Question : PURCHASE OF GAS BY NTPC



(a) the details of the quantity of gas purchased by NTPC from various suppliers in the last one year;

(b) the prices at which it was supplied by each supplier;

(c) whether there has been a substantial increase in the price of gas supplied recently by some suppliers; and

(d) if so, the details therefore?

Answer given by the minister

THE MINISTER OF POWER ( SHRI SUSHILKUMAR SHINDE )

(a) to (d) : A Statement is laid on the Table of the House.

STATEMENT REFERRED TO IN REPLY TO PARTS (a) TO (d) OF STARRED QUESTION NO. 361 TO BE ANSWERED IN THE LOK SABHA ON 27.04.2007 REGARDING PURCHASE OF GAS BY NTPC.

(a) & (b) : The details of the quantity of gas purchased by NTPC and prices of gas from various suppliers for its six gas based stations at Anta, Auraiya, Dadri, Faridabad, Kawas and Gandhar for the year 2006 – 07 are given below :

Supplier	Category of	Procurement	Quantity	Range of Prices on	gas i.e.	Mechanism	(MMSCM)	GCV basis at Plant	Natural Gas	Boundary # (in US$/	/RLNG	MMBTU)	(1 US $ =Rs. 45.00)
GAIL Natural Gas APM 3428.70 2.5 – 2.8
Total (A) 3428.70
GAIL RLNG Spot Purchase 217.80 10.39 – 12.7 IOCL RLNG Spot Purchase 111.20 10.6 – 12.1 BPCL RLNG Spot Purchase 102.20 10.6 – 11.9 Hazira RLNG Spot Purchase 449.63 10.4 – 12.5 LNG Pvt. Ltd. (HLPL)
GSPC RLNG Spot Purchase 209.60 10.6 – 13.14
Total (B) 1090.43
BPCL through RLNG Fall Back basis 17.67 4.5 – 4.6 Petronet IOCL through RLNG Fall Back basis 3.00 4.5 – 4.6 Petronet GAIL RLNG Fall Back basis 35.86 4.5 – 4.6
Total (C) 56.53
GSPC Natural Gas offer by GSPC 49.61 5.12
Total (D) 49.61
Grand Total 4625.27 (A+B+C+D)
# The prices include transportation, taxes & duties
APM : Administered Pricing Mechanism GAIL : Gas Authority of India Ltd. IOCL : Indian Oil Corporation Ltd. BPCL : Bharat Petroleum Corporation Ltd. RLNG : Regasified Liquefied Natural Gas GSPC : Gujarat State Petroleum Corporation MMSCM : Million Standard Cubic Meter GCV : Gross Calorific Value MMBTU : Million British Thermal Unit



(c) & (d) : The prices of Gas/RLNG vary depending upon the category of gas, availability of contracts and supplies, as well as the price volatility of the internationally traded LNG, as elaborated below:-

Gas under APM Category: The price of Gas being supplied by GAIL is notified by Govt. of India under Administered Pricing Mechanism (APM) from time to time.

Spot RLNG : NTPC has sourced Spot RLNG from domestic suppliers, namely GAIL, IOCL, BPCL, HLPL & GSPC through competitive bidding from time to time. These suppliers in turn source LNG cargoes from International Market.

The price of spot RLNG is primarily dependent upon the demand and supply position in the international market prevailing at a particular point of time.

Petronet (PLL) RLNG on fall back basis : The price of PLL RLNG is on the basis of long term contract between PLL and its LNG supplier.

GSPC Gas : The price of gas from GSPC to NTPC was on the basis of offer made by GSPC for a period of one year, that is, from June`05 to June`06.