.

"The guidelines for bidding for city gas distribution will be ready in another 12 weeks' time and then we will invite public comments and opinion on them," he told reporters on the sidelines of a seminar on natural gas here.

However, the guidelines alone will not help in smooth functioning of the project and the issue of gas availability from various sources needs to be addressed, he said.

Earlier, addressing the seminar, Krishnan said the challenge before the country is to bring natural gas share in total energy basket to 25 percent from present 10 percent.

The natural gas situation is expected to improve in the next 3-4 years as additional infrastructure is being created to import liquefied natural gas, he said.

The PNGRB chief was of the view that since more and more fertiliser plants are coming-up, the demand for natural gas is bound to increase. "It is important to explore new areas of gas availability and in this context the shale gas in USA is something which we are looking for," he said.

GAIL (India) Ltd Director (Business Development) S Venkatraman, who also participated in the seminar, said the PSU is setting up a 3.5 million tonne floating terminal off the Andhra Pradesh coast.

Panabaka Lakshmi, Union Minister of State for Petroleum and Natural Gas, in her inaugural address, said the natural gas production in Andhra Pradesh is about 3.7 million metric standard cubic metres per day (MMSCMD), which is about 3 percent of India's total output of 118 MMSCMD.

The majority of crude oil and natural gas production is from offshore areas. By end of 12th Five-Year Plan (2012- 17), about 25 MMSCMD natural gas is expected from the Krishna Godavari basin, she said.


First Published: Saturday, December 8, 2012 - 22:27
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