Reuters: India to Boost LNG Imports to Raise Power Generation

The Indian government said on Wednesday it will boost imports of liquefied natural gas (LNG) to improve electricity generation and revive plants worth billions of dollars to fuel economic expansion.

India's plan to import LNG will boost power supply by 79 billion units valued at about 420 billion rupees ($6.74 billion) and could spur spot prices of the super cooled gas trading at about $7.60 per million British thermal units in Asia LNG-AS.

Nearly a quarter of a century after India embraced economic liberalisation, many businesses still rely on costly back-up generators for round-the-clock power and a third of its 1.2 billion people are still not connected to the grid.

Prime Minister Narendra Modi, elected in May, has made a commitment to bring order to the chaotic power sector and end the chronic blackouts that impede India's economic rise. MORE