APP asks power ministry to reintroduce gas subsidy scheme to revive power plants

NEW DELHI: The Association of Power Producers (APP) has urged the government to reintroduce gas subsidy scheme for revival of gas-based electricity generation projects in the country.

The body has also sought dedicated allocation or auction of gas for power sector and inclusion of natural gas under goods and services tax (GST) regime to maintain 5 per cent tax across the country.

In a letter shot off to Power Minister R K Singh last week, APP asked for reintroduction of a modified E-RLNG (electronic auction of subsidy to buy regasified liquefied natural gas) scheme to improve the PLF (plant load factor or capacity utilisation) of stressed gas- based power generation plants.

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