IGL set to compete Haryana Gas in Gurugram

Vol 20, PW 23 (10 Aug 17) Midstream & Downstream

On strict orders from oil minister Dharmendra Pradhan, Indraprastha Gas (IGL) has come to the rescue in Haryana's Gurugram area, until now monopolised by Haryana City Gas.

PETROWATCH learns during a review meeting of CGD operations, Pradhan was visibly unhappy with the slow progress of Haryana City Gas in setting up a retail gas network at Gurugram and was also told that its quarreling promoters, the Chopra brothers, have split the area. Upset, Pradhan turned to IGL and told it to approach the Supreme Court for permission to work in Gurugram.

IGL did exactly that and on July 14 (last month) director commercial V. Nagarajan confirmed to the Bombay Stock Exchange that the industries and commerce department of the Haryana government had granted it permission to lay a gas network in the area between the west side of Sohna Road and National Highway 8 (NH8).

Also on July 14, the Supreme Court at a hearing of an ongoing case criticised the state Haryana state authorities for the slow progress made by Haryana City Gas. "Haryana City Gas is operating in Gurugram since 2008," we are told.

"They haven't done much work till date. The Supreme Court noted this and directed Haryana to allow IGL's entry." IGL aims to set up 10 CNG filling stations and to lay a network to supply piped gas to 10,000 households at a cost of Rs75cr ($12.5m) to Rs100cr ($16.6m) over one year.

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