City gas distribution networks to expand, making gas accessible to 70% of population

New Delhi: With the government placing a greater emphasis on gas production from challenging fields, experts predict that gas distribution in cities may improve with a relatively lower cost. The expansion of city gas distribution (CGD) networks across 407 districts has the potential to make gas accessible to more than 70% of the population. These distribution networks will enable the supply of cleaner cooking fuel to households, businesses, and other industrial and commercial facilities, as well as fuel for transportation.

According to a report, the government will prioritize gas from challenging fields for compressed natural gas (CNG) and piped natural gas (PNG) households, if the bidding prices are comparable. This approach also has the added benefit of reducing trading margins on gas resale in difficult fields. Prioritizing CGDs would allow them to replace expensive spot gas with cheaper domestic gas.