No more spending at GAIL Gas
In these hard economic times gas retailer GAIL Gas is holding back on further infrastructure spending convinced that even the infrastructure it has already set up is under-used.
"This year, we won't be building many CNG stations or laying pipelines in cities we operate," confirms a senior GAIL Gas source. Only one additional CNG station is proposed at Firozabad in Uttar Pradesh to add to the two it has there already, together selling 14,000-kg/day.
"Demand in Firozabad is picking up," he adds. But otherwise don't expect any expansion in GAIL Gas's retail networks at Meerut in Uttar Pradesh, Sonipat in Haryana, Kota in Rajasthan, Dewas in Madhya Pradesh, Bengaluru in Karnataka or within the 10,400-sq km Taj Trapezium Zone that covers Firozabad, Bharatpur, Hathras, Fatehpur Sikri and Kosi Kalan.
In the last financial year that ended on March 31, 2016, GAIL Gas sold 550m cubic metres of gas across all its networks. "More investments will be made only when demand picks up," we hear.