Half the Capacity of the Proposed Longest LPG Pipeline to be Used by IOC
IOC (Indian Oil Corporation) has plans of using almost half the capacity of India’s longest LPG pipeline. The rest of the capacity is to be used by Bharat Petroleum, Hindustan Petroleum and Reliance Industries.
PNGRB (Petroleum & natural Gas regulatory Board) has invited bids from parties latest by June 6 to lay a 2,650km LPG pipeline starting from Kandla, Gujarat to Gorakhpur, Uttar Pradesh along with additional feeder lines of Dahej-Koyali and Pipavav-Ahmadabad. Six million metric tonnes per annum will be the capacity of the pipeline which will also include a common carrier facility for any 3rd party on open access basis. The length of the main line will be 2000km.
4 months ago, IOC had written to PNGRB stating it was interested in establishing a pipeline between Uttar Pradesh and Gujarat to meet the rising demand of cooking gas in India.
During the consultation process, GAIL stated that establishing such a pipeline would hurt the underutilised LPG pipeline of the company that also partly lies in the same proposed route and shouldn’t therefore be built. Companies who supported the pipeline had to intimate PNGRB during the consultation process as to how capacity each company was willing to utilise. BPCL and HPCL has committed 1.8 million metric tonnes, IOC has committed 3 million metric tonnes and RIL has committed 242,000 metric tonnes.