Gas, power shortfall major constraints to growth: CII

For gas-rich Gujarat, industries are confronted with a new worry. The possible diversion of gas to other states following the Centre's move to nominate GAIL India Ltd as the sole marketing agency for gas produced from the Panna Mukta Tapti (PMT) gasfields from April 2008, means local industries could be left with a shortfall of anything between 4 million standard cubic metre per day (mscmd) and 7 mscmd gas, said officials of Confederation of Indian Industry (CII).

The officials also expressed concerns that the state could have a shortage of as much as 15000-20000 Mw of power considering the lengthy gestation period of power plants coming up in the state.

"The current fuel policy, power purchase agreements and inefficient distribution agreements have blocked the growth of the power sector in the state as well as the country," according to DJ Yadav, convenor, CII, Gujarat Environment Panel.

He added that these were some of the important issues that were expected to be raised during the Energy Expo 2007, the third International exhibition and conference to be held at Ahmedabad.

The conference will be held between December 7 and December 9, 2007, at the University grounds alongside a parallel conference 'India Energy Conclave 2007', which is expected to cover emerging trends in energy and power sectors. The conclave will have sessions on primary energy, power generation on business landscape and transmission and distribution (T&D).

Around 160 domestic and international companies are expected to participate in the conclave and exhibition. ABB Areva, BPCL, Crompton Greaves, GE, Rolls Royce, Suzlon and others are some of the key exhibitors.