The petroleum and natural gas ministry has agreed to study the feasibility of extending the 610-km Dadri-Barwala-Nangal gas pipeline up to Himachal Pradesh. At present, the pipeline has been proposed to pass through Punjab, Haryana and Uttar Pradesh. However, Himachal has strongly objected to the project, demanding that the hill state also be included while inviting the expression of interest for the Rs 2,500-crore project.
Himachal health minister Rajeev Bindal told FE that the state has signed an agreement with the Gas Authority of India Limited (GAIL) to study the feasibility of extending the pipeline to the state. Under the agreement, GAIL would work on a joint exercise to assess the demand potential of natural gas and allied products in the state.
GAIL will use its technical and commercial expertise to study various options and collate the gas demand potential of Himachal Pradesh. The department of industries of the state government would facilitate information pertaining to the fertiliser sector, power sector, domestic demand and transport sectors, which have potential to consume gas as fuel, he added.
The minister said chief minister Prem Kumar Dhumal had also taken up the demand with the petroleum and natural gas ministry, which has agreed to consider the proposal and study the feasibility of extending the pipeline to Himachal Pradesh.
Bindal said the gas pipeline would bring clean and environment-friendly fuel to various consumers in the state, which include industrial, domestic and transport sectors.
Also, the availability of gas in the region would herald the use of a more efficient energy resource, which would increase the competitive edge of industries using natural gas. GAIL would also conduct a sample survey of the industrial areas of the state in this connection.
When contacted, the Chandigarh office of GAIL confirmed that such a request has been made by the Himachal Pradesh government and said the proposal was being considered, as there was a substantial increase in the availability of natural gas following recent discoveries in the country. Apart from expected increase in availability from indigenous sources, Petronet LNG Ltd and Shell are importing LNG at their LNG re-gasification terminals. Sources said GAIL has signed a memorandum of understanding with Reliance Industries Ltd for cooperation in the gas sector, including transportation of natural gas from various gas sources.