The vision of achieving ‘One Nation One Gas Grid’ by 2030 is well underway-Puri

North-East States in India Embrace Natural Gas Revolution with 12th CGD Bidding Round

New Delhi, March 2, 2024 – India’s pursuit of cleaner energy sources reaches new heights with the launch of the 12th City Gas Distribution (CGD) Bidding Round. Spearheaded by Shri Hardeep Singh Puri, the Minister of Petroleum & Natural Gas and Housing & Urban Affairs, this round is geared towards catalyzing a natural gas revolution in the North-Eastern states and the Union Territories of Jammu & Kashmir and Ladakh.

Scheduled for Monday, March 4, 2024, at the Regal Hall on the first floor of The Lalit, the Concluding Ceremony will see Minister Hardeep Singh Puri distribute Letters of Intent (LoI) to successful bidders, marking a significant milestone in India’s energy transformation.

The Significance of Natural Gas

Acknowledging natural gas as an environmentally friendly fossil fuel, the Indian government aims to elevate its share in the primary energy mix from 6% to an ambitious 15%. This aligns with Prime Minister Narendra Modi’s vision for sustainable development and energy security.

Letters of Intent (LoI) Distribution

The 12th CGD Bidding Round aims to broaden the reach of the CGD sector. Successful bidders will be granted LoIs, formally approving the establishment and operation of city gas distribution networks. These networks will play a pivotal role in making clean and affordable natural gas accessible to households, industries, and the transportation sector.

Pipeline Network Progress

Minister Puri emphasizes the economic advantages of pipelines for gas transport. India’s pipeline network has witnessed substantial growth since 2014, with approximately 23,500 kilometers currently operational and an additional 12,000 kilometers approved or under construction. The vision of achieving ‘One Nation One Gas Grid’ by 2030 is well underway.

**CGD Network Expansion**

The CGD network’s progress since May 2014 is remarkable:

– CGD Networks: Increased from 53 to 300, covering about 98% of the population.
– PNG Connections: Surged from 25.4 lakh to 1.16 crore (457% growth).
– CNG Stations: Expanded from 738 to 6000 (813% increase).
– CGD Coverage (% Population): Skyrocketed from 13.27% to 98%.
– CGD Coverage (% Area): Expanded from 5.58% to 88%.

North-Eastern States in Focus

The 12th CGD Bidding Round specifically targets the North-Eastern states, heralding a natural gas revolution in Arunachal Pradesh, Meghalaya, Manipur, Mizoram, Nagaland, and Sikkim. The Union Territories of Jammu & Kashmir and Ladakh are also integral to this transformative initiative.

Insulating Common People from Price Volatility

Government measures to meet CGD sector demands include shielding citizens from price volatility. New guidelines have increased the allocation of Domestic APM Gas to CGD entities, ensuring stability and affordability for consumers even during geopolitical events impacting oil and gas prices.

As India propels towards a cleaner, more sustainable energy future, the 12th CGD Bidding Round promises to be a game-changer for the North-Eastern states and beyond. Stay tuned for further updates on India’s evolving energy landscape.

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