Union Minister for Petroleum and Natural Gas Dharmendra Pradhan has informed the Rajya Sabha that work is in progress for supply of piped gas in North Andhra through Indian Oil Corporation Limited (IOCL).
In response to a question by YSRCP member V. Vijaya Sai Reddy, the Minister said they had given mandate to IOCL for piped gas supply in Srikakulam, Visakhapatnam and Vizianagaram districts.
Elaborating on the issue, he said the Petroleum and Natural Gas Regulatory Board (PNGRB) was the authority to grant authorisation to the entities for the development of City Gas Distribution (CGD) network in Geographical Areas (GAs) as per the PNGRB Act, 2006.
The PNGRB identifies GAs for authorising the development of CGD network in synchronisation with the development of natural gas pipeline connectivity and natural gas availability. The PNGRB has authorised IOCL for development of CGD network in Srikakulam, Visakhapatnam and Vizianagaram district GAs under ninth CGD Bidding Round.
Mr. Pradhan said as per minimum work programme submitted to PNGRB, the entity was committed to providing 9.29 lakh PNG domestic connections to households and to set up 211 CNG stations over the work plan period. As per CGD authorisation regulation, authorised CGD entity is required to achieve gas supply agreement and financial closure, which was completed by IOCL on August 8 last.
Further, IOCL has taken steps for setting up the hook-up facilities, construction of City Gate Station, designing of networks in order to provide piped natural gas to households.