Natural Gas, A Future Prospect
Natural gas is the cleanest fossil fuels among the available fossil fuels. It is used as a feedstock in the manufacture of fertilizers, plastics and other commercially important organic chemicals as well as used as a fuel for electricity generation, heating purpose in industrial and commercial units. Natural gas is also used for cooking in domestic households and a transportation fuel for vehicles.
Share of Natural Gas in Indian Energy Basket is only 6%. Only in one Indian State that is Gujarat where Share of Natural Gas uses is 26%. Indian Govt. has plan to increase share of natural gas by 20% by 2030. In future, demand of the natural gas is expected to grow
at a CAGR of 6.8% from 242.6 MMSCMD in 2012-13 to 746 MMSCMD in 2029-30. Major contribution will be from Gas Based Power Generation, Fertilizer, Massive growth in City Gas Distribution sector in all over India.
Investment shall be in Natural Gas Production, Cross Country Pipe lines, LNG Terminals, City Gas Projects, other Gas based industries.
Major uses shall be in Gas Generation & Fertilizer sector. Increased demand in City Gas will a major segment of growth. With supply and price security, CCHP, Industrial, Commercial and domestic shall be the major segments to consume Natural Gas. India like a country where summer season for 10 months, demand of Natural Gas driven Air condition shall be increased.
With increased demand of Natural Gas, there will be Gap between supply and demand. It has estimated that there will be an estimated demand of 746MMSCMD with a Gap of 270 MMSCMD.
Undoubtedly, price of Domestic and Imported Natural Gas has decreased. To survive Natural Gas Business, an optimum price is required that may be domestic Gas or Imported Gas with survival of Cross Country project as well as LN terminal projects.