Maharashtra which is facing one of the biggest power shortages in recent times, a peak shortage of 5,000 MW, is sitting on a generating capacity of 1,450 MW that is lying idle for most of the day despite having the fuel to fire the power station.
Blame it on the missing pipeline for a mere 15 km stretch. The Dabhol power plant, two units of which have been recommissioned, is unable to pump electricity into the power-starved Maharashtra grid simply because imported gas shipped at the western port of Dahej cannot reach Dabhol as the link pipeline to transmit the gas is not in place.
So much so that the first shipment of LNG from Algeria contracted under a short-term agreement for the Dabhol power plant by Petronet LNG is now being diverted to other gas users along the HBJ pipeline simply because it cannot be taken to Dabhol.
Ratnagiri Gas and Power, the new promoters of the Dabhol power plant, are having to instead operate just one unit of 740 MW on naphtha at the peak hours. The pipeline project, scheduled to be completed on March 31, 2007, has hit a new road block with Gujarat raising the issue of discrimination in distribution of power generated from the plant.
The fight between the two states is expected to delay the pipeline project, sources in the government said. Though, the operation of the pipeline is re-scheduled on May 20, sources doubt the completion of the pipeline due to political reasons.
It is understood that a stretch (about 15 km) of pipeline in Surat (Gujarat) could not be completed due to “some local problems”. The Centre is likely “to take up the matter with the government of Gujarat regarding the re-routing of the gas pipeline,” a source said.
The completion of pipeline works in the stretch is perceived to be even more difficult due to reservations expressed by Gujarat chief minister Narendra Modi. In a recent meeting with Planning Commission deputy chairman Montek Singh Ahluwalia, Mr Modi said: “We notice with regret that an attempt is being made to subsidise revival of Dabhol Power Project of Maharashtra at the cost of Gujarat.” “The gas price has increased by 100% for industries and power plants in Gujarat, as a result of gas supply to Dabhol from Gujarat. Instead, a small cess of gas throughout the country could be a better mechanism for revival of Dabhol project,” he suggested.
Blame it on the missing pipeline for a mere 15 km stretch. The Dabhol power plant, two units of which have been recommissioned, is unable to pump electricity into the power-starved Maharashtra grid simply because imported gas shipped at the western port of Dahej cannot reach Dabhol as the link pipeline to transmit the gas is not in place.
So much so that the first shipment of LNG from Algeria contracted under a short-term agreement for the Dabhol power plant by Petronet LNG is now being diverted to other gas users along the HBJ pipeline simply because it cannot be taken to Dabhol.
Ratnagiri Gas and Power, the new promoters of the Dabhol power plant, are having to instead operate just one unit of 740 MW on naphtha at the peak hours. The pipeline project, scheduled to be completed on March 31, 2007, has hit a new road block with Gujarat raising the issue of discrimination in distribution of power generated from the plant.
The fight between the two states is expected to delay the pipeline project, sources in the government said. Though, the operation of the pipeline is re-scheduled on May 20, sources doubt the completion of the pipeline due to political reasons.
It is understood that a stretch (about 15 km) of pipeline in Surat (Gujarat) could not be completed due to “some local problems”. The Centre is likely “to take up the matter with the government of Gujarat regarding the re-routing of the gas pipeline,” a source said.
The completion of pipeline works in the stretch is perceived to be even more difficult due to reservations expressed by Gujarat chief minister Narendra Modi. In a recent meeting with Planning Commission deputy chairman Montek Singh Ahluwalia, Mr Modi said: “We notice with regret that an attempt is being made to subsidise revival of Dabhol Power Project of Maharashtra at the cost of Gujarat.” “The gas price has increased by 100% for industries and power plants in Gujarat, as a result of gas supply to Dabhol from Gujarat. Instead, a small cess of gas throughout the country could be a better mechanism for revival of Dabhol project,” he suggested.
BajaeNergyBLOG
OiL,Baja
eNergy
BLOG
