In poll-bound Chhattisgarh, women stick to chulhas despite LPG scheme

Vimla Nishad bends on her small chulha and tries to light a fire. Her two-room house fills up with smoke and her two-year-old son starts coughing. The firewood is damp as it has been raining the whole day so it is taking longer to light up. She looks around nervously as it is 8 pm and she has to get the dinner going. Sitting in one corner of her bare kitchen is her LPG cylinder – empty. Vimla, a resident of Lahanga village in Durg district, is a beneficiary of Pradhan Mantri Ujjwala Yojana, a flagship programme of Modi government which provides clean cooking fuel to below poverty line (BPL) urban and rural households. The scheme was rolled out on May 1, 2016 in Balia in Uttar Pradesh with an aim to replace unclean cooking fuels with LPG. On the ground, it is a different story. ET travelled through election-bound Chhattisgarh to find women have still not given up traditional fuels like firewood and dung cakes and still cook on their earthen chulhas. With meagre incomes villagers find refills expensive and claim they are often short-changed by LPG dealers. A NEW WAY OF LIFE For new users in villages, LPG cylinders have not become a way of life. Vimla’s mother-in-law Uttara lives close to her home. “I got the cylinder in a camp in May,” says Uttara showing her gas stove. She, however, does not know how to use it. “I still use my chulha. My daughter uses it.” Her daughter Sulochana is the only earning member of the family. She works as a casual labourer in a farm. “My mother has never seen the cylinder and she is so old it is difficult to ask her to switch now,” says Sulochana. While she is away at work, Uttara cooks on the chulha. The evening meal is cooked on the gas stove by Sulochana. For several other women, switching completely over to LPG cylinder is not even an option. Kaushalya Narang of Bhatgaon village in Raipur district has 11 children. “It is a struggle to cook just on the gas. I have a large family so I cook on the gas and my chulha,” she says showing her chulha, which has blackened an entire wall of her kitchen. When you point that it is not safe to have a chulha near the gas stove, she shrugs it off and says, “Try cooking for 11 children and a husband in the morning. This is not even a thought.” She puts her rice on the chulha and dal and sabzi on the gas stove. ECONOMICS OF UJJWALA More than the habit, it is the economics that deters women from switching over to LPG. Vimla’s LPG cylinder ran out two months back. “My husband is a casual labourer. A refill is too expensive at Rs 800-900. It is cheaper for me to go for firewood nearby and light a fire,” she says. Har Bai Patle of Kewtara village in Bilaspur district explains the economics. “The first cylinder is for free. It lasts upto 2 months and then we have to go for refill, which is Rs 850-900 now. We are agricultural labourers. So at one time we do not have this kind of money to spare. Even then, it is more expensive than the uplas (cow dung cakes). We can make these at home or even buy for Rs 600 a supply for 3-3.5 months. How is it even comparable?” asks Patle. It is this logic which is behind gas cylinders and stoves lying unused in corners of rural households in the state. Villagers also complain of being short-changed by the new initiative. Manisha, another resident of Kewtara village, says even refills are not done completely. “When we go, they charge us the full amount but don’t fill the cylinder completely. We realise it now since the first cylinder lasted us 2 months but the refill finished in just a month,” she said. When contacted, a spokesperson of ministry of petroleum and natural gas said, “Shift to LPG as the main and only fuel for a rural household is a process which may happen only gradually and not overnight. It involves transformation of mindset and social behavioural changes which will take some time. The ministry has taken up an initiative, LPG PANCHAYAT, to proactively connect with the LPG consumers (rural women, in particular) and motivate them about benefits of shifting to LPG as a clean cooking fuel.” The financial constraints have been acknowledged by the ministry and now it is trying to popularise 5-kg cylinder refill. The spokesperson said, “In terms of constraints for accessing refills, the affordability issue is sought to be addressed through 5 kg refills and accessibility issue through expanding distribution network. We are targeting 5000 new distributorships by March 2019, out of which 1100 have already come up. All these would come up in rural areas only.” Charles Harris Jersey

