ADANI: Angry about CNG-fired train delays

Vol 18, PW 15 (26 Mar 15) Midstream & Downstream

Adani Gas is losing interest in setting up a CNG station at the Kankaria Railway Yard in Ahmedabad so Western Railways can run gas-fired trains.

Since last year Adani has had no email, letter or phone call from Western Railways to update it on whether it can secure a 600-sq metre plot of land to set up the Rs1cr ($160,000) CNG station. “We’ve been sending reminders every month,” complains an Adani source.

“But they’re taking their own time.” Western Railways had ambitious plans to convert 30 diesel-fuelled railway engines to run partly using CNG with kits supplied by US-based Cummins from its Pune facility.

Adani was hoping to sell 10,000 cm/d to Western, rising to 50,000 cm/d in two years. But Adani last heard from the state-owned railway company in October 2014.

Western had written to say the file containing the land allocation proposal was lost in transit while moving through various departments for clearance. Frustrated Adani wrote to Western in January this year, saying it planned to use the CNG compressors and dispensers reserved for Kankaria, which is near Kalupur railway station, for its retail gas operations at Faridabad in Haryana instead.

When contacted a Western source denies it is delaying the project, adding that land acquisition is at an advanced stage.