Kanat Bozumbayev: Gas to cost more than coal in Astana

ASTANA.KAZINFORM - Minister of Energy of Kazakhstan Kanat Bozumbayev says that gas routed from Kyzylorda region will not be cheaper than coal, Kazinform reports. 

"In our case natural gas can't be cheaper than coal, because coal is one of the world's cheapest energy carriers. Gas will always be more expensive. However, it is not the first winter that you experience the impact of coal burning in Astana.  Compared to Europe, our gas is very cheap. Compared to Aktobe region, gas in Astana is very expensive. Compared to Kyzylorda region, it will not so expensive. The price of gas is formed out of costs: average market purchase price and piping tariff and distribution network tariff. Based on that we forecast the price will around to KZT47-50," Kanat Bozumbayev told journalists after the Government session on Tuesday.

As earlier reported, construction of gas main pipeline is one of the Five Social Initiatives of the President which he voiced in the joint session of the Houses of Kazakh Parliament on March 5.