Indian Oil Corporation to invest over Rs 370 billion in Tamil Nadu

Energy major Indian Oil Corporation (IOC) will be investing about Rs 71.12 billion in infrastructure facilities in Tamil Nadu over the next three years, said a senior official. At the IOC group level — IOC and group company Chennai Petroleum Corporation Ltd — will be investing about Rs 371.12 billion in Tamil Nadu. “The investments will be in pipeline expansion, construction of captive jetty, additional facilities for petrol and diesel handling, POL (petroleum, oils and lubricants) terminals at an outlay of Rs,71.12 billion in the next three years,” R. Sitharthan, Executive Director – Tamil Nadu and Puducherry, told IANS. He said, group company Chennai Petroleum will be expanding its refinery capacity at Narimanam to nine million ton per annum at an outlay of about Rs 300 billion. These apart, the company will be investing in the city gas distribution network in Coimbatore and Salem where it has won the distribution bids recently, Sitharthan said. Sitharthan said pipelines are being laid down at various places to carry the gas from the Ennore LNG terminal to industries and also to carry carry other petroleum products. On the other hand, IOC’s joint venture for the five million ton per annum (tpa) liquified natural gas (LNG) terminal at Ennore has an investment of Rs 51.51 billion and is expected to be ready by December this year. Johnny Bower Jersey

India seeks re-negotiation in gas price from TAPI pipeline

India had previously used its position as world’s fastest-growing energy consumer to renegotiate gas import deals with Australia, Russia and Qatar. India has sought re-negotiation of the natural gas price it is to source through a proposed USD 10 billion Turkmenistan-Afghanistan-Pakistan-India (TAPI) pipeline in view of the slump in global energy markets, a top source said. The four nations to the pipeline projects had in 2013 signed a gas sale purchase agreement (GSPA) that benchmarked the price of natural gas that Turkmenistan is to export at 55 per cent of the prevailing crude oil price. This translates into a price of about USD 7.5 per million British thermal unit (mmBtu) at current oil prices at the Turkmen border. Added to this would be transit fee and transportation charges which would jack up the rates to over USD 10.5 per mmBtu at the Indian border, the source said. For a consumer, the price would be around USD 13 per mmBtu after adding local taxes and transportation charges. “This rate in the present global energy scenario is unacceptable. And so taking into cognizance of the current gas market, India has proposed for re-negotiation of GSPA,” the source said. The price of Turkmen gas is more than double of the USD 3.6 per mmBtu rate paid for post natural gas producers in India. Leaders of the four countries performed the ground-breaking of the project in December 2015 but the project hasn’t moved significantly since then. The source said the project has not moved forward because of unresolved issues like the economic viability of the project, security of supply and tie-up of debt and equity. The four nations have incorporated TAPI Pipeline Company Limited (TPCL) in Isle of Man to build, own, and operate the TAPI Pipeline. Turkmenistan’s Turkmengas has been appointed as the consortium leader. State gas utility GAIL India Ltd represents India on the consortium. TAPI pipeline is nearly 1,680-kilometers long, with 735-km in Afghanistan and nearly 800-km in Pakistan. The 56-inch diameter pipeline will run from Turkmenistan’s Yoloten-Osman gas field to Herat and Kandahar province of Afghanistan, before entering Pakistan. In Pakistan, it will reach Multan via Quetta before ending at Fazilka (Punjab) in India. Turkmenistan would export 90 million standard cubic meters per day of gas through TAPI, with Afghanistan getting 14 mmscmd and India and Pakistan 38 mmscmd each. The gas will be sourced from the Yoloten Usman field, which ranks amongst the five biggest fields in the world. The field is being developed by Turkmenistan national oil firm TurkmenGas. India had previously used its position as world’s fastest-growing energy consumer to renegotiate gas import deals with Australia, Russia and Qatar. Renegotiating terms of the 20-year deal to import 2.5 million tons a year of liquefied natural gas (LNG) from Gazprom saved the country between Rs 85 billion and Rs 95 billion over the contract period ending 2040. Last year, India got US energy major Exxon Mobil Corp to lower the price of 1.5 million tons a year of LNG from Gorgon project in Australia, saving Rs 40 billion in import bill. In 2015, it renegotiated a long-term deal for the supply of 7.5 million tons of LNG with Qatar, saving around Rs 80 billion. Morgan Burnett Authentic Jersey

