Piped gas for Lucknow and Agra by August

Vol 13, PW 24 (20 May 10) Midstream & Downstream

Homes in Agra and Lucknow will at last start receiving piped gas sometime this August from GAIL and IndianOil joint venture Green Gas.

PETROWATCH learns Green Gas has overcome some of the difficulties it faced earlier in setting up its pipeline network, such as worries about Adani Energy making inroads into Lucknow without proper authorisation. “By end-July or early August we should begin piped gas supplies to households in both Lucknow and Agra,” claims a Green Gas source, confidently.

But when asked why Green Gas has already delayed plans to begin piped gas supplies twice, our source remained tight-lipped. “We faced delays due to a combination of external and internal factors,” he says, without divulging further details.

Green Gas originally wanted to begin piped gas supplies at the end of last year, but plans were pushed back to March, and now moved to August. Green Gas says initial supplies will be to around 500 homes in each of these two cities.

Ambitious plans to connect 70,000 residences in Lucknow within five years and 6000 in Agra by next March have been drawn up. “In both cities we are focusing on clusters of multi-storeyed residential complexes that have sprung up,” we hear.

Green Gas is also planning to begin piped gas supplies to factories and hotels in and around the two cities by October. Separately, our company source says Green Gas has seen a sharp hike in CNG sales in Lucknow and Agra since we last wrote about the company in January this year.

CNG sales in Lucknow have almost doubled to 60,000 kg/day from 35,000 kg/day in January, while in Agra they have risen to 35,000 kg/day from 20,000 kg/day. Agra is not expected to see any more CNG sales but an additional 3000 kg/day is forecast for Lucknow.