All Gas Based Power Generation in India

Context

The Central government has recently directed all gas-based power generating stations to operationalise their plants from May 1 to June 30.

About

• The Central Electricity Authority under the Ministry of Power, monitors 62 gas based power stations, with a capacity of 23,845 MW using gas as primary fuel.
• India’s natural fuel demand is expected to rise by 6 percent in 2024 with a rise in consumption in fertiliser units, power generation and business sectors, as per International Energy Agency (IEA).
• India is the 4th largest importer of liquefied natural fuel (LNG).

Significance

• Gas-based power plants provide numerous services, including lower emissions and faster ramp-up time in comparison to coal-based plants. 
• However, the share of gas-based power generation in India’s general power mix remains enormously small as compared to coal and renewable energy sources.

Need for Gas Based Power Generation in India

• Cleaner Energy Source: Gas based power plant emits fewer pollution compared to coal-based power plant, making it a cleaner choice, specially in city areas in which air exceptional is a large challenge.
• Flexibility and Efficiency: Gas- based power plants are exceptionally efficient and offer more operational flexibility as compared to coal- based plants.
• Reduced Dependence on Coal: India closely relies on coal for power generation, but diversifying the energy mix with gas can reduce this dependence, improving energy security and lowering vulnerability to supply disruptions.
• Rapid Deployment: Gas-based power plants will be built quite quickly compared to large-scale coal or nuclear plants.
  • This speedy deployment capability makes them a feasible alternative for meeting short-term increases in energy demand.

Challenges Faced by the Sector

• Import of Natural Gas: India has constrained domestic natural gas reserves, and the bulk of its natural gas intake is met through imports.
  • Despite efforts to explore and make the most domestic reserves, India nonetheless relies heavily on imported natural gas, often from nations like Qatar, Australia, and the US.
• Infrastructure Constraints: The improvement of infrastructure, including pipelines, LNG terminals, and urban fuel distribution networks, is essential for the green transportation and distribution of natural fuel.
  • However, the growth of infrastructure in India has been hampered by elements consisting of land acquisition troubles, regulatory hurdles, and investment constraints.
• Competitive Pricing: Natural gasoline competes with other energy sources which include coal, renewable electricity, and imported liquefied petroleum gas (LPG) in India.
  • The pricing of natural fuel relative to these competing fuels has an effect on its elegance for numerous applications, such as power technology, business use, and transportation.
• Environmental Concerns: While natural gas is considered a cleaner alternative to coal and oil, its extraction, transportation, and combustion still produce greenhouse gas emissions. 
  • Addressing environmental concerns associated with methane leakage, air pollution, and carbon emissions is crucial for the sustainable improvement of the fuel-based energy sector.

Government Initiatives to Increase Gas Based Energy

• Infrastructure Development: An overall of 23,391 km of the natural fuel pipeline is operational and about 4,125 km of the fuel pipeline is under construction as of Feb 2024.
  • Target to increase the pipeline insurance by ~54% to 34,500 km by 2024-25 and to attach all of the states with the trunk natural gas pipeline network by 2027.
• Pradhan Mantri Urja Ganga (PMUG): Launched in 2016, PMUG aims to increase the natural fuel pipeline infrastructure in japanese India, connecting gas assets and foremost call for facilities.
  • The assignment entails the development of a pipeline connecting Uttar Pradesh to West Bengal, passing through Bihar, Jharkhand, and Odisha.
• City Gas Distribution (CGD) Network Expansion: The government has been selling the growth of CGD networks throughout India to increase access to piped natural gas (PNG) for families, industries, and business institutions.
  • Under the CGD bidding rounds, licenses are provided to entities for developing CGD networks in geographical areas recognized with the aid of the Petroleum and Natural Gas Regulatory Board (PNGRB).
• Natural Gas Marketing Reforms: The government has added reforms within the advertising of herbal gas to decorate transparency, promote opposition, and appeal to investment in the area.
• Gas Price Rationalization: Reforms which includes the New Domestic Gas Pricing Guidelines (2014) and the advent of the Hydrocarbon Exploration and Licensing Policy (HELP) have aimed to offer pricing incentives for home fuel producers at the same time as balancing the pursuits of purchasers.
• Natural Gas Infrastructure Development Fund (NGIDF): The government has formed the NGIDF to offer financial aid for the improvement of natural gas infrastructure in India. 
• Promotion of LNG Imports and Terminals: The government has endorsed investment in LNG import terminals to diversify gas supply resources and decorate energy security.

Source: The Indian Express

UPSC Mains Practice Question

Q. India stands a better chance of reaching the destination of a predominantly clean system if it makes all natural gas based power generation as the “next stop” in its energy journey. Discuss. (250 Words)

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