GAIL to invest Rs 4,276 cr to improve natural gas network in Odisha

Rs 1,000 cr earmarked for Bhubaneshwar; Cuttack to receive Rs 750 cr

State-run gas company GAIL (India) Ltd has proposed to invest Rs 4,276 crore for supply of natural gas in major industrial hubs in Odisha and city gas distribution for Cuttack and Bhubaneswar.

The company will have its natural gas pipeline in the districts of Bhadrak, Jajpur, Dhenkanal, Angul, Jharsuguda, Sundargarh, Sambalpur, Deogarh, Cuttack, Kendrapara, Jagatsinghpur, Puri and Khordha. It needs around 51 acres in various locations for sectional valve, pigging station, dispatch/receiving terminals, city gas stations and pipeline.

The project has an employment potential of 1,141.

The proposal of GAIL was considered on Wednesday by the State Level Single Window Clearance Authority and referred to the High Level Clearance Authority chaired by the chief minister for approval.

GAIL has committed an investment of Rs 1,750 crore to build the City Gas Distribution (CGD) network in Bhubaneswar and Cuttack. Of the envisaged investment, Rs 1,000 crore would be spent on Bhubaneswar while the remaining Rs 750 crore is proposed for Cuttack. Gas distribution to households in the twin city region is expected to be a reality by December 2019 or early 2020.

“The Jagdishpur-Haldia-Bokaro-Dhamra natural gas pipeline being built by GAIL would be the feeder line for gas supplies in Odisha. This pipeline is being constructed at a cost of Rs 13,000 crore, of which Rs 4,000 crore is spent in Odisha. In two to three years, the entire pipeline would be constructed and commissioned,” A K Singh, executive director, GAIL (India) Ltd had said. In Odisha, the 2,619-km Jagdishpur-Haldia-Bokaro-Dhamra natural gas pipeline would have a network of 762 km, covering 13 districts.