India's Regas Capacity to Exceed 60mn mt/yr by 2023
As demand for gas grows and domestic output continues to struggle, India’s dependence on imported gas is expected to mean doubling entry capacity for LNG to above 60mn mt/yr in five years.
HK Manchanda, chief general manager (gas), India Oil Corporation told the LNG India Summit November 30 in New Delhi that India's regasification capacity is set to increase from 30mn mt/yr in 2018 to 61.5mn mt/yr in 2023. At present, India has four fully operational LNG receiving terminals, all on the west coast. Petronet LNG operates a 15mn mt/yr terminal at Dahej in the state of Gujarat. It also operates a 5mn mt/yr terminal at Kochi in the southern state of Kerala. Shell operates a 5mn mt/yr terminal at Hazira, also in the state of Gujarat while Gail operates a 5mn mt/yr terminal at Dabhol in the state of Maharashtra. The combined regasification capacity of these four terminals is 30mn mt/yr.
India’s fifth terminal at Mundra, also in Gujarat and operated by GSPC LNG, was inaugurated recently but is yet to get a commissioning cargo. The terminal has a capacity to receive 5mn mt/yr of LNG. Manchanda said the terminal is expected to be commissioned in the first half of 2019. Another terminal that is expected to be commissioned next year is the one being build by Indian Oil Corporation at Ennore in the southern state of Tamil Nadu. Ennore terminal will have a capacity to handle 5mn mt/yr of LNG. H-Energy’s 4mn mt/yr floating terminal at Jaigrah in Maharashtra, which was supposed to be commissioned by end-2018, will now be operational early-2019. Additionally, Petronet is expected to expand the capacity of its Dahej terminal from 15mn mt/yr to 17.5mn mt/yr next year. The three new terminals and an expanded Dahej terminal will add a combined 16.5mn mt/yr regasification capacity next year, taking India’s total capacity to 46.5mn mt/yr by end-2019.
In 2020, Swan Energy’s 5mn mt/yr floating terminal at Jafrabad in Gujarat is likely to come online while in 2022 Adani Group’s 5mn mt/yr Dhamra terminal in the eastern state of Odisha is expected to be commissioned. The year 2023 will likely see commissioning of 5mn mt/yr Chhara terminal in Gujarat being developed by a joint venture of state-owned Hindustan Petroleum and private firm Shapoorji Pallonji.
Of the six new terminals expected to be commissioned till 2023, three will be in the state of Gujarat, which will practically become the LNG hub of the country with a total of five operational terminals. India’s west coast will have a total of eight terminals. Dhamra and Ennore will the only two receiving terminals on India’s east coast.