7 March 2019 Oil & Gas The Delhi bench of the National Green Tribunal (NGT) has ordered the closure/dismantling of all coal gasifiers at Morbi in Gujarat, which is a major sales area for Gujarat Gas (GUJGA). But, according to our estimates, currently there are ~400-450 units running on coal gasifiers. Nonetheless, a blanket ban on all coal gasifiers would result in ~80-100 units going out of business completely as they would not be profitable. Peak potential is estimated at 5-6mmscmd out of which current sales stands at ~2.5mmscmd. In Jul12, the Central Pollution Control Board (CPCB) had announced a similar blanket ban on coal gasifiers, ordering the Gujarat Pollution Control Board (GPCB) to stop and dismantle all units. Back then, ceramic manufacturers had shifted to natural gas by Apr14. We have not changed our estimates as of now, but we note that an effective blanket ban could result in an immediate increase of 2.5mmscmd in volume (~38% of FY19E).