Five power projects get more ONGC gas

Special Correspondent

Additional supply was stopped as they refused the hiked price

HYDERABAD: Five power projects in the State have begun to get additional gas from Ravva Fields of the ONGC and Cairns Energy in the Krishna-Godavari basin but at an enhanced price of $4.3 per MMBTU (British metric thermal unit).

This is the result of their acceptance of the increase in price following a High Court observation that they are at liberty to make the purchases at this price which, however, was subject to final disposal of the case.

On Saturday, an additional 0.65 MCMD (million cubic metres per day) was supplied to these projects at the hiked price. The additional supply did not, however, ensure a big change in power supply as it hardly supported 250 MW at these projects --- Lanco, GVK, Spectrum, Reliance and Vijjeswaram.

The Gas Authority of India Limited (GAIL) stopped additional supply to them from September 23 when they, along with the APTransco, contested the hike to $4.3 from $3.3 MMBTU and refused to take the supply.

The projects, however, continued generation with a minimum supply at old price.