Gujarat government preparing new policy for LNG terminals

AHMEDABAD: The government of Gujarat is preparing a new policy for LNG terminals, giving the state the right to reserve up to 30% of the re-gassification capacity and 26% equity for a nominated agency, official sources said.

The state, which consumes a third of natural gas sold in India, is keen to build new terminals with a capacity of over 20 million tonnes a year by 2020. As domestic supply has dropped, consumers in the state are increasingly being forced to depend on imported LNG.

State-run Petronet LNG and Shell-Total JV operate LNG terminals in Gujarat to meet almost a quarter of India's natural gas needs from their facilities that import a total of 14 million tonnes a year.