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Bharat Petroleum to Invest Rs. 3,972 Crore for Development of City Gas Distribution Network in Aurangabad and Ahmednagar

New Delhi. : Bharat Petroleum Corporation Limited (BPCL), a ‘Maharatna‘ and a Fortune Global 500 Company, has launched the city gas distribution (CGD) network in Aurangabad and Ahmednagar districts. The Company will invest around Rs. 1,600 crore over next 5 years and a total of Rs. 4000 Cores for completion of full project.

Mr. Santosh Nivendkar – State Level Co-ordinator (Oil Industry) Maharashtra, Mr. Pandiyan T.V. – Regional LPG Manager, West, Mr. Jain Sukhmal – Executive Director I/C (Gas), Dr. Bhagwat Karad – Minister of State, Ministry of Finance, Mr. Akhtar Syed Abbas – Chief General Manager (PR & Brand), Mr. P S Ravi – Executive Director I/C (Retail)

BPCL won geographical area (GA) of Aurangabad and Ahmednagar during 9th round of bidding of PNGRB, through a wholly owned subsidiary Bharat Gas Resources Ltd (BGRL). During the first five years, approximately 3 lakh PNG connections, 100 CNG filling stations and laying of 350 km of steel pipeline network is planned in an area of 27,178 sq. km. in the GA.

Speaking at the launch of CGD network in Aurangabad, Shri Sukhmal Jain, Executive Director (Gas), BPCL said “Aurangabad and Ahmednagar will enter an era of Natural Gas as Piped Natural Gas and Compressed Natural Gas network will spread across both districts. We are delighted to be a part of this development to help both districts shift towards a green and clean fuel thereby contributing to the overall vision of “Net zero” carbon emission of the Company by 2040 and cut emissions as a response towards global climate change.

Expanding the PNG and CNG penetration across geographical areas is a part of our strategy that will enable us towards a sustainable planet. Being at a forefront of leading the change in a sustainable way, all our initiatives are aimed at providing Energy solutions to consumers that are environment-friendly by leveraging talent, innovation and technology.”

Despite the pandemic during last two years, the Company has already started laying steel pipeline for development of PNG and CNG in the two districts. BPCL has developed 21 CNG stations (15 in Ahmednagar and 6 in Aurangabad) and work is in process for 40 more CNG stations to be set up in both districts. For the industrial consumers, the connectivity in areas of Walunj and Shendre in Aurangabad and Supa in Ahmednagar is expected to be completed by September 2022.

Bharat Petroleum in City Gas Distribution Business

The government has set a vision to make India a gas-based economy. The goal is to increase the share of gas in the energy mix from the current 6 per cent to 15 per cent in 2030. We have already witnessed a growing demand for natural gas owing to its attribute of being a cleaner fuel, and of course improvement in supply and distribution infrastructure over the years.

BPCL has emerged a major player in taking the vision of gas based economy a reality. After the successful bidding in the 11th bidding round by PNGRB, BPCL and its JV now have presence in 48 Geographical Areas in 94 Districts in 18th States, to develop City Gas Distribution (CGD) Networks. CGD Network project envisages marketing of Piped Natural Gas (PNG) to various customers in domestic, commercial & industrial segments and Compressed Natural Gas (CNG) to the automotive segment.

BPCL’s committed investment in CGD network, on standalone basis, would now increase to Rs. 22,000 Crore.

CNG is substantially economical and Eco-friendly than the conventional liquid auto fuel. It will bring clean cooking fuel at the door step of domestic house hold as well as providing clean fuel option to commercial and industries.

About Bharat Petroleum Corporation Ltd. (BPCL)

Fortune Global 500 Company, Bharat Petroleum is the second largest Indian Oil Marketing Company and one of the premier integrated energy companies in India, engaged in refining of crude oil and marketing of petroleum products, with a significant presence in the upstream and downstream sectors of the oil and gas industry. The company attained the coveted Maharatna status, joining the elite club of companies having greater operational & financial autonomy.

Bharat Petroleum’s Refineries at Mumbai & Kochi and subsidiary Bharat Oman Refineries Ltd., at Bina, Madhya Pradesh have a combined refining capacity of around 35.3 MMTPA. Its marketing infrastructure includes a network of installations, depots, energy stations, aviation service stations and LPG distributors. Its distribution network comprises over 19,000 Energy Stations, over 6,100 LPG distributorships, 733 Lubes distributorships, 123 POL storage locations, 53 LPG Bottling Plants, 60 Aviation Service Stations, 3 Lube blending plants and 4 cross-country pipelines.

Bharat Petroleum is integrating its strategy, investments, environmental and social ambitions to move towards a sustainable planet. The company has chalked out the plan to offer electric vehicle charging stations at around 7000 energy stations over next 5 years.

With a focus on sustainable solutions, the company is developing a vibrant ecosystem and a road-map to become a Net Zero Energy Company by 2040, in Scope 1 and Scope 2 emissions. Bharat Petroleum has been partnering communities by supporting innumerable initiatives connected primarily in the areas of education, water conservation, skill development, health, community development, capacity building and employee volunteering. With ‘Energising Lives‘ as its core purpose, Bharat Petroleum’s vision is to be the most admired global energy company leveraging talent, innovation & technology.