Piped gas supply to households in Kochi to be delayed

Kochi has to wait for some more time to get piped gas supply to households.

The launch of the City Gas Distribution Project in Ernakulam district will be delayed further because of the postponement of bid document sales to August by the Petroleum and Natural Gas Regulatory Board (PNGRB) at the request of bidders.

The bids were scheduled to be closed in February this year, which was extended to May and later to July.

The Ernakulam district is one of the 14 locations across the country where PNGRB proposed to take up the CGD project to supply natural gas to households, ensuring year-long cooking gas supply without disruption.

The PNGRB had first invited bids for gas distribution in 2011, but they were cancelled four times since then.

The PSU oil marketing companies and the newly formed Kerala Gas Ltd, a joint venture of GAIL and Kerala State Industrial Development Corporation, had submitted bids for city gas distribution project in the district.

The successful bidder will get a five-year exclusivity period and the first mover advantage.

According to KP Ramesh, Deputy General Manager of GAIL, Kochi, the delay in implementing the city gas project will deprive Kerala of domestic gas from the pool of 6.4 MMSCMD available as per the Gujarat High Court directives.

The implementation of the city gas scheme is a win-win situation for both the government and the consumers as it will reduce the subsidy burden for the government and provide steady supply of cooking gas to households at rates lower than subsidised LPG, Ramesh said.

When contacted, the Ernakulam District Collector, MG Rajamanickam said GAIL is awaiting the nod from PNGRB to start a demonstration project of piped gas to 100-plus households near the Cochin SEZ.

GAIL has already erected a 2-inch tap and piped gas can be supplied within two months, if permission is granted.

The district administration, he said, is hoping on the launch of the demonstration project as it would create awareness among the public on the advantages of piped gas supply. This would help reduce the public resistance on laying pipelines at various places and can be extended to other parts of the State.

Asked how long it would take to cover the entire Ernakulam district, he said this could be completed in the city limits at a fast pace as most of the flats have central LPG distribution system. However, laying of pipelines outside the city limits would take time on account of the protest.

COMMENT NOW