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Govt asks NTPC to focus less on gas-based projects

Govt asks NTPC to focus less on gas-based projects
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In the context of the severe shortage of natural gas in the country, NTPC has been asked by the union power ministry to focus less on adding gas-based power generation capacity. The state-run power producer has a current gas-based capacity of above 4,000 mw.

The country faces acute shortage of natural gas because of the sharp fall in the production of the fuel from the KG-D6 block of Reliance Industries. Paucity of gas raised doubts over the viability of upcoming gas power plants.

Media reports indicate that NTPC may not be able to commission 4,500 mw capacity in the 12th Plan owing to lack of adequate gas supply.

NTPC has already reduced its targeted capacity addition in 2012-17 by around 15,000 mw from the original target of 25,000 mw capacity because of shortage of fuel like coal and natural gas.

While the company added 4,160 mw capacity in 2012-13, it aims to add only 1,800 mw capacity in the current financial year.

In order to run its existing gas-based power plants, the firm needs at least 17 million standard cubic metre per day (mmscmd) of gas. However, only 50 per cent of this is being met through the nominated fields of state-run ONGC and Oil India (OIL).

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