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.

Next Story
Real Estate

Serene, Gardencity to Develop Rs 3 Billion Senior Living Project in Bengaluru

Serene Communities, a leading senior living brand, has partnered with Gardencity Realty to develop a premium senior living community in Budigere, one of Bengaluru’s fastest-growing residential micro-markets. The project will span approximately 300,000 sq ft, with a Gross Development Value of about Rs 3 billion, and will add roughly 250 senior-friendly residences to the city’s growing retirement housing segment.The launch forms part of Serene Communities’ national expansion strategy. The company has 11 new projects under development with a planned investment of Rs 25 billion that will add..

Next Story
Real Estate

Alliance City Developers Marks Major 2025 Milestones in Vile Parle

Alliance City Developers Realtors has announced significant project milestones and expansions in 2025, underscoring what the company terms a transformational year. The developer completed multiple residential projects and launched two premium developments in Vile Parle (East), one of Mumbai’s most sought-after neighbourhoods.During the year, Alliance Legacy in Matunga (East) received its Occupancy Certificate (OC), while Alliance Eternis in Borivali (West) and Alliance Vista in Vile Parle (East) were granted Completion Certificates (CC), marking final project delivery. Alliance Abhimanyu is ..

Next Story
Infrastructure Energy

Moro Hub and PwC Middle East Partner to Accelerate Smart City Solutions

Moro Hub, a subsidiary of Digital DEWA, the digital arm of Dubai Electricity and Water Authority (DEWA), has announced a strategic collaboration with PwC Middle East to advance Smart City, Integrated Command Centre (ICC), Critical Infrastructure Monitoring and Internet of Things (IoT) initiatives across the region. The partnership brings together Moro Hub’s digital infrastructure and IoT capabilities with PwC’s global expertise in digital trust, smart city strategy and cybersecurity to support the UAE’s vision for intelligent and sustainable cities.“Our collaboration with PwC Middle Ea..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Advertisement

Open In App