Gas supply cut hits power units

Despite huge sums of money pumped across the state into the newly set-up gas-based power plants, estimated to generate 4,000MW, the future of these plants is in a jeopardy.

As the Centre has already announced a reduction in gas supply, officials indicate that these huge plants will remain mere structures. The huge installed capacity of gas power as well as the gas allocation problem has added to the woes of a state squarely dependent on its gas-based capacity, which is unlikely to bear fruit.

While the ministry of power has rolled back gas allocations to the state, which already has 3,500MW of gas-based installed capacity lying idle, an estimated 2,000MW capacity being developed by private operators will be added over the next three months. Private projects estimated to generate 2000MW capa-city by Lanco, Reliance and GMR, which are ready for commissioning and can start producing power within a week, are among the plants lying idle due to the unavailability of gas.

Officials say that projects could make progress if private developers tie up or import gas and coal, but that is a distant possibility.

Meanwhile, the state is set to lose 15 mmscmd of natural gas supply due to the power ministry’s rollback of 15 mmscmd of natural gas supply from April.

As per the order, there will be no further gas for any project from the next year on.

Over and above the existing capacity, investment commitments worth Rs 50,000 crore were made at the recently held CII Investment Summit in the state.

A senior official at the Department of Energy explained: “It is now up to the developers who have expressed interest in setting up power units to ensure that they can tie up gas and coal supplies from within the country or import it.”

The official admitted: “In the absence of any gas the plants which are already existing cannot be put to any use now.”

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