GAIL Gas to set up 100 CNG stations in Mangaluru, India

Shri A.K Jana, CEO, GAIL Gas expressed that “People in Mangaluru will have a better quality of life by creating CNG infrastructure to promote cheaper and cleaner fuel. Partnering with the company will also be an opportunity for those in possession of land to join hands with GAIL Gas in their endeavor “Haccha Haridra Dakshina Kannada” to provide clean fuel for the transport sector.”

According to a press release from the organization, under the drive an entire plot owned by a private owner will be developed exclusively for setting up of CNG station  and allied commercial activities at the discretion of GAIL Gas.

The CNG equipments (compressor/ cascade/ dispenser, etc.) will be installed and commissioned by GAIL Gas following all the statutory rules/guidelines. The dealer will have to arrange all the permissions to setup CNG Station including change of land use, necessary clearance, license, etc. at own expense and cost. The day to day operation of the equipment as well as of CNG retail outlet including dispensing of gas and general maintenance shall be the responsibility of the appointed dealer. The Dealer shall be paid commission by GAIl Gas as per the sales achieved based on the fixed dealer commission.

GAIL Gas has won the authorization of the City Gas Distribution Project in Dakshina Kannada District, Mangaluru through 9th round of Bidding by Petroleum & Natural Gas Regulatory Board.  CGD Project of Dakshina Kannada District will supply Compressed Natural Gas for transport Sector, Piped Natural Gas for Households, Industries & Commercial Units. The Project will cover 4861.00 sq. kms.

The total Capital investment for the project is 284 million USD for initial 25 years. The district will have 100 CNG stations and approximately 350,000 households connected with Piped Natural Gas. A network of 1250-inch kms will be laid in the district, benefiting 2 million people. The supply of Piped Natural Gas to industries and commercial units will also help in reduction of pollution in the city. The Project will connect hotels & restaurants in cities.  The main source pipeline for the CGD project will be GAIL’s Kochi-Koottanad-Bangalore-Mangalore Pipeline project (KKBMPL) Pipeline.

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