The Fertiliser Ministry has allowed swapping of natural gas from the KG-D6 reserve being supplied to Rashtriya Chemicals and Fertilizers (RCF) units located in Maharashtra with R-LNG, thereby facilitating an additional supply of 2.2 mmscmd to Andhra Pradesh and Telangana.
With the approval, around 450 MW of power can be generated by independent power producers (IPPs) with Telangana getting a share of 242 MW and Andhra Pradesh 208 MW. The IPPs located in the two States have pipeline connectivity with RGTIL’s East-West pipelines, while currently operational R-LNG terminals are located on the western coast.
“Even though East-West pipeline of RGTIL provides physical connectivity to eastern part but as communicated by RGTIL, it is not possible for R-LNG to flow from western parts of India to AP. Therefore, direct R-LNG supply to customers in AP and Telangana is not possible and can only be achieved through swapping of gas.
GAIL (India) will enter into contractual arrangements with RCF, RGTIL and IPPs located in Andhra Pradesh and Telangana for the supply of R-LNG which “will help in mitigating the power shortage in Telangana benefiting the farmers who have 18.62 lakh pump sets saving rabi crops” and unscheduled power cuts in both States could also be minimised.