LNG will help many countries achieve energy security over next few years: AG&P Group

Joe Sigelman, Chairman & CEO of AG&P Group, said there is huge amount of gas in the world but infrastructure is a problem. However he expects to see many countries achieving energy security over the next few years by using LNG.

“The world is at a revolutionary point in the energy industry. There is huge amount of gas in the world but the issue is infrastructure, is it in place right now? So there is an opportunity now and everyone is trying to figure out how we can bridge this gap. There is a variety of technical solutions to expedite the infrastructure coming in and not just terminals but also city gas to move LNG by trucks, by pipelines and so on. So over a period of time, there is going to be a lot of work to make sure that different countries in the world have energy security that LNG provides,” Sigelman told CNBC-TV18.

He said India is a great case study on how to clean up the environment and do it very quickly using LNG. He said in India, AG&P is opening two new CNG stations every three days and will be connecting 3,000 homes every day by next year.

“LNG is a very compelling fuel. You have a huge promulgation of renewables and those renewables are not a stabilising factor on a grid. LNG or gas provides that stability. At the same time in a long-term contract, LNG is less costly than dirty alternatives. So LNG is that transition fuel. In India AG&P has concessions that cover about 8 percent of the country. We are now opening up 2 new CNG stations every 3 days. We are building 12 kilometers of pipeline every day. By the end of this year we will have 1,000 new homes connected every day and by next year, 3,000 homes every day. So even in a country of the size of India, there is so much exciting things going on, it is a great case study for how you can clean up environment and do it very quickly.”