Kutch (East) Industries and residents demand natural gas

The residents, industries, and commercial units of Kutch (East) are demanding that their area be served by natural gas as it is not just a cheaper fuel but also greener. After Gandhidham Chamber of Commerce and Industry (GCCI) wrote to the petroleum regulator PNGRB demanding natural gas supply be commenced in the Kutch East region, the Tanker Owners and Operators Association of Gandhidham (TOOA) too has demanded CNG stations be set up in the region.

By all accounts, industries and residents are getting a raw deal from Jay Madhok Energy, the company, which has won the bid to provide CNG and PNG in the Kutch East area way back in 2015. In spite of passage of eight years, there is little to show for infrastructure creation in terms of the CNG stations and distribution network to supply gas.

Kutch East comprises of four talukas with a population of over 15 lakhs, and lack of natural gas in the region means 3.5L households are deprived of a clean and cheap energy source even as the nation is seeing rapid rollout of PNG and CNG network. Besides being an industrial hub, the area has two major ports and is home to steel, cement, minerals, timber, oil & chemicals, and plywood industries. The region sees ~25,000 trucks and trailers operating from the Kandla port complex alone.

As per the letter written by Ramesh N Myatra, president of TOOA, not just local transporters, even those travelling through the region face supply challenges as there are no CNG dispensing stations. Similarly, Mr. Mahesh Puj, President, GCCI said that lack of natural gas distribution network is deterring potential investors and thereby hindering establishment of new industries in the region. Both organisations have pleaded to PNGRB to expedite a resolution so that the local populace gets access to natural gas.

With the residents, industry and commercial establishments using other polluting fuels like wood, kerosene, petrol, diesel, naptha etc, it is not only causing pollution, impacting citizen’s health, but also more expensive. Natural gas is a cleaner source of energy and hence once available, the city can look for significant reduction of air pollution.

“It’s been over a decade that my friends and relatives in other cities have got rid of LPG cylinders in favour of piped gas in their kitchens. Many of them have additionally opted for CNG cars as it is cheaper to run versus petrol or diesel, but we are not able enjoy these benefits because there is no CNG outlet and PNG connection in our city,” said Mr. Jaidev Shah, a city resident.

Sources say the oil and gas industry regulator has sent repeated show cause notices to Jay Madhok Energy, a New Delhi based company, over it defaulting on its committed timelines. The local authorities viz state pollution control board, state / district administration have also taken a serious note of the significant delays in roll-out of the gas distribution infrastructure, amongst the outcry from the consumer community seeking access to gas.

In Nov 2020, news emerged that Adani Total Gas has agreed to take over the responsibility to provide PNG and CNG in Kutch (East) from Jay Madhok Energy. The matter is courts and residents and industries are praying for a quick resolution. Adani Total Gas Limited (a JV of Adani Group and Total Energies) is India’s leading city gas distributor, serving cumulatively almost 10L customers nationwide and has ~850 CNG stations.

An industry observer said with Adani Total Gas’ track record of quick roll out, residents and iindustrial consumers can look forward to getting CNG, PNG, once the regulatory hurdles are cleared for its takeover.

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