Context

India’s goal to turn India into a gas-based economy has accelerated with the initiation of the first-ever Small Scale LNG unit. 

India launches 1st Small Scale LNG Plant

• GAIL (India) Ltd, the country’s biggest gas company, has commissioned this plant at its Vijaipur site in Madhya Pradesh.
• The Vijaipur facility has SSLNG skids capable of producing 36 tonnes of LNG daily.
  • It includes treatment skids (ZPTS) and liquefaction skids (cryo boxes) to convert natural gas into LNG.
• India plans to raise the proportion of natural gas in its primary energy mix to 15% by 2030, up from slightly over 6% currently, primarily because of its lower pollution emissions.

What is Small Scale LNG?

• SSLNG involves cooling and transporting natural gas on a smaller scale than usual methods. 
• Ensure delivery in remote areas: It uses special trucks and small boats to deliver liquefied natural gas (LNG) to businesses and industries in areas without pipelines.
• Management system: The SSLNG unit is managed by an automated SCADA system.
• SSLNG provides LNG to businesses and industries either in its liquid form or when it’s super-chilled. 
• • In more common situations like supplying CNG for vehicles or gas for homes, the LNG is turned back into gas before it’s delivered to the users.
• Establishment of SSLNG: SSLNG can begin at big LNG places or by making small LNG factories where there are lots of natural gas.
  • Example: GAIL’s SSLNG unit at Vijaipur is one example of starting small to get LNG at more places.

Advantages of Small Scale LNG (SSLNG):

• Enhanced Accessibility: SSLNG facilitates gas distribution in areas without access to natural gas pipelines, overcoming delivery challenges and expanding the availability of cleaner fuel options.
• Flexibility: SSLNG units are modular and can be quickly deployed to meet local demand, making them suitable for remote areas, industrial settings, and transportation needs.
• Promotes Sustainability: SSLNG encourages the adoption of cleaner fuels, reducing emissions when used in vehicles like trucks, buses, and marine vessels.
• Improves Energy Security: By decentralizing distribution, SSLNG enhances energy security and diversifies the sources of fuel supply.

Challenges and Limitations:

• Limited Vehicle Options: The availability of LNG-powered vehicles remains limited, which slows down the adoption of LNG as a fuel.
• Underdeveloped Retail Infrastructure: A lack of extensive LNG retail networks makes it challenging for consumers to access LNG fuel easily.
• Higher Initial Costs: LNG vehicles are usually more expensive to buy upfront compared to regular diesel cars.
• Financing Hurdles: The absence of specialized financing options for LNG vehicles poses challenges for prospective buyers looking to invest in this technology.
• Limited Pipeline Coverage: SSLNG faces challenges in areas where there is no existing natural gas pipeline network, hindering its distribution to remote locations.
• Regulatory and Permitting Issues: SSLNG projects may face regulatory hurdles and permitting delays, including environmental and safety regulations, which can slow down implementation and increase project timelines and costs.

Difference Between SSLNG and LNG

News Source: Indianexpress

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