GE to supply gas turbines for HPCL Vizag refinery expansion

GE Power today said it has got a Rs 220-crore order to supply gas turbine and generator for a captive power unit planned at Hindustan Petroleum Corp Ltd’s (HPCL) refinery at Visakhapatnam. The order for the supply of a 6F.03 gas turbine and a generator was placed on it by state-owned Bharat Heavy Electricals Ltd (BHEL) – the principal contractor for the project. “The order, worth Rs 220 crores, is part of the capacity expansion plan of HPCL refinery from the current 8.33 million tonnes per annum to 15 million tonnes. The gas turbine will generate close to 60 MW of power to run the plant operations, while the exhaust steam energy generated will be used for process applications,” GE Power said in a statement here. The HPCL Vizag order also marks the foray of GE’s F-class technology into India’s refinery segment, which offers a significant opportunity for technology upgrades in future, it said. Delivering the heat rate improvement of more than 25 per cent over the traditional Frame 5 machines, the 6F.03 gas turbine will bring significant cost benefit to HPCL in terms of fuel savings during the power plant operations, it said. “Globally, GE’s 6F-class gas turbines (6F.01/6F.03) are offering superior performance… These machines are also a perfect replacement to the frame 5 and 6B gas turbines that are powering the refineries in India for more than a decade,” said Deepesh Nanda, CEO, Gas Power Systems, GE South Asia. GE’s gas turbine fleet in the O&G sector in India comprises of an installed base of approximately 2.5 GW. Damian Lillard Authentic Jersey

‘About 200 new oil and gas projects to be sanctioned in 2018’

In 2018, about 200 new oil and gas projects, with a collective amount of US$127bn, might get approval by year-end, according to Rystad Energy rystad 16Subsea tie backs have been favoured the most by operators in 2018. (Image source: Alan Jamieson/Flickr) The 45 offshore projects that have been approved year-to-date are already more than the amount approved in 2016. In addition to beating 2016’s activity, this year’s offshore project sanctioning is on track to surpass 2017’s sanctioning levels by 50 per cent. About US$34bn of onshore projects are expected to be approved in 2018. Despite a steady stream of onshore projects being sanctioned during 2018, the size of these projects varies significantly. “This has caused a mere US$3bn increase in onshore commitments from May through September. In addition, the fourth quarter will see US$15.1bn of onshore projects approved,” said Rystad Energy. Subsea tie backs have been favoured the most by operators in 2018. Collectively, about US$26bn in subsea tie-back projects have been approved, with an additional US$7bn forecasted by year-end. This will give subsea contractors a potential US$7.4bn in greenfield contract opportunities over the next few years. ExxonMobil’s Neptun Deep project is poised to approve a subsea tie back to the Domino field in Romania in late-2018. The development will give US$1.5bn in new contract opportunities to service companies, including more than US$420mn in EPCI contracts. The project aims to start-up in early-2022. The rest of the year will see more fixed facilities and floater projects approved than subsea tie backs. The Marjan Expansion project in Saudi Arabia is set to be the largest fixed facility project up for sanctioning. Once approved, it will look to award contracts in excess of US$4.6bn over the next several years, allowing Saudi Aramco to construct and install more than 20,000 tonnes of topsides for their steel platform. Recent cost reduction efforts have moved a few significant projects in South America below the US$60 per barrel breakeven threshold. However, there are still US$14bn to-be-sanctioned offshore and onshore projects globally for 2018 require breakeven prices above US$60 per barrel. Total’s Lake Albert project in Uganda will look to develop their Jobi-Rii asset for more than US$2.4bn. However, the project will require a breakeven oil price above US$60 per barrel. If approved, this onshore development would target a 2022 start-up. Luke Stocker Jersey

