Gas Authority Of India Plans Pacts With 16 Power Producers

By BridgeNews Gas Authority of India Ltd. (GAIL) will sign pacts with 16 private power producers in the southern Indian state of Karnataka to supply liquefied natural gas (LNG), a top government aide said this week. Close to 1,000 megawatts (MW) of power is likely to be generated by these producers using LNG supplied by GAIL. Rising naphtha (a fuel used in India) prices could prompt many private power producers in the state to switch to LNG. Some of the private producers likely to opt for LNG include TanirBhavi (220 MW), Atria Power (107 MW), and Bidadi (200 MW). GAIL had recently assured the Karnataka government that it would complete laying a 1,000-km-long pipeline from Kochi to Bangalore via Kasargod and Mangalore by the first quarter of 2004.

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