India could face an acute shortage of natural gas if the proposed pipeline from Iran and Turkmenistan are scrapped due to deteriorating relations with Pakistan, according to an Assocham study.
If there is disruption in the gas pipeline talks the demand and supply gap widens at 5.7 per cent.
India needs the Iran-Pakistan-India and Turkmenistan-Afghanistan-Pakistan-India pipelines as the indigenous production target of 42.28 billion cubic meter for the fiscal was likely to be missed. The long run loss on the supply side of natural gas could range between 45 billion cubic feet per day (bcfd).
India’s current gas availability of 104 million standard cubic meters per day (mmscmd) meets only 60 % of the industrial demand. The demand is likely to be pushed rapidly from the power and fertilizer sectors and the city gas distribution system.
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