India to set up storage facilities to support inland LNG shipping

India to set up storage facilities to support inland LNG shipping

Haldia Dock Complex under India’s Kolkata Port Trust has recently earmarked about 10 acres of land for a period of 30 years for setting up of LNG storage facilities set to support the use of LNG as fuel for barges. 

India’s government, in an attempt to curb emissions, is taking measures to facilitate the movement of LNG and its storage at places situated along the inland waterways, a statement by the Ministry of Shipping reads.

The Ministry of Shipping has been holding discussions with Petronet LNG and Inland Waterways Authority of India, with Petronet currently in the process of preparing a detailed feasibility report for setting up LNG facilities at Haldia, Sahibganj, Patna and Ghazipur on NW-I (river Ganges).

During a meeting earlier this month AWAI provided Petronet with projections on the cargo and pattern of traffic on the NW-I in order for Petronet to estimate the demand for LNG on the waterway.

The ministry also noted that Indian shipyards are entitled to the 20 percent subsidy for the construction of LNG barges.

Petronet has been requested to present the necessary infrastructure for moving LNG as fuel for barges.

Setting up of LNG storage hubs along the river Ganges could facilitate potential gas consumers in the hinterland as LNG could replace LPG, naphtha and HFO fuel and serve as fuel in a number of industries including the road transport sector, the ministry said.

Petronet has also been directed to investigate the potential of using LNG barges on the waterways of Goa and Maharashtra, while the option of using LNG-powered vessels on NH-5 has been discussed at the last meeting.

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