Financial Daily from THE HINDU group of publications Friday, Oct 29, 2004 |
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Co-operatives Industry & Economy - Petroleum Now, a gas cooperative in Anand Gaurav Raghuvanshi
Anand , Oct. 28 THE first cooperative movement here gave birth to the white revolution in the country. But the enterprising Patel community of Anand in Gujarat is not one to rest on past laurels and has identified natural gas as the next big opportunity. In perhaps the first cooperative sector initiative of its kind, the Charotar Gas Sahakari Mandali Ltd, has entered the gas distribution business for both domestic and small scale industry (SSI) sector. In fact, the Mandali already has on board nearly 40 SSI units as customers and has recently started supplying piped gas to over 500 households from Gana, a small but prosperous village on the outskirts of India's milk capital, Anand. The cooperative was set up in 1999 and has been supplying gas from a private field in Bavla near Ahmedabad. It has acquired the gas distribution rights for Anand, Ahmedabad and Kheda districts of Gujarat. The state-owned Gujarat State Petroleum Corporation (GSPC) has recently started supplying 15,000 cubic metres per day of Regassified Liquid Natural Gas (RLNG) at Gana, where it has a junction point in its gas pipeline. "It is a small amount of gas for us and did not require any major investment to put up the tapping point. But for the cooperative, it will be a big help as they can now be assured of continuous supply," the GSPC Managing Director, Mr D.J. Pandian, told Business Line. The Charotar Gas Mandali now aims to ramp up its customer base and step up gas supply from 20,000 cubic metres to 80,000 cubic metres per day. It has initiated talks with the region's milk cooperatives to reach out to rural households through its gas distribution network. "Our aim is to reach all villages of Anand district in the coming years. Apart from industrial units and households, we are also supplying gas to the hostels and science laboratories of the university. We also want to start wind power generation and have asked the State Government to give a commitment to take power from the proposed farms," the Charotar Gas Chairman, Mr Kiran Patel, said. Praising the entrepreneurial spirit of the cooperative, the State Energy and Protocol Minister, Mr Saurabh Patel, said that the Gujarat Government would take steps to encourage similar cooperative initiatives across the State. "There are 158 GIDC (Gujarat Industrial Development Corporation) estates in the State that can benefit from the availability of natural gas in the State. I am told that many industries spend nearly 25 per cent of their annual turnover on fuel. If they switch to gas, their profitability would increase," Mr Patel said. While the Government could not buy power from wind mill farms as it would turn out to be more expensive, Mr Patel said that Gujarat Government was encouraging captive wind mills and gas-based power plants to meet the needs of power by industries.
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