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Problems with gas supply threaten the harvest in the Kostanay region.
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Problems with gas supply threaten the harvest in the Kostanay region.

Farmers in the Kostanay region faced a shortage of gas for harvesting due to supply problems. The company is struggling to meet the gas volumes, which complicates the harvesting process.

The Chamber of Entrepreneurs discussed the situation and possible intervention.

18 September 2024 18 September 2024

Agricultural producers in the Kostanay region are experiencing a gas shortage, as announced today at a meeting of the Chamber of Entrepreneurs. It is reported that there is a risk in the region not only of delaying the harvest, but also of losing a significant part of the crop.

“Agricultural producer who purchased a grain dryer running on gas approached us, but the company 'Liquefied Gas Base' cannot provide gas delivery due to their inability to cope with such volumes. The problem is quite serious,” emphasized participants at the Chamber meeting.

Agricultural entrepreneurs noted that there are gas supply issues in the region overall. Large enterprises are opening, but there is not enough gas. This issue was raised by major landowners in the region during a meeting with the country's President. However, the head of state stated that this issue should be resolved at the level of the Eurasian Economic Union, where relations with Russia are concerned. It was promised this year to prioritize gasification of large facilities. Farmers pointed out that the issue with liquefied gas could be resolved at the level of Kazakhstan.

Lyudmila Belomestnova, director of the 'Liquefied Gas Base' company, commented on the situation, stating that the problem lies not so much in the gas shortage as in legislation.

“We receive gas in accordance with the supply plan for the domestic market. By law, we are only allowed to sell liquefied gas to gas stations or public utilities. Unfortunately, our legislation prohibits us from selling liquefied gas to industrial companies. It is assumed that they should purchase gas directly at the plants. It is permitted to sell liquefied gas to industrial consumers for the production of socially significant goods. Unfortunately, only flour falls into this category. Grain is not included. And a year has passed, but nothing has changed,” noted L. Belomestnova.

It was noted at the meeting that grain dryers only operate on liquefied gas, yet the necessary gas volumes are not allocated to suppliers.

The Chamber may get involved and help make changes to the legislation.

“A month ago, the Government instructed the Ministry of Energy to supply farmers with liquefied gas, but a month has passed and additional volumes are still not available,” participants at the meeting informed.

Meanwhile, today at a Government meeting, this issue was raised. According to the Government’s press service, the issue of providing grain drying units with the necessary volume of liquefied gas at an affordable price has been positively resolved. Akimats of six regions, where drying units operate on liquid fuel, have reduced their demand from 21.5 thousand tons to 19.3 thousand tons. With the Ministry of Energy providing 5.5 thousand tons at a reduced price, the remaining volume of 14 thousand tons will be purchased at a commercial price from the manufacturer. Fuel cost reduction for farmers is covered by the state. Currently, liquefied gas delivery is being carried out to all six regions for the dryers.

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