It has said nine LPG pipeline projects are identified for development and it is in the process of concluding bid proposals of four pipelines. PNGRB has proposed that road transportation of bulk LPG be done away with by 2030.
Meanwhile, there is a deliberate push towards piped gas for industries and households. In a recent media interaction in Chennai, Arvinder Singh Sahney, Chairman of Indian Oil Corporation Ltd. (IOC), explained the logic behind the push towards piped gas, amid the West Asia conflict. The reason for the push is simple. According to him, piped gas is a cleaner fuel, cheaper than LPG in most parts of the country. The availability of Liquefied Natural Gas (LNG) is much more universal and diversified from various geographies. He said that there were enough regasification facilities. These are currently operating at 30-40 per cent only. So, there is enough capacity. “The pipelines are spread across the country, but the last-mile connectivity has to be developed based on demand and supply,” Sahney said. IOC has now won a bid for laying, building, operating and expanding the Kochi–Kanyakumari–Thoothukudi Natural Gas Pipeline. The pipeline is expected to facilitate the efficient evacuation and transportation of regasified LNG from the Kochi LNG Terminal to key demand centres across Kerala and the southern districts of Tamil Nadu. The project is also expected to play an important role in enabling the expansion of city gas distribution (CGD) networks, as well as supplying natural gas to industrial consumers, power plants and other downstream sectors in the region. Despite such efforts, industries pose a key question. Who will invest for the last-mile connectivity infrastructure? That is a key debating point.
