City-gas distribution: Petroleum ministry issues draft policy for CGD

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Published: January 24, 2020 1:10 AM

The present share of gas in the energy basket of the country is 6.2% and the target is to take it to15% by 2030.

City gas distribution, Petroleum ministry, CGD, CGD policies, Dharmendra Pradhan, MoPNG, CGD infrastructure, LPG“Courts will inevitably become more stringent on environmental norms going forward, so states should take proactive steps to expedite CGD related activities,” Pradhan said.

To speed up gas infrastructure activities in the states, the ministry of petroleum and natural gas (MoPNG) has prepared a draft policy for city-gas distribution (CGD), which the government expects will be a template for every state to come up with their own CGD policies. While speaking about the draft at the national conclave on emerging opportunities in the natural gas sector here on Thursday, Union minister Dharmendra Pradhan requested all the states to incorporate their local and regional factors and frame their own policies on the subject.

“Courts will inevitably become more stringent on environmental norms going forward, so states should take proactive steps to expedite CGD related activities,” Pradhan said. Betting on the rising demand of natural gas in the future, MoPNG has identified segments such as intercity buses, mobile refuelling units, gas generators in telecom service towers, which can be tapped to turn gas-based.

The present share of gas in the energy basket of the country is 6.2% and the target is to take it to15% by 2030. While the average share of gas in energy is 24% globally, it is 26% in Gujarat.

“Central government gives out a lot of subsidies on LPG and a large portion of this can be used to incentivise PNG and would provide a relief to companies building CGD infrastructure,” Saurabh Bhai Patel, Gujarat’s energy minister said.

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