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There are at present 15 Gas based Urea manufacturing units with production capacity of 127.77 lakh metric tones per annum. Cost of Production of Urea Units using gas as feed stock is less as compared to those using Naphtha and fuel oil (FO), low sulphur heavy stock (LSHS).
On account of the efficiency and environment friendliness of natural gas (NG/liquefied natural gas(LNG), the government has formulated a policy for conversion of existing Naphtha/FO/LSHS based urea units to natural gas/LNG as feed stock. With a view to encouraging switchover to NG/LNG as feed stock, the investor is assured that savings on account of energy efficiency after conversion would be retained by the plants for a maximum period of five years in respect of Naphtha based plants and 10 years in respect of FO/LSHS based plants.
This information was given today in the Lok Sabha by the Minister of Chemicals & Fertilizers and Steel, Shri Ram Vilas Paswan in a written reply to a question by Shri Basudeb Acharia.
BJ/VN
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