PIPELINE TARIFF POLICY COMING

PIPELINE TARIFF POLICY COMING, TO RAISE SHARE OF GAS IN ENERGY BASKET

India will soon have a new tariff policy that will help bring down the cost of transporting the environment friendly fuel

Oil regulator PNGRB is working on a new regime for authorisation of gas pipelines that will make it more investor friendly

Will replace the existing practice of seven different pipeline operators charging separate rates and customers farther from a gas source paying more than those nearer

The share of natural gas in India’s energy basket is 6.2% and the Centre aims to raise this to 15% by 2030 to replace some of the polluting liquid fuel and coal with this cleaner alternative 

GAIL had come up with a proposal to have pipeline and gas marketing business in separate divisions

Pipeline transport: Long-distance transportation of a liquid or gas through a system of pipes

 

Pipelines exist for the transport of crude and refined petroleum, fuels – such as oil, natural gas and bio fuels – and other fluids including sewage, slurry, water, beer, hot water or steam for shorter distance

Pipelines are useful for transporting water for drinking or irrigation over long distances 

Natural gas is pressurized into liquids known as Natural Gas Liquids (NGLs)

Natural gas pipelines are constructed of carbon steel

Oil pipelines are made from steel or plastic tubes which are usually buried

Oil is moved through the pipelines by pump stations along the pipeline

          

In general, pipelines can be classified in three categories depending on purpose:

Gathering pipelines: Pipelines are usually short- a couple hundred metres- and with small diameters. Sub-sea pipelines for collecting product from deep water production platforms are also considered gathering systems

Transportation pipelines: Mainly long pipes with large diameters, moving products (oil, gas, refined products) between cities, countries and even continents

Distribution pipelines: Composed of several interconnected pipelines with small diameters, used to take the products to the final consumer

Pipelines are one of the safest ways of transporting materials as compared to road or rail, and hence in war, pipelines are often the target of military attacks