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Union Minister for Petroleum and Natural Gas Hardeep Singh Puri outlined the government's ambitious ambition to increase India's natural gas consumption to 500 million metric standard cubic metres per day (MMSCMD) by 2030, up from the current 185 MMSCMD. This three-fold increase is a component of a larger plan to improve the nation's energy security and encourage the expansion of natural gas-dependent ancillary sectors.
Speaking at the concluding ceremony of the Petroleum and Natural Gas Regulatory Board's (PNGRB) 12th City Gas Distribution (CGD) bidding round, Puri emphasised the significance of this expansion in reaching 100% coverage of India's area under the CGD network. The event saw the distribution of Letters of Intent to successful bidders, marking a significant step towards realising the government's vision.
The minister highlighted the government's commitment to investing $67 billion in the natural gas sector over the next six years. This investment aims to provide natural gas to end consumers at stable prices and is supported by policy and regulatory frameworks that promote the use of natural gas across the country.
The 12th CGD Bidding Round was particularly noteworthy for offering 8 Geographical Areas covering six North East States - Arunachal Pradesh, Meghalaya, Manipur, Nagaland, Sikkim, Mizoram - and the Union Territories of Jammu & Kashmir and Ladakh, encompassing a total of 103 Districts. This round is anticipated to bring an investment of ₹41,000 crore, generating considerable employment opportunities and furthering the development of the CGD Network across the nation.
Giving a snapshot of the country's Natural Gas infrastructure, the minister said that over 33,753 Kms of natural gas trunk pipelines are authorized in the country out of which around 24,623 Kms of pipeline are currently operational. He noted that there are 300 GAs authorized in the country, covering 98% of the population and 88% of its area for development of CGD Network. “1.21 Crore domestic PNG connections and 6,258 CNG stations have been established in the country till date. All this has been possible due to the robust gas grid of India.”, he said.
Addressing the gathering, Anil Kumar Jain, the Chairperson, articulated PNGRB's current focus on creation of a vibrant and sustainable gas infrastructure across the entire country. The initiation of this bidding round specifically tailored for these States/UT reflects a strategic move to provide cleaner fuel within the delicate ecosystems of these regions. Jain further mentioned that CNG has a lot of potential in these states. In this regard, the development of North Eastern Gas Grid and Gurdaspur – Jammu Natural Gas Pipeline which have been authorized will play vital role in developing the natural gas network.
Until 2014, only 57 geographical areas were authorized to develop City Gas Distribution Network in the country. Since then, there has been immense growth in the CGD sector and with successful completion of 12th CGD Bidding Round, wherein 7 more GAs are being authorized, with the addition of 250 GAs with in the last 10 years, the entire country has been authorized for development of CGD network.
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