The government has prepared to start exploring natural gas (Methane) trapped below the surface of the Kathmandu Valley and excavate it for commercial use. The Department of Mines and Geology (DMG) has said that it will start gas exploration in Imadol of Lalitpur by mid-March. The Department has even sanctioned a budget of Rs 5 million for the project. Though late, this effort by the government is worth praising. It has revived hopes that the exploitation of this wealth below our feet could help address the energy crisis in the Kathmandu valley to some extent. 

 

It has been long proved that the Kathmandu Valley denizens are sitting on top of a huge deposit of underground natural gas which is highly combustible and can be utilized as a dependable alternative source of energy. In some areas of Patan, Thapathali and Tripureswor, the gas is being tapped by individual households free of cost.

 

Studies carried out by the DMG with the help of donor agencies such as JICA from the late 1970S to late 1990s indicate the gas reserves can fulfill the domestic energy needs of an estimated 20,000 households in Kathmandu Valley for 30 years. In the past, the DMG had dug 14 gas wells in an area of 26 sq kms including Teku, Tripureswor and Koteswor of Kathmandu, and Imadol and Tikathali of Lalitpur. 

 

The DMG even established a model gas plant in Teku in 1983 which stopped operating in the late 1990s. The experiment was to see if gas supply was consistent enough for commercial use. According to sources at DMG, the gas collected in the plant was supplied to various government offices in the immediate vicinity of the model plant. 

 

In 2001, the DMG even floated a project titled ‘Kathmandu Gas Project’ in the private sector. But no private company showed any interest in the project. DMG had initiated the project with the help of JICA and UNDP, concluding that a potential gas reserve of about 300 million cu m exists in central and southern Kathmandu as far back as 1978.

 

Reports on past exploration of the Valley’s gas have shown that the gas is biogenic and is mixed with water. This could be the reason why private investors think that the returns from gas excavation might not be very lucrative. That’s why they have not come forward for the excavation process. The DMG hopes that private investors can be roped in once it is established that the gas in the valley is commercially viable. That’s why it has decided to spend Rs 5 million initially in the exploration and excavation of gas at Imadol of Lalitpur. The DMG also hopes that this gas could be sold to housing companies or it can be used to produce thermal electricity of around 2 MW. 

 

However, instead of producing thermal energy from this gas, it would be wise to fill it in cylinders and supply it for household use or as fuel to means of transport. The import of petroleum gas from India is one of the major reasons behind our widening trade deficit with the southern neighbour. If the Valley’s gas can be used for cooking, for example, the import of LPG from India can be decreased to some extent. The government should think along this line. If the government’s experiment becomes successful, private investors will certainly come forward for the excavation of the gas.