A city-based firm has bagged the City Gas Distribution project (CGD) in Krishna district of Andhra Pradesh, a programme that involves establishing and operating the network on the authorised area of over 8,400 sq. km.
The Petroleum and Natural Gas Regulatory Board (PNGRB), while granting authorisation recently to the company, Megha Engineering & Infrastructures Ltd, has said that the work “of laying, building, operating or expansion of CGD network should commence within six months.”
The company has already initiated the preliminary work. Besides, Krishna district, it has bagged CGD projects for Tumkur and Belgaum in Karnataka, in the same fifth round of bidding that the PNGRB had initiated earlier this year, sources in MEIL said.
The authorisation for Krishna district, however, is not inclusive of Vijaywada as that is a separate GA (geographical area) and already awarded to another entity, the source said. Apart from hydrocarbons, other fields in which MEIL was engaged, included irrigation, water management and roads and buildings.
The work, the regulator agency said, among other things entails designing and installing an optimal size of infrastructure in terms of pipelines of various types and provision of online compressors of adequate capacity to compress the natural gas into CNG.
As per the minimum work programme prescribed by PNGRB that the company has to undertake in the first five years, 1,800 km of pipeline are to be laid and as many as 50,837 domestic PNG (piped natural gas) connections issued. The CGD project comprises four user segments – domestic, automobile, commercial (such as restaurants) and industrial, the source said.
