Mahanagar Gas (MGL) has decided to give EPC contracts to Indian companies. The company recently held discussions with Punj Lloyd and Dodsal for laying steel and polyethylene pipelines in Mumbai.
We are looking out for contractors on turnkey basis having expertise in laying steel and medium density polyethylene pipes. The contractors should also be sensitive to issues such as environment and matters relating to safety and congestion in the city, Don Bolton, technical director with Mahanagar Gas said.
Mahanagar Gas, a joint venture of British Gas with Gas Authority of India (GAIL), plans to supply 1.5 million cubic metres of gas per day in Mumbai. The project allocates 32 per cent of piped gas to domestic customers, 8 per cent to commercial and 48 per cent to industries.
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The remaining 12 per cent will be allocated for compressed natural gas (CNG), an alternate fuel for 4-wheelers.
Mahanagar Gas is expediting its operations as it is running almost 12 months behind schedule. The company is not only planning to improve its profile but is also considering increasing awareness on usage of natural gas as alternate fuel and cheaper fuel compared to LPG.
The company also plans to pick up individual colonies for supply to domestic customers. It is also choosing best routes and will now enter the densely populated parts of the city such as Kurla, Ghatkopar, Vikhroli, Andheri (East) and Bandra-Kurla.
Till date, the piped gas caters to only 8,000 domestic customers, 50 commercial and one industrial customer in Chembur.
By the end of this construction season, the company expects to increase its customer base to 10,000 domestic users and will also enter the Ghatkopar belt, Bolton said.
Explaining delay in construction work, Bolton said it is difficult to penetrate the city as it is very congested.
However, we plan to extend the steel grid over 25 km and the medium density polyethylene pipes to 100 km by the end of next construction period.
Further, he indicated, ``the first two years have been difficult for the company as it had to provide office, train the staff, get clