+
Government Initiatives to Boost Gas-Based Power Generation
POWER & RENEWABLE ENERGY

Government Initiatives to Boost Gas-Based Power Generation

The Government of India is actively promoting gas-based power generation to improve energy efficiency and sustainability. Currently, gas-based power plants operate at a low Plant Load Factor (PLF), affecting their viability. To address this, the government has introduced policy measures aimed at increasing the availability and affordability of natural gas for power generation.

Key Policy Interventions Open General License (OGL) for LNG Imports

Liquefied Natural Gas (LNG) has been placed under the Open General License (OGL) category. Power plants can now import LNG on mutually agreed commercial terms with suppliers, ensuring flexibility and competitive pricing. During April 2024 – January 2025, power plants in India imported approximately 9.58 MMSCMD of natural gas. Competitive Power Procurement During Peak Demand

The government has periodically launched schemes to facilitate competitive procurement of power from gas-based plants, ensuring grid stability during peak demand periods. Expanding Natural Gas Infrastructure To increase the share of natural gas in India's energy mix, the government has undertaken several infrastructure and policy initiatives, including:

Expansion of the National Gas Grid Pipeline to enhance connectivity. Expansion of the City Gas Distribution (CGD) network to increase access to natural gas. Development of Liquefied Natural Gas (LNG) terminals to support growing demand. Prioritised allocation of domestic gas to CNG (Transport) and PNG (Domestic) sectors. Marketing and pricing freedom (with a ceiling price) for gas from high-pressure, deep-water, and ultra-deep-water reserves. Promotion of Bio-CNG under the Sustainable Alternative Towards Affordable Transportation (SATAT) initiative. Government’s Commitment to a Cleaner Energy Mix The Minister of State for Petroleum and Natural Gas, Shri Suresh Gopi, provided this update in a written reply in the Rajya Sabha, reinforcing the government’s focus on enhancing gas-based power generation as part of India’s energy transition strategy.

The Government of India is actively promoting gas-based power generation to improve energy efficiency and sustainability. Currently, gas-based power plants operate at a low Plant Load Factor (PLF), affecting their viability. To address this, the government has introduced policy measures aimed at increasing the availability and affordability of natural gas for power generation. Key Policy Interventions Open General License (OGL) for LNG Imports Liquefied Natural Gas (LNG) has been placed under the Open General License (OGL) category. Power plants can now import LNG on mutually agreed commercial terms with suppliers, ensuring flexibility and competitive pricing. During April 2024 – January 2025, power plants in India imported approximately 9.58 MMSCMD of natural gas. Competitive Power Procurement During Peak Demand The government has periodically launched schemes to facilitate competitive procurement of power from gas-based plants, ensuring grid stability during peak demand periods. Expanding Natural Gas Infrastructure To increase the share of natural gas in India's energy mix, the government has undertaken several infrastructure and policy initiatives, including: Expansion of the National Gas Grid Pipeline to enhance connectivity. Expansion of the City Gas Distribution (CGD) network to increase access to natural gas. Development of Liquefied Natural Gas (LNG) terminals to support growing demand. Prioritised allocation of domestic gas to CNG (Transport) and PNG (Domestic) sectors. Marketing and pricing freedom (with a ceiling price) for gas from high-pressure, deep-water, and ultra-deep-water reserves. Promotion of Bio-CNG under the Sustainable Alternative Towards Affordable Transportation (SATAT) initiative. Government’s Commitment to a Cleaner Energy Mix The Minister of State for Petroleum and Natural Gas, Shri Suresh Gopi, provided this update in a written reply in the Rajya Sabha, reinforcing the government’s focus on enhancing gas-based power generation as part of India’s energy transition strategy.

Related Stories

Gold Stories

Next Story
Infrastructure Urban

Hexalog Appoints Vishal Shukla as Chief Transformation Officer

Hexalog, a cross-border supply chain and logistics company, has appointed Vishal Shukla as Chief Transformation Officer (CTO) to lead its operational transformation, technology adoption and expansion into new international markets.In his new role, Shukla will oversee the company's transformation strategy across operations, technology, product development and business expansion. His responsibilities include standardising processes, developing scalable operating models, strengthening existing trade corridors and introducing new fulfilment solutions for cross-border businesses.Shukla brings nearl..

Next Story
Real Estate

Dhuleva Group Awards 80-Storey Tower Contract to Eversendai

Dhuleva Group has awarded the core and shell structural construction contract for Dhuleva One50, an upcoming 80-storey ultra-luxury residential tower in South Mumbai, to Malaysia-based engineering and construction company Eversendai.Located near the Babulnath district, the development is planned as a high-rise residential landmark offering panoramic views of the Arabian Sea and Mumbai's skyline. The project will combine contemporary architecture with advanced engineering and premium residential facilities.Eversendai will undertake the structural construction works, drawing on its experience in..

Next Story
Building Material

Nuvoco Marks 10 Years, Targets 35 MMTPA Capacity by FY28

Nuvoco Vistas Corporation Limited is celebrating a decade of operations under the theme ‘Dus Saal Bemisaal’, highlighting its expansion in India's building materials sector. The company has grown from a single cement manufacturing facility into a diversified organisation operating across cement, ready-mix concrete (RMC) and modern building materials.The company's journey began in 2014 when its parent, Nirma Group, commissioned a 2 million metric tonnes per annum (MMTPA) greenfield cement plant at Nimbol, Rajasthan. A major milestone followed in October 2016 with the acquisition of Lafarge ..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

SPECIAL OFFER
QR Code