City Gas Distribution – An Overview

Introduction
• In recent years CGD has emerged as an area of rapid
growth in the oil and gas industry.
• CGD is commonly described as the final component
of the natural gas value chain.
• CGD reaches to final consumer in terms of
following uses:
 Industrial Sector
 Transportation
 Commercial Sector
 Domestic Purposes
 Historical development of CGD
Year Place Company Ownership
1880’s Calcutta Calcutta Gas Company Limited Private
1990’s Mumbai Bombay Gas Corporation Limited Private
1972 Vadodara Vadodara Municipal Corporation Local government
1980 Delhi Municipal Corporation of Delhi Local Government
~1982 ONGC colony at mehsana ONGC Government of India
1986 Kadi, Hazira ONGC Government of India
1985 Dulaijan Assam Gas Company Limited (AGCL) Government of Assam

1986 Sibsagar AGCL Government of Assam

1989 Bharuch Gujarat Gas Company Limited (GGCL) British Gas

1991 Surat GGCL British Gas

1994 Mumbai Mahangar Gas Limited (MGL) GAIL, British Gas,Maharashtra

govt.

1995 Delhi Indraprasthta Gas Limited (IGL) GAIL,BPCL,Delhi govt

2004 Ahmedabad, Baroda Gujarat Adani Energy Limited (GAEL) Private

2006 Gandhinagar GSPC Gas Limited GSPC

2006 Gandhinagar, Mehsana & Sabarmati Gas Limited GSPC,BPCL
Himmatnagar
Natural Gas Consumption in mmscmd

27

Domestic
Production
Imports
120
 Allocation of first 40 mmscmd from
KG D6
Sector Allocations

Existing Gas based fertiliser sector 15

Existing Gas based Power sector 18

City Gas Distribution 5

Existing Gas based LPG plants 3

 Allocation of the next 50 mmscmd
of gas
Sector Firm allotments Fallback allotments
Power 12.29 + (0.875) 12.00
Non urea subsidized 0.178
fertilizers

Steel ( for feedstock) 0.44

Petrochemicals 1.918
Refineries 5.0 6.00
CGD projects - 2.00
Captive - 10.00
Total 19.826 + (0.875) 30.00
 Organizations in Harms Way
Entities Gas promised in mmscmd

NTPC 1.14

Essar Oil’s vadinary refinery 0.6

ONGC’s LPG units 0.406

Rithala power plant (Delhi) 0.4

Bawana power plant (Delhi) 0.93

 PNGRB Act
An Act to provide for the establishment of
Petroleum and Natural Gas Regulatory Board to
regulate the refining, processing, storage,
transportation, distribution, marketing and sale
of petroleum, petroleum products and natural
gas excluding production of crude oil and natural
gas……………………………………….
 Section 16 (Authorization)
No entity shall-

(a) lay, build, operate or expand any pipeline as a common carrier or contract carrier,
(b) lay, build, operate or expand any city or local natural gas distribution network,
without obtaining authorisation under this Act : Provided that an entity :-
(i) laying, building, operating or expanding any pipeline as common carrier or contract
carrier; or
(ii) laying, building, operating or expanding any city or local natural gas distribution
network, immediately before the appointed day shall be deemed to have such
authorisation subject to the provisions of this Chapter, but any change in the
purpose or usage shall require separate authorisation granted by the Board
Thank You