Government tells ONGC to list overseas unit

The Indian government has asked its biggest state-owned firm, Oil and Natural Gas (ONGC) , to list its overseas unit ONGC Videsh, according to a letter seen by Reuters. The move to float the unit – which has investments in 11 producing assets in countries including Russia, Brazil and Iran – is part of a government push to sell state-assets to raise funds. A listing would also help unlock value in the unit by improving its corporate governance and efficiency, the letter from the Department of Investment and Public Asset Management to ONGC said. The letter, sent last week, did not state how much of ONGC should be offered to outside investors. 

GAIL seeks foray into solar power plants, battery charging stations

State-owned GAIL India has sought shareholder nod to amend the charter of the company to invest in start-ups, build solar power plants and set up battery charging stations for electric vehicles as it looks to diversify its portfolio beyond gas and petrochemicals. The nation’s biggest natural gas transporting and marketing company wants to insert six new sections in the main objects clause of the memorandum of association of the company, according to shareholder notice. It wants to invest in “start-ups in core business areas (of natural gas, petrochemicals, and energy) and non-core areas (like health, social and environment, safety, and security) either directly or indirectly.” “The investment can be made through special purpose vehicle (SPV), alternative investment fund (AIF), fund of funds (FoF) and trust,” it said. GAIL said that there is a necessity to adopt new and different pathways to provide clean, cost-effective and efficient mobility services that are safe, reduce dependence on oil imports and achieve more efficient land-use in cities with the least environmental footprints and impacts on human health. With the objective in mind, the firm wants to set up “battery charging stations and providing charging services” to electric vehicles. With the government planning to make a major shift to electric vehicles by 2030, GAIL felt that charging infrastructure for electric vehicles in India has not been fully developed yet. GAIL with its “pan-India presence through the natural gas network is deep-pocketed and has the capability of setting up charging infrastructure at a faster pace,” the notice said. The 34th annual general meeting of the company is scheduled for September 11. The company also wants to “explore the business opportunity in waste-water treatment plants, water distribution, large water pipeline laying as an early mover.” With groundwater depleting and monsoons becoming less predictable and unreliable, availability and utilisation of water are becoming key issues in modern India. Many cities are sourcing the fresh water through long-distance transport ranging from 50-200 km. Stating that with growing population and industrialisation the effluent water discharged has increased significantly, GAIL said the treatment of the effluent water and maintaining of the freshwater table is a big challenge and a business opportunity. It is also looking to “harness solar power potential available at its various sites and installations which can be connected to grid for sale or for own use at other installations through wheeling of power.” In line with its strategy to promote the use of green fuel, it is contemplating to promote gas appliances in households to increase gas usage and minimise electric usage in housing equipment and appliances such as gas boiler, gas-based air conditioner and bathroom heater. Operating nearly 14,000-km of natural gas and LPG pipeline and executing more than 4,500 km of new lines, GAIL feels it can provide services such as engineering, procurement and construction (EPC), engineering, procurement, construction management (EPCM) and project management consultancy (PMC) in the field of hydrocarbon pipelines. “GAIL also has adequate experienced manpower and infrastructure for providing these services,” the notice said. It also wants to “carry on the business of manufacture, import, distribution, and marketing of appliances relating to gas marketing and distribution, such as gas meter and CNG kits.” Andy Dalton Womens Jersey

