GAIL Gas and UPSIDC to expand distribution network in India

This memorandum of understanding will lay the foundation for building natural gas infrastructure to fulfil the demand of natural gas, setting up compressed natural gas (CNG) stations along the highway corridor, as well as the distribution of gas to various industrial clusters and parks in Uttar Pradesh (UP).

The three major CNG corridor projects are planned over main highways are:

  • Delhi-Agra highway covering 200 km with six CNG stations at Kosi, Sikandra, Etawah, Fatehpur Sikri, Vrindavan and Govardhan;
  • Lucknow-Kanpur highway covering 77 km with two CNG stations at Unnao;
  • Karanpur-Moradabad-Kashipur-Rudrapur highway covering 145 km with four CNG stations at Chandausi and Rampur.

In order to cater for the demand of natural gas to industrial clusters in UP, distribution is proposed through mobile cascades, covering areas such as Shamli, Gajraula, Saharanpur, Kosi, Sikandra, Etawah, Fatehpur Sikri, Vrindavan and Govardhan.

UP State Industrial Development Corporation UPSIDC is an industrial promotion and infrastructure development undertaking of the UP State Government to develop industrial areas equipped with all necessary industrial infrastructure.

Identifying and promoting infrastructure-related and industry specific projects, UPSIDC executes civil construction works for government and public sector organisations.

GAIL Gas Limited, a wholly-owned subsidiary of GAIL India Limited, and has been set up for implementation of city gas distribution (CGD) projects across the country.

GAIL Gas has been authorised by the Petroleum and Natural Gas Regulatory Board to implement CGD projects in Dewas (Madhya Pradesh), Kota (Rajasthan), Sonepat (Haryana), Meerut (UP), Vadodara (Gujarat) and Taj Trapezium Zone (UP).

The investment envisaged for developing this CGD project is approximately $US2.3 million.

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