The Hindu Business Line : Oil PSU officers’ strike: City gas distributors fear supply disruption

Kolkata, Jan. 6 City gas distributors in India fear a drop in supplies beginning from Wednesday due to the indefinite strike call by oil PSU executives.

According to sources, state run gas transporter GAIL (India) Ltd has intimated its customers about the possibility of supply disruption.

Supplies made directly by GAIL to large industrial customers including power plants may also be impacted.

When contacted, a GAIL spokesperson said “as on date we are not expecting any disruption in our services.”

India’s gas market is largely dominated by ONGC and its joint ventures. Out of a total availability of approximately 75 million metric standard cubic metre a day (mmscmd), ONGC and its joint ventures control nearly 65 mmscmd and a lion’s share of this is transported by GAIL.

A case in point is the British Gas operated Panna Mukta Tapti joint venture which processes its 17 mmscmd production at ONGC’s facility and GAIL enjoys the sole marketing rights on the joint venture’s production. Supplies from the joint venture may be hit.

Supplies from some smaller producers like Niko (Hazira field), however, may not be affected.

If the strike prolongs, it may create space for Shell to once again market spot LNG. The company is expected to bring a LNG cargo after a gap of three months at its Hazira terminal next week.

Gujarat being the largest gas market for India may be impacted. According to sources, all the prominent CGD players in the State including Gujarat Gas, GSPC and Adani Energy have alerted their large customers about the possibility of supply disruption.

Related Stories:
IndianOil officers’ indefinite strike
Non-domestic LPG cylinders likely to cost more

More Stories on : Petroleum | Trade & Labour Unions | Channels and Franchises

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page