LPG supply in India has been affected due to America-Israel and Iran war. The government is taking every possible step to fulfill the needs of the people in the country. Recently the government has requested commercial LPG consumers in big cities and urban areas to switch to PNG. Before this, the Government of India has written a letter to all the states requesting that all the pending permissions for laying pipelines should be approved. New applications should be approved within 24 hours.
After all, why is the government expressing so much confidence in PNG amid LPG shortage? How different is PNG from LPG? Are PNG reserves sufficient in India? How beneficial is it for common consumers? You will also know how much does it cost to lay PNG pipeline and get the connection?
What is the difference between LPG and PNG?
LPG is a liquefied petroleum gas, which comes in cylinders and contains propane or butane, while PNG is piped natural gas, which is supplied to homes through pipelines. It mainly contains methane. LPG is heavy and there is a worry of running out of cylinder. There is also a high risk of fire in this. Whereas PNG remains light and safe. When it leaks, it immediately evaporates into the air. Besides, its supply is always on.
Are there sufficient reserves of PNG in India?
India imports 60 percent of its LPG needs, 90 percent of which comes through the Strait of Hormuz. On the other hand, the supply of PNG in India mainly depends on two sources. On domestic production and import of natural gas. Almost half of the country’s needs are met from gas reserves present on land and in the sea, where government companies like ONGC and private companies like Reliance Industries produce gas. At the same time, the remaining requirement is met by the import of LNG, which is imported from abroad, converted into gas and then transported to consumers through pipelines. At present the government says that there are sufficient PNG and LPG reserves for domestic consumers in the country.
Why is the government insisting on shifting to PNG?
The Indian government is encouraging consumers to shift to PNG because it is safer, more convenient and a better fuel for the environment than LPG. PNG is lighter than air, so if it leaks, it spreads quickly and the risk is less. In this, there is continuous supply from the pipeline, due to which there is no problem of running out of cylinder. Apart from this, the bill comes according to the meter, which keeps the expenses under control. PNG causes less pollution and the government wants to strengthen the energy security of the country by increasing it. Apart from this, due to supply through pipeline, there is no risk of black marketing.
How is PNG beneficial compared to LPG?
For domestic consumers, PNG proves to be beneficial in many ways compared to LPG. The biggest advantage is its convenience, because PNG comes directly to the house through pipeline and there is no hassle of running out of cylinder or booking again and again. It is also considered safer, because if leaked, it spreads quickly in the air, whereas LPG can accumulate below and increase the risk. PNG is also better in terms of expenditure, because in this one has to pay according to the meter the amount of gas used. Additionally, PNG causes less pollution, making it a more environmentally friendly option.
PNG Pipeline laying cost
According to the Petroleum Ministry, the estimated cost of laying PNG pipeline can be around ₹1 crore per kilometer of steel pipeline. Apart from this, the cost of MDPE pipeline (plastic pipe) can be around ₹ 0.15 crore (15 lakh) per kilometer. Steel pipelines are expensive, whereas plastic pipelines are quite cheap. However, the actual cost depends on the location, capacity, material and project size. The work of laying gas pipelines is mainly done by gas distributor companies. After laying the pipeline, gas connections are given to each house.
It costs so much to get a connection
According to Indraprastha Gas Limited, a PNG supply company in Delhi, getting a new domestic PNG connection usually costs ₹ 5,000 to ₹ 7,000. This money is a security deposit, which is refundable later, and it covers installation and necessary equipment. If it is difficult to pay the money at once, some companies also offer the option of easy installment (EMI), such as ₹ 100 to ₹ 500 every two months. Apart from this, connection can also be taken by paying a low initial amount and charging about ₹ 1 + GST per day.
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