'Centre not providing enough gas to Guj for power production'

Guj energy minister: Centre is making it compulsory for Gujarat to import gas at a high rate

PTI | July 14, 2011



Gujarat energy minister Saurabh Patel today alleged that the Centre was not giving the state the required quantity of gas for power generation and instead was providing it to private companies.

Taking part in a conference of the state's energy ministers in Delhi today, Patel said the Centre is making it compulsory for Gujarat to import gas at a high rate of USD 14 per mmbtu. This has resulted into a higher cost of gas, a press release issued here said.

Patel elaborated on how Gujarat government has split up its loss-making Vadodara-based erstwhile Gujarat electricity board into four divisions and transformed it into a Rs 550- crore profit-making company.

Even the Power Finance Corporation, that has surveyed about 40 power supplying companies of the nation, has acknowledged the financial soundness of the power distribution network of Gujarat, Patel said adding that the Centre is somehow hurdling the progress of the power sector of Gujarat.

The Minister said Gujarat has initiated harnessing the solar, thermal, hydro, gas and nuclear energies in power production for the first time and is topping in the country in power production and distribution.

He observed that Gujarat government's initiative can also serve as a model for other states.






 

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