To help curb air pollution, power stations and industries have been instructed to use gas instead of mazut and diesel fuel in the coming winter, said deputy oil minister and managing director of the National Iranian Gas Company (NIGC).
In the current year (ending March 2015), gas production and supply will increase, Hamidreza Araghi informed, adding that the policy of NIGC is to increase gas consumption at power stations and industries in order to lessen pollution and also reduce mazut and diesel fuel consumption, ILNA reported.
While gas production has increased, NIGC has to supply the gas shortage of power stations and industries, with the hope that in winter they would only consume gas.
Normally power stations consume less gas, and more mazut and diesel fuel during winter, allowing it to be supplied for household consumption. But this winter a larger volume of gas will be supplied to industries and power stations.
“Fuel consumption in power stations and industries in winter stands at 160 and 50 million cubic meters per day respectively. In summer, for power stations the figure is 220 million, while for industries the figure does not change in warm or cold periods.
Gas price formula is based on naphtha rather than oil, and so the recent slump in oil prices cannot affect gas prices to a great extent, the official said.
He added that gas exports to Iraq will begin in the first quarter of 2015. With 4-5 million cubic meters to be exported daily in the initial stages, the cap for gas exports to Iraq is 25 million cubic meters according to the agreement.
Besides Iraq there are plans to export gas to Oman. “Studies are being carried out, and afterwards we will proceed with pipe-laying,” Araghi said.
