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India closes auction for imported gas supply to power plants

Indian largest thermal power generation company NTPC has won a new auction programme organised by the Indian government for the supply of 1.1 mcm/d of imported gas to the power sector. Four power generation companies had qualified to bid, in an attempt to secure gas supply for under-utilised gas-fired power plants (low utilisation rate due to domestic gas scarcity): NTPC which sought gas supply for its Kawas, Gadhar, Dadri and Auraiya power plants (total capacity of 2,087 MW), Torrent Power (1,147 MW Sugen power plant), CLP (655 MW Peguthan power plant) and Gujarat State Electricity Corp (156 MW Hazira and 106 MW Dhuvaran project). NTPC submitted the lowest bid; the other three bidders will get the first right over the gas.

Overall 31 gas-fired power plants with a combined capacity of 14.3 GW are running at sub-optimal capacity due to gas supply difficulties; they can bid for support from the the Power System Development Fund (PSDF) for generating 30% of their load factor, using imported LNG.

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