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IOC, Adani, HPCL biggest bidders for city fuel licences

New Delhi: State-owned Indian Oil Corp (IOC) has emerged as the biggest bidder for town gas licenses in the tenth bid round that still noticed Adani Group, Hindustan Petroleum Corp Ltd (HPCL) and Indraprastha Gas Ltd as the opposite prominent bidders, according to oil regulator PNGRB. IOC, the use of a’s top oil refiner and gasoline advertising enterprise this is trying to diversify into natural gasoline distribution business massive time, bid for licenses to retail CNG to vehicles and piped herbal fuel to households in 35 out of the 50 towns put on to provide for the tenth round and some other seven in partnership with Adani Gas.

Adani Gas bid for 19 towns on its own and 7 in partnership with IOC, the Petroleum and Natural Gas Regulatory Board (PNGRB) stated after the hole of bids among February 7 and nine. HPCL, a subsidiary of state-owned Oil and Natural Gas Corp (ONGC), emerged because the 1/3 largest bidder, putting in bids for twenty-four cities and cities while Gujarat-based Torrent Gas carried out for 20 regions.
Indraprastha Gas Ltd, which retails CNG and piped cooking gasoline in the national capital, put in bids for 15 regions even as Bharat Gas Resources Ltd, a subsidiary of kingdom-owned Bharat Petroleum Corp Ltd (BPCL), bid for 14 towns. State-owned GAIL India Ltd, that is u . S .’s largest gas marketer and transporting company, installed bids for simply 10 areas via its subsidiary GAIL Gas Ltd.

In the closing bid round, it had managed to bag just 5 out of the 86 Geographical Areas (GAs) placed on offer. In the preceding 9th spherical which turned into provided only some months again, Adani Gas had received metropolis fuel licenses for 13 cities on its very own and 9 in a joint assignment with IOC.

IOC had won licenses for seven cities on its own. Bharat Gas Resources Ltd had walked away with 11 towns whilst Torrent Gas had made 10 winning bids. Sholagasco Pvt Ltd bid for nine out of the 50 GAs put on offer in the 10th spherical whilst Gujarat Gas bid for seven and Petronet LNG Ltd installed bids for five regions.

Petroleum and Natural Gas Regulatory Board (PNGRB) had on the near of bidding on February 5 said about 225 bids have been acquired for a license to retail CNG to motors and piped herbal gasoline to households in 50 GAs supplied inside the tenth City Gas Distribution (CGD) bidding round. It had not found out the names of the bidders then.

Eight out of the 50 GAs obtained unmarried bids, with IOC being the simplest applicant for six regions in Bihar and Jharkhand at the same time as other unmarried bidders had been Bharat Gas Resources Ltd and GAIL Gas Ltd for one region every.

Stating that the licenses might be offered through the month stop, PNGRB had on February five stated, “Once presented, it is envisaged that this initiative would assist in creating a robust infrastructure through bringing an investment of about Rs 50,000 crore, generate employment and play a good sized function in attaining the shift towards a fuel-based economic system, with herbal gasoline as the subsequent technology, less expensive and environment-friendly fossil fuel.”

In the tenth spherical of CGD, 50 GAs, overlaying 124 districts — 112 complete and 12 elements — in 14 states were put on offer in November 2018. The spherical might expand town fuel coverage to 18 in step with the cent of India’s geographical area and 24 in keeping with the scent of its populace, the regulator said.

Together with past rounds, the CGD network would now enlarge to 400 districts, covering 70 in keeping with the scent of the populace. In the 10th round, bidders had been requested to cite the quantity of CNG stations to be installation and the variety of domestic cooking fuel connections to accept within the first eight years of operation. Also, they had to quote the length of pipeline to be laid inside the GA and the tariff proposed for metropolis fuel and compressed natural gas (CNG), in keeping with PNGRB.

The bid spherical comes inside months of the near of the 9th round, which become the largest ever CGD licensing spherical where 86 permits for promoting CNG and piped cooking in 174 districts in 22 states and union territories have been offered.

The government is targeting to elevate the percentage of herbal gas within the number one electricity basket to 15 in line with cent from the modern-day 6.2 in step with a cent in the following few years. The bid rounds are also aimed toward assembly Prime Minister Narendra Modi’s goal of giving piped cooking gas connection to 1 crore families, roughly triple the current length, with the aid of 2020.

Cities offered in the tenth round encompass Nellore in Andhra Pradesh, Muzaffarpur in Bihar, Kaithal in Haryana, Mysore and Gulbarga in Karnataka, Allapuza and Kollam in Kerala, Ujjain, Gwalior and Morena in Madhya Pradesh, Jhansi and Basti in Uttar Pradesh, Firozpur and Hoshiarpur in Punjab, Ajmer and Jalor in Rajasthan, Nainital in Uttarakhand and Darjeeling and Howrah in West Bengal.