Case Study Of India's Indian Gas Market

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India’s demand for natural gas is forecasted to increase by 6.8%/year and will increase the consumption from 242.66 million cu m/day to 746 million cu m/day in the next 15 years. India does not currently have any pipeline connection to transport natural gas, therefore all gas is currently imported. India’s growing demand for gas makes the country a good candidate for an investment startup with-in the gas market. Current imports come from suppliers in Qatar, Australia, Trinidad and Tobago, and Russia. India has many short term contracts that limit them to the amount of gas they can import and have been looking to expand to other suppliers. Petronet has been exploring possibilities with companies in Algeria, Australia
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There has been an increase in the possibilities of domestic production, however India seems to be relatively behind in the market. The competition of outside suppliers is really the only competition that exists and until there is a drastic investment and change in infrastructure and development, the competitive intensity in India will likely remain low.
Competition in Brazil may be somewhat more difficult as there is a more solid industry already set up in Brazil, however the vast majority of Brazil’s natural gas reserves have yet to be fully explored, giving and opening for large-scale production of natural gas.
Competition in South Africa comes down to effectively one business, PetroSA, who uses the current natural gas output into its liquid-fuel synthesis production. This makes for plenty of room for another business to come in and generate power using coal made natural gas. With availability of natural gas in Mozambique and Namibia, plus the gas reserves discovered in South Africa, the gas industry is going under expansion. In addition to LPG, South Africa has produced 930,000 tons of natural gas and accounts for 1.5% of total primary energy
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The only real major gas pipelines exist in the northwestern part of the country but the need for the resource is all over the country. Pipelines need to be constructed to allow gas to be transported to the eastern parts of India as well as take advantage of eastern Indian gas production. This is crucial for the development of distribution networks, supplying new cities with proper resources, as well as the development of the country’s infrastructure.
South African Government adopted a new National Infrastructure plan in 2012. This plan is suppose to transform their economic landscape whilst creating employment of basic services. The government will invest over a billion in building new and upgrading infrastructures that will give access to South Africans healthcare facilities, water, sanitation, housing, etc. The government will also invest in construction of roads, railway systems, dams, etc that will hopefully sprout economic

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