There is a possibility of a big crisis in the world due to America-Iran war. This crisis is gas. The noise of LPG has been heard and seen in India also. But apart from this gas which fulfills the kitchen needs of every household, there is also a possibility of gas crisis. If this war does not end soon, many sectors running on different types of gas are going to be affected. It can be said that even breathing will become difficult. Patients may suffer in hospitals. Investigations may be affected. From fertilizers to electricity, industrial production and many other sectors can be affected.
In simple words, considering the global gas crisis as only LPG crisis would be considered incomplete. In India, gases like natural gas, oxygen, nitrogen, CO₂, argon, hydrogen and especially helium are the basis of many essential services and industries. In a crisis situation, the impact comes first in prices, then in availability and finally reaches the common man in the form of inflation, delays in services, and pressure on life-support systems.
Come, let us understand where and in which areas apart from the kitchen, gas is being used? If the crisis increases, how is it going to affect our lives?
Transportation and everyday movement
CNG is used in transport. It is being used in taxis, autos, buses, commercial vehicles as well as private vehicles. There are also clouds of crisis over its supply. This may cause shortage of gas. Inflation may increase. There may be pressure on the distribution network. If this happens, the life of the common man is sure to be affected. Public transport fares may increase. Due to cost of delivery and logistics, prices of vegetables, milk and everyday items may increase. Crowding and uncertainty may increase at CNG stations in some places.
CNG is used in auto rickshaws.
Power Generation and Energy Security
This is a very important sector of the country. Natural gas is used here. Gas based power plants, support in peak demand, some industrial plants are also dependent on this gas. Global gas prices may increase. Supply cuts are possible. There may also be shipping and terminal obstacles. If this happens, power production may become expensive. Power cuts or load-management pressure may increase in some areas. The costs of industries will increase, which is sure to impact consumer prices in the future.
Natural gas is also used in power generation plants.
Fertilizer and farming are also not untouched
There is significant consumption of natural gas in this sector also. It is being used on a large scale in the production of urea and other fertilizers. If gas becomes expensive or supply is affected, it cannot be ruled out that production costs will increase. Production may also decrease. If this happens, it will directly affect the farmers. The cost of farming may increase. If the supply of fertilizer becomes uncertain, farming can be negatively affected. As a result, there is a possibility of food inflation increasing. This is the widest impact area.
Hospital, Emergency Care and Diagnostics
This is a very sensitive sector and also important. We all have faced oxygen crisis during the Corona period. Use of Oxygen (O₂), Nitrogen (N₂) and Helium is mainly seen in this sector. Oxygen is mainly used in ICU, operation, emergency, ambulance etc.
Helium is used in MRI machines.
Nitrogen/Liquid Nitrogen is used to meet the needs of laboratories, cryo-storage, some medical storage etc. Helium has important uses in MRI systems related to magnet cooling and cryogenic needs. Purity is the first condition for medical grade gases. There are limited suppliers. Cylinders, tankers, logistics are also limited. Any kind of mistake in the supply chain has a direct impact on the common man.
Lack of oxygen directly impacts life-saving services. Treatment can be expensive. Some tests and procedures may be delayed. If helium becomes expensive or becomes cheaper, the cost and maintenance pressure of services like MRI may increase. Its effect is less visible from the front but the patient and the family members come into a lot of trouble.
Steel, Metal Fabrication and Construction Works
In this sector mainly gases like Oxygen (O₂), Nitrogen (N₂), LPG etc. are used. These gases are required for cutting, welding, heat treatment, metal processing etc. Its consumption is on a large scale. Supply options are limited. If the supply chain is maintained then it is not even known, otherwise the increase in prices cannot be ruled out. If fabrication becomes expensive, the cost of machinery, auto-parts, construction materials will increase. Small workshops and contractors are the first to be affected. The risk of delay in infrastructure projects increases. All this will definitely affect the common man.
Oxygen (O₂) and nitrogen (N₂) gases are used in steel-metal fabrication.
Food Processing, Packaging and Cold-Chain
In this sector, mainly nitrogen (N₂), carbon dioxide (CO₂), sometimes oxygen and other mixed gases are used. Gas-flushing is done to increase the shelf life of packaged food. In some places there is a tradition of chilling or processing with CO₂. CO₂ is used for carbonation in the beverage industry. Purity and continuous supply of gas is the first condition to maintain the supply chain of this sector. In case of any kind of crisis, packaged food and beverages can become expensive. Availability of some products may be reduced. Due to cold chain becoming expensive, categories like milk, meat, frozen food can be affected.
Refinery, petrochemical and chemical industries
Hydrogen (H₂), natural gas, and nitrogen (N₂) are mainly used in this sector.Hydrogen is needed to improve the quality of fuel and for many chemical processes in refining. Inert atmospheric nitrogen is required for purging, blanketing, and protection. It is necessary for continuous production in this sector. The safety standards are strict. Any kind of disruption in supply means a direct impact on the common man. The cost of fuel and many chemical products may increase. Plants may reduce production due to safety reasons. Its impact extends to input prices of plastics, paints, solvents, detergents, and many other industries.
Helium and nitrogen (N₂) are consumed in semiconductor manufacturing.
Electronics, Semiconductor and High-Tech Manufacturing
This is a high-demand sector. Here mainly Helium, Nitrogen (N₂) etc. are consumed. This gas is the backbone of this sector due to clean processing, some special manufacturing steps, controlled environment etc. This sector needs high quality gas. Its suppliers are limited in the country. Even a minor crisis can affect the supply chain. Production costs may increase and delivery times may be longer. There may be pressure to increase the prices of phones, computers and appliances. This effect appears gradually, but lasts for a long time.
Domestic Kitchens and Small Commercial Kitchens
LPG (Propane/Butane) is being used in this sector and PNG (Natural Gas) is being used in some cities. Cooking in homes, hotels, restaurants, catering, bakeries, small food units have been using LPG or PNG. There is a possibility of crisis on this because there is a hindrance in imports. International prices are continuously increasing. There is a lot of pressure on the local bottling plant and distribution system. Due to expensive LPG cylinder and PNG, the household budget gets spoiled. The price of food increases, especially when eating out. Margin of small food business decreases, work may stop at some places. If there is a return to wood or coal, there is a possibility of increase in pollution and health risks.
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