If officials are to be believed, at least some tangible amount of work will be done by the end of current fiscal year towards commercial production at a later stage. The only flaw in the plan that many would find is the lowly budget of Rs 10 million for the purpose granted by the Ministry of Industry.[break]
“Though a government study conducted in 1996 pointed out that there is a reserve of natural gas in the depth of the Valley, the government didn´t take any step to tap it commercially. On the basis of the preliminary study of 1996, we will complete the trial production by the end of the fiscal year 2011/12. Once the trial production begins, it can be said how much gas there is beneath the ground and what to do with it," said Sarba Jit Mahato, director general of DoMG.
He also said that the department has put forward an option to conduct fresh studies as the environment has changed much since the times of previous studies.
"Studies by the department carried out at different points of time in the last 17 years show there exists possibility of natural gas reserves to the tune of 310 million cubic metres under the Valley. This amount can meet the need of 20,000 households for 50 years," added Mahato.
He said the study has revealed there is lithium gas below the Valley which can´t be refilled in a cylinder and traded commercially. The extracted gas cannot be liquefied and filled into the cylinder directly. Therefore, it should be supplied directly to the households through pipelines. Mahato also pointed out that such gas could be used to generate electricity ar thermal power station.
Officials added that studies in the past revealed gas reserves exist in an area of 26 square kilometers beneath the Kathmandu Valley at 14 places including Teku, Tinkune, Sankhamul, Koteshwor, Imadol and Bhrikutimandap, among others.
Officials also raised an element of suspense over the implementation of the program since the government has allocated a miniscule budget for the department. According to the Ministry of Industry, the department has been provided with only Rs 10 million for the purpose.
The study conducted in 1996 says that extraction work would cost Rs 437.7 million. “This will become even costlier now because of the concrete constructions stretching the length and breadth of the Kathmandu Valley,” added Mahato.
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