Gail India is finding it difficult to evacuate gas from the newly commissioned LNG re-gasification terminal at Kochi. It may be recalled here that Petronet LNG commissioned 5 MMTPA Kochi LNG terminal in August and the plant is presently connected to only two major clients, namely, FACT and Kochi Refinery. GAIL India is unable to ferry gas to gas consumers in Tamil Nadu on account of delay in pipeline works in the state.

Kochi LNGGAIL India had planned to transport the gas from Kochi terminal through 1,114 km long pipeline from Kochi to Kanjirkkod and to Bangalore/Mangalore passing through three states of Kerala, Tamil Nadu and Karnataka. However, stiff resistance from local farmers in Tamil Nadu has thrown the entire project schedule haywire. According to latest available information, Tamil Nadu state government is contemplating to remove the pipeline networks in problematic areas and it has directed GAIL India to lay these pipelines along the National Highways. Gail India fears that this will not only delay the completion of the project but also will result in at least 20-25% increase in project cost.

Beleaguered GAIL India is now pinning its hopes on Planning Commission who is planning to take up the matter with the concerned authorities at the highest level.

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