Imported gas for the plants was subsidized for two years through March 2017. Imported gas for the plants was subsidized for two years through March 2017. Developers have invested about 650 billion rupees ($9.3 billion) in the stranded gas power plants, including bank loans of about 500 billion rupees, the panel estimated. The block, whose output has nearly dried up, hasn’t supplied any gas to power plants since March 2013, according to the report. The plants aren’t able to run entirely on imported gas, as higher costs lead to tariffs that are far higher than thermal and renewable power.

Source: Mint January 04, 2019 17:48 UTC