Bharat Petroleum Corporation Ltd (BPCL) said it will invest Rs 10,000 crore over the next five years in setting up city gas distribution networks in the cities for which it secured licences in the latest bidding round.
BPCL won licences to retail CNG to automobiles and piped natural gas for cooking purposes in six geographical areas or GAs bid out in the latest 11th bidding round of PNGRB.
"After announcement of results of bidding, BPCL's
committed investment in city gas distribution (CGD) network, on a standalone basis, would increase to over Rs 22,000 crore for development of 23 GAs, including Rs 10,000 crore for the 6 new GAs," BPCL said.
BPCL had won 6 GAs in 19 districts for setting up City Gas Distribution (CGD) networks, in the 11th bidding round of Petroleum and Natural Gas Regulatory (PNGRB).
"The CGD footprints of BPCL, along with its JVs, will now extend to 48 GAs covering 94 districts in 18 states, across India. Currently, with presence in 63 districts, including prominent cities, BPCL along with its JVs together hold 33% market share in the CGD sector in the country," it said.
The government wants to more than double the share of natural gas use, raising its share in the primary energy basket of the country from 6.2 per cent at present to 15 per cent by 2030. Hence this with a view that use of environment friendly fuel in automobiles, cooking and in industries will help cut down on carbon emissions and help meet its commitments.
BPCL, where the government is selling its entire near 53 per cent shareholding, entered into gas business through Indraprastha Gas Ltd.
