Gas the go for Gujarat

A group of gas distribution and allied companies - the Federation of Gujarat Industries and Bangalore-based Onsite Power - are exploring the feasibility of natural gas as alternative power generator in the Indian state of Gujarat.

Recent changes in the Electricity Act (2003) and the advent of natural gas at various sites in India have given a boost to the alternative 'on-site power' and 'cogen concepts' to eliminate cost of transmission, avoid power theft and to ensure better fuel efficiency whilst simultaneously producing electric and thermal energy.

The group's study has revealed that by 2020, India will generate about 22%-25% of its total power using natural gas and that fuel requirements for the ongoing national gas grid project - upon its completion - will be facilitated by the 25-year contract with a Qatar-based company.

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