+
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
Infrastructure Urban

Revolt Motors Unveils ‘Azadi From Petrol’ Offer

To mark India’s 78th Independence Day, Revolt Motors, the country’s leading electric motorcycle brand, has introduced its special “Azadi From Petrol” offer, encouraging riders to break free from rising fuel costs and embrace smarter, sustainable mobility.Under this limited-period scheme, customers purchasing any Revolt electric motorcycle can enjoy benefits worth up to Rs 20 million. The package includes zero insurance fees, providing free coverage valued at up to Rs 7 million, along with cash savings of up to Rs 13 million.The initiative highlights Revolt’s mission to make electric ..

Next Story
Infrastructure Energy

Inox Green Signs 182 MW Wind O&M Deal

Inox Green Energy Services Ltd., one of India’s leading renewable energy operations and maintenance (O&M) providers, has signed an agreement with a major diversified Indian conglomerate for the comprehensive O&M of 182 MW of operational wind projects under its renewable energy division.Located across multiple sites in Western India, these projects are integrated with common infrastructure owned by Inox Green. The deal includes converting 82 MW of wind projects from limited-scope to comprehensive O&M, as well as renewing comprehensive O&M for another 100 MW well ahead of sched..

Next Story
Infrastructure Urban

MPL Q1 Profit Rises to Rs 144 Million

Manali Petrochemicals Limited (MPL), a leading petrochemical manufacturer and part of AM International, Singapore, has reported its unaudited consolidated financial results for the quarter ended 30 June 2025.The company posted a consolidated total income of Rs 2.43 billion for the quarter, up from Rs 2.38 billion in the preceding quarter ended 31 March 2025. Profit Before Tax (PBT) stood at Rs 200 million, compared to Rs 159 million in the previous quarter, while Profit After Tax (PAT) rose to Rs 144 million from Rs 108 million. For the full year ended 31 March 2025, MPL recorded a total incom..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Talk to us?