According to GAIL chairperson Manoj Jain, India is now in discussions with Russia to restore gas shipments under the long-term import agreement between Russian state energy behemoth Gazprom and India’s state-controlled GAIL.
Since May, GAIL, the nation’s main gas distributor and pipeline operator, has been unable to receive the pre-arranged imports and has been obliged to reduce customer deliveries.
He commented on Friday during an annual shareholder meeting, “there are some immediate issues which we are trying to tackle both at the company level and also at G2G [government to government] level.”
Jain emphasized that the Russia and Ukraine war has had an impact on the volumes under the Gazprom arrangement, which make up nearly a fifth of GAIL’s total offshore gas portfolio of 14 million tons per year.
The impact on local supply is decreased to roughly 7-8 percent by the injection of domestic gas, the senior management added, “so, overall it is not affecting us in a significant way. The only affect is to the extent of ten to 15 percent.”