Power Supply Crisis: Firm Canvasses CNG As Alternative

Powergas Africa has ad
vised manufacturing companies and residential estates seeking access to natural gas to switch to Compressed Natural Gas (CNG) following the current disruption in gas supply as a result of the activities of pipeline vandals.
A statement by the company on Friday said, “As a result of the recent rise in pipeline vandalism, power generation and gas supply to industries have been significantly impacted, escalating manufacturing costs as industries are forced to switch back to more expensive and polluting diesel-fired power generation.”
The statement said it is unfortunate that the attacks on the pipelines were coming at a time when the Nigerian power sector was gaining momentum and stressed that CNG is a good interim solution to the challenge.
According to the firm, CNG still offers significant cost saving compared to diesel, explaining that the fuel price alone is about half of diesel.
“Natural gas is a much cleaner fuel than diesel, reducing maintenance costs and wear and tear on industrial machinery,” it said.
At an energy conference held recently, the Chief Executive Officer of Powergas, Deepak Khilnani, reiterated the firm’s commitment to supplying natural gas via ‘virtual pipeline to industries as an alternate and cost-effective source of power.
“We understand the difficult market conditions for industries and national power generation – both the economic uncertainty coupled with the current gas crisis. Powergas is fully committed to finding power and gas solutions and is coming to invest in new off pipeline compression and liquefication plant to meet additional demand,” Khilnani said.