Adani Gas wins licence to sell CNG, piped cooking gas in 13 cities and nine in JV with IOC
13 Aug 2018
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Adani Gas has bagged licences to retail CNG to automobiles and piped cooking gas to households and industries in 13 cities on its own and nine others in a joint venture with Indian Oil Corporation (IOC).
The Petroleum and Natural Gas Regulatory Board (PNGRB) launched the ninth city gas distribution (CGD) bidding round in April for development of city gas distribution networks for 86 geographical areas (GAs), covering 174 districts in 22 states and union territories.
More than 400 bids from 38 entities were received and 37 were not considered on various grounds including being unreasonably low or high. The board approved issue of letters of intent to 18 successful bidders for 48 GAs.
Bharat Gas Resources, part of state-owned BPCL, won licence for 11 cities, while Torrent Gas won nine cities. GAIL Gas, the retailing arm of state-owned GAIL, got rights for four cities, while Indraprastha Gas – which retails CNG in the national capital – won gas rights for two cities.
According to PNGRB, the companies that have been granted the licences will be installing more than 1.5 crore domestic piped natural gas (PNG) connections and 3,627 CNG stations for the transport sector till September 2026. Additionally, they will install nearly one lakh inch-km of steel pipeline.
