Demand in Indian city gas sector could double: Petronet LNG
Demand for gas in the Indian city gas distribution (CGD) could double in another five to seven years, Vinod Mishra, director finance, Petronet LNG told the ET Energy Leadership summit on June 18.
According to Mishra, demand for gas in CGD sector could rise to 50-60mn m3/day from about 25mn m3/day at present. “I believe the CGD sector will be the biggest consumer of gas in India in five to seven years,” he added. At present, fertiliser and the power sectors are the two biggest gas consumers with CGD being the third.
Mishra said that expansion of the CGD network will help drive the demand for gas in this sector. According to Mishra, in the next five to seven years, close to 70% of India's population and 53% of its area will be covered by the CGD network.
PNGRB, the downstream regulator, launched its 9th bidding round for the development of city gas networks across India in 2018. This round included 80 geographical areas (GAs) awarded to 19 commercial entities. In addition, during the first quarter of 2019, PNGRB concluded the 10th bidding round and awarded an additional 50 GAs across the country.
The country's petroleum and natural gas minister Dharmendra Pradhan last September said that India is expected to launch the 11th round soon.