Torrent Power signs LNG supply agreement with JERA for gas-based generation

Torrent Power Limited has signed a long-term Sale and Purchase Agreement with JERA Company Incorporated of Japan for the supply of up to 0.27 million metric tonnes per annum of liquefied natural gas. The agreement will run for ten years starting in 2027.

Torrent Power said the LNG will support two key activities within the group. The supply will fuel the company’s 2,730 MW gas-based generation portfolio, which is used for meeting rising demand, managing peak load and balancing variable renewable energy. The LNG will also meet the expanding requirements of Torrent Gas Limited, the group’s city gas distribution business that supplies households, commercial and industrial users and CNG vehicles.

Company officials said the arrangement aligns with India’s plan to raise the share of natural gas in the national energy mix to about 15 per cent by 2030. Torrent Power and Torrent Gas plan to consider further medium and long-term LNG purchase options to strengthen supply diversity and meet future demand.