Pradhan inaugurates Shell India’s LNG truck-loading unit at Hazira

• Pradhan said that increasing competition in the LNG sector will help in the emergence of new markets, create new employment opportunities, ensure cleaner fuels for industries

• Shell Energy India owns and operates a 5 MTPA LNG import terminal at Hazira (Surat), Gujarat

New Delhi: Minister of Petroleum & Natural Gas Dharmendra Pradhan inaugurated the LNG truck-loading unit of Shell India at Hazira, Gujarat, on Tuesday. Speaking on the occasion, he said that the unit will boost availability of natural gas in off-grid areas where there are no gas pipelines and also promote the use of LNG in long-haul trucking. "Congratulate @Shell_India on this endeavour of supporting India's environmental as well as clean energy transition goals by giving thrust to creation of necessary infrastructure to promote LNG as a transport fuel," said Pradhan on Twitter.

Increasing competition in LNG sector will help in emergence of new markets: Pradhan

Complimenting the team of Shell India on the initiative, Pradhan said that increasing competition in the LNG sector will help in the emergence of new markets, create new employment opportunities, ensure cleaner fuels for industries and facilitate environment conservation. He said that this is another big step towards a cleaner and greener future for India. 

"We are committed to increasing the clean energy quantum in our energy mix to transform into a gas-based economy, address issues of climate change and build an Aatmanirbhar Bharat," remarked Pradhan. The minister congratulated Shell India for supporting India's environmental as well as clean energy transition goals by giving thrust to creation of necessary infrastructure to promote LNG as a transport fuel.

'Hope to see LNG develop as cleaner energy option for heavy duty transport'

Nakul Raheja, who has recently taken over as Country Head, Shell Energy India, said in an official statement, "In early 2019, we acquired additional 26 percent equity in the Hazira Terminal and created a fully-owned and integrated Shell value chain — supply from our global LNG portfolio, regasification at the Hazira facility, and downstream customer sales. This development extends our downstream customer offering and now, in addition to supply of R-LNG via pipeline, we can also supply LNG by trucks to customers across India. I look forward to this segment advancing in the years ahead and hope to also see LNG developing as a cleaner energy option for heavy duty transport in India."

The backdrop

The government is promoting natural gas through various policy and regulatory reforms towards making India a gas-based economy by increasing the share of gas in India's primary energy mix to 15 percent. Small-scale LNG can play an important role in realising this target as it enhances clean energy access across the country. While gas customers in industrial clusters are expected to be the primary beneficiaries, small-scale LNG will also support the market seeding and development of the recently licensed CGD geographical areas, not yet connected by pipelines. Apart from industrial and CGD segments, the small-scale LNG supply infrastructure will also contribute to the development of conducive eco-system for faster adoption of LNG as the preferred transportation fuel for M&HCVs especially for long-haul transport.

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Shell Energy India owns and operates a 5 MTPA LNG import terminal at Hazira (Surat), Gujarat. The terminal has been in operation since 2005 and received more than 600 LNG cargoes till date.

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