THE government is planning to increase natural gas production at the Yadana gas field, an energy specialist close to the Ministry of Energy said on January 7.
The specialist said a new compressor has been installed at the site in a bid to increase production.

“The Yadana gas project will produce an additional 90 million cubic feet of gas a day (mmcfd) for domestic production,” he said.

However, he refused to say when this increased production would begin and what industries in Yangon would receive the gas.

The Yadana project exports 600mmcfd to Thailand and supplies about 100mmcfd for domestic use. This this will increase to 190mmcfd when the increased supplies begin filtering through.

The state-run New Light of Myanmar reported on December 28 that repair works on the project was underway – with increased production in mind. The report listed January 7 as the expected completion date.

Even though the govern-ment is building large numbers of hydropower electricity projects to meet domestic energy demands, gas still plays a crucial role in electricity supply.

Yangon relies heavily on gas supplies for electricity generation during the summer as the power production from the hydropower plants declines by 30-40 percent.

According to the New Light of Myanmar, the government planned the repairs to the Yadana project to avoid affecting Yangon’s power supplies during the summer.

Ministry of Electric Power (1) figures show that natural gas driven power stations contribute 40pc of the nation’s electrical power.

Dr Maung Aung, an economist and researcher on Myanmar’s economy, said the country should use natural gas to supply regular electricity, which will help to develop the industrial and production sectors.

“Electricity plays a key role in a country’s sustainable development. One of the main issues that delays our country’s development is the shortage of electricity. We should use natural gas and the income earned from selling it, to set up power plants to supply regular electricity,” he said.

In addition, much of Yangon’s transport system – especially buses – runs on compressed natural gas. This gas comes from Myanmar’s offshore gas fields, including the Yadana project. Several important industries also use natural gas to operate, including fertiliser plants and cement factories, both of which underpin important sectors of the economy.