GAIL to Double Dabhol LNG Capacity

India’s natural gas champion, GAIL (India) Limited, is making a strategic move to ramp up the capacity of its LNG terminal situated at Dabhol in Maharashtra.

Doubling Down on LNG

Recent reports indicate GAIL’s ambitious target of more than doubling the Dabhol LNG terminal’s capacity, from its current 5 million tonnes per annum (mtpa) to a substantial 12 mtpa by 2030. This expansion plan directly addresses India’s projected natural gas demand surge, aligning with the government’s objective to increase the share of natural gas in the country’s energy mix to 15% by 2030.

LNG: A Future Fuel Source

GAIL chairman Sandeep Kumar Gupta recognizes the immense potential of Liquefied Natural Gas (LNG) imports in satiating India’s future energy requirements. The company’s comprehensive strategy involves not only the significant expansion of the Dabhol facility but also the construction of new LNG terminals across the nation.

Overcoming Monsoon Hurdles

While boasting a nameplate capacity of 5 mtpa, the Dabhol terminal currently operates at a reduced capacity of around 2.9 mtpa. This underutilization is primarily due to limitations during the monsoon season. To tackle this challenge, GAIL is proactively constructing a breakwater infrastructure that will allow the terminal to function uninterruptedly throughout the year.

Stepping Up for Energy Security

GAIL’s expansion plans for the Dabhol LNG terminal represent a significant leap forward in India’s quest for energy security and fuel source diversification. The project is expected to establish a robust infrastructure for LNG imports, empowering the country to meet its growing natural gas demand and pave the way for a cleaner energy future.

This strategic expansion not only addresses current limitations but also positions India to become a significant player in the global LNG market. The increased capacity will allow for greater flexibility in sourcing natural gas, potentially leading to more competitive prices and a more secure energy supply.

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