Now IOC targets clothes ironing shops with gas iron boxes

Energy major Indian Oil Corporation (IOC) is now looking at newer market segments with products like gas-powered iron boxes for neighbourhood launderers, value-added gas for metal cutting units and bigger gas cylinders for rice mills, food factories and hotels, said a senior official. The company has got a big order for its Indane Nanocut-specialised LPG for cutting metals from integrated lignite mining-cum-power generation company NLC India Ltd. “One of the new market segments we are tapping is the neighbourhood laundry units with our gas powered iron boxes. We are offering LPG in various capacities from 5 kg cylinders to 425 kg cylinders for different kind of users ranging from mobile food vendors to big food factories and hotels,” R. Sitharthan, Executive Director, Tamil Nadu and Puducherry told IANS. He said the IOC will soon launch its liquified petroleum gas (LPG) powered iron boxes which works out economical and also a healthy option for launderers as compared to charcoal and electricity powered iron boxes. “The LPG iron boxes weighs almost the same as the traditional coal fired iron boxes- about six kg and costs about Rs 7,000. But the startup time is far shorter – two minutes- as compared to about 45 minutes in the case of coal fired ones. The costs works out to just about fifty paise per cloth whereas it is about Re 1 and Rs 2 for coal and steam powered iron boxes respectively,” Sitharthan said. Further the gas iron boxes are environment friendly owing to low carbon emissions and is also healthy option for the users. That apart, there is no risk of damage to clothes due to coal sparks, he added. “Launderers can use five kg or 19 kg LPG cylinders,” he said. The oil and gas company is selling its innovative Indane Nanocut gas cylinders to units where metal cutting is involved. “We are now selling about 18 tons per month of Indane Nanocut in Tamil Nadu and Puducherry. We have recently got a trial order from NLC India for 240 cylinders. The order value is about Rs 36 lakh,” Sitharthan said. On the sales of jumbo LPG cyclinders weighing about 425 kg Sitharthan said the company is targeting food factories and hotels as it would replace a battery of small cylinders and free up costly space. He said IOC is looking at new clients for its jumbo LPG cylinders as well as converting its existing ones. According to Sitharthan, a big biscuit unit and couple of rice mills in Tamil Nadu have opted for LPG fuel. Customer Service Womens Jersey

Shell recovers most oil from Nigerian spills, pipeline still shut

Royal Dutch Shell’s Nigerian subsidiary has recovered more than 95 per cent of the oil from two spills that took place this year, although the pipeline that carries crude to the coast for export remains closed, the company said on Monday. The Trans Ramos pipeline, which carries some Forcados crude oil to the export terminal of the same name, closed in late April following two leaks, one in Abhoro in Bayelsa State and one in Odimodi, in Delta State. A spokesman for Shell said there had been no change in the operating status of the pipeline. “As soon as clean-up and site assessment are completed, we are committed to starting the immediate remediation of the impacted areas in Aghoro and Odimodi,” Shell Petroleum Development Company of Nigeria Ltd said in a statement. The Forcados grade, along with Bonny Light and Qua Iboe, is one of Nigeria’s three largest crude streams. Montee Ball Womens Jersey

Poland and Germany disagree over planned Russian gas pipeline

Poland, unlike Germany, strongly opposes Russia’s plan to build a new gas pipeline across the Baltic Sea, and shares U.S. opinion that the project would help strengthen Moscow’s market position, Polish foreign minister Jacek Czaputowicz said. Berlin has given political support to the building of a new, $11 billion pipeline to bring Russian gas across the Baltic Sea called Nord Stream 2, bypassing traditional routes through Ukraine, despite qualms among other EU states. In July U.S. President Donald Trump publicly criticised Germany for supporting the pipeline deal with Russia. “I would like to underline that Poland’s stance differs here from the German one. We see this dispute as an existing one between the U.S. and Germany,” Czaputowicz said at a joint statement with his German counterpart Heiko Maas. Poland buys most of the gas it consumes from Russia but has taken steps to reduce that reliance. “In this U.S.-Germany dispute we are at the U.S. side, as its arguments are more convincing and besides, we have raised them before,” Czaputowicz also said in a broadcast speech. He reiterated Poland’s concerns that Nord Stream 2 was a harmful and political project that will strengthen Russia’s dominant position in the gas market and be a threat to Ukraine. “I know about these objections but the German government does not share them,” Maas said. The foreign ministers spoke in Harmeze, south of Poland, near the Auschwitz Nazi death camp, which Maas visited earlier on Monday. Keith Magnuson Womens Jersey