India Receives 225 Bids in 10th City Gas Bidding Round
Indian downstream regulator Petroleum and Natural Gas Regulatory Board (PNGRB) has received 225 bids for the 50 geographical area on offer in the 10th city gas distribution (CGD) bidding round, it said February 5.
The 10th round was launched in November last year. The 50 geographical areas open to bidding cover 124 districts in 14 states, 18% of India’s geographical area and 24% of its population.
As part of the bidding process, PNGRB organised 10 roadshows in major cities across India during December 2018- January 2019. Last date of bid submission was February 5, 2019.
The technical bids would be opened between February 7 and February 9 and the winners will be finalised by end-February, PNGRB said.
“Once awarded, it is envisaged that this initiative would help in creating a robust infrastructure by bringing investment of about rupees 500bn ($7bn), generate employment and play a significant role in achieving the shift towards a gas-based economy, with natural gas as the next generation, cheaper and environment friendly fossil fuel,” PNGRB said.
The entities bidding shall be required to lay, build, operate or expand the CGD networks to meet requirement of natural gas in domestic, commercial and industrial segments including natural gas in the vehicular segment.
The ninth bidding round received a very strong response from the industry as well. During this round 86 areas covering 174 districts in 22 states and union territories were open for bidding. Technical bids were opened by PNGRB in July 2018. A total of 406 bids were received for the 86 areas; and 35 entities participated in the process. Private sector firm Adani Gas won the highest number of licences. According to PNGRB, the ninth round is likely to attract investments of rupees 700bn.