Three-month delay for Adani CNG to Noida

Vol 10, PW 22 (08 Mar 07) News in Brief

Plans by Adani Energy to begin CNG supplies this month to Noida on the outskirts of Delhi will be delayed by three months.

“GAIL is yet to provide connectivity to our CNG station from its â€کtap off’ in Noida,â€‌ says Adani. “Our CNG station is ready but commissioning is not possible until we sign a transmission agreement and GAIL completes physical work.

This will start only after we sign the agreement.â€‌ Adani is waiting for GAIL to formally invite it to sign a gas transmission agreement.

“We have agreed to their terms,â€‌ says a source. “GAIL must tell us how much money or bank guarantee we need to pay.

â€‌ Adani first approached GAIL in August last year but uncertainty over the next GAIL chairman led to delay. “Our file has been going back and forth,â€‌ we hear.

“GAIL says it is a policy issue for them to give access to a third party.â€‌ After several months the file has been approved.

Adani believes GAIL will lay a connection to its CNG station in Noida by June this year.

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