GAIL to tap spot LNG markets to meet surge in power demand

NEW DELHI, Sept. 7 -- GAIL (India) Ltd will tap spot liquefied natural gas (LNG) markets to address surging power demand, an executive at the state-run company said on Thursday, as the Indian government calls for more supplies to address an electricity crunch. Much of India's domestic gas supply is already committed, Sanjay Kumar, marketing director at India's top distributor of natural gas, said on the sidelines of the Gastech conference. "So if there is actually demand, we will buy," Kumar said, declining to comment on volumes. "We have been servicing the demand for the last one month also. Demand is already there," he said. Over half of India's roughly 25 gigawatts (GW) of gas-fired power capacity is non-operational because of relatively high LNG prices. The share of gas-fired power in overall output has fallen from an average of over 3% in the last decade to less than 2% currently because of the high prices. Published by HT Digital Content Services with permission from News Point. For any query with respect to this article or any other content requirement, please contact Editor at contentservices@htlive.com