The government will give firms selling CNG and piped cooking gas top-most priority
Centre to rejig gas allocation
New Delhi: The government is set to allocate domestic natural gas on the priority basis for transport and home use. The government will give firms selling CNG and piped cooking gas top-most priority in the allocation of domestic natural gas.
Domestic natural gas is cheaper than the imported LNG and this move will ensure that people get cheap CNG and PNG. The government is also hoping that this move will help to replace diesel, which causes more pollution with a cleaner fuel CNG in the cities.
Presently city gas distribution (CGD) projects selling CNG to automobiles and piped cooking gas to households are ranked fourth in the list of priority for allocation of gas. It is urea manufacturing fertiliser plants, which currently have the first right over the domestically produced gas, followed by LPG plants and power stations.
According to sources the petroleum and natural gas will be moving the Cabinet to alter this by giving CGD firms top priority, followed by plants providing inputs to strategic sectors of atomic ene-rgy and space research.
After this, a small quantity of up to 1.5 million standard cubic meters per day of gas will be allocated for extraction of higher hydrocarbons like PG and petrochemicals.
( Source : dc correspondent )
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