New Delhi: The Central government has invoked the Essential Commodities Act to prioritise the supply of piped natural gas for households and LPG and CNG for transport, addressing disruptions caused by the ongoing Middle East war.
The Center has assessed that the ongoing conflict in the Middle East has resulted in the disruption of liquefied natural gas shipments through the Strait of Hormuz, and suppliers have invoked force majeure clauses, which would entail the diversion of natural gas to priority sectors, the order states.
The order states that priority allocation shall be maintained, subject to operational availability, to 100 per cent of their average past six-month average gas consumption for the supply of natural gas for domestic piped natural gas supply, compressed natural gas for transport, and LPG production, including LPG shrinkage requirements as well as pipeline compressor fuel and other essential pipeline operational requirements. This has been listed as a priority in Sector 1.
The Center has directed refineries and petrochemical units to maximise the production of liquefied petroleum gas (LPG) and divert key hydrocarbon streams to the LPG pool.
The supply of natural gas to the fertiliser plants, which is listed as priority sector 2, shall ensure 70 per cent. of their past six month average gas consumption, subject to operational availability. The order also states that these units shall not use the gas supply for any other purpose except in the production of fertilizers and a certificate to this effect shall be furnished to the Petroleum Planning and Analysis Cell (hereinafter referred to as the “PPAC”) through the Ministry of Fertiliser, the order states.
The gas marketing entities will also ensure that gas supply to tea industries, manufacturing and other industrial consumers, listed as priority sector 1, are supplied through the national gas grid and maintained at 80 per cent of their past six-month average gas consumption, subject to operational availability.
Further, City Gas Distribution (CGD) entities shall ensure that industrial and commercial consumers supplied through their networks receive 80 per cent of their past six-month average gas consumption, subject to operational availability, the order added.
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Photo Source: IANS
–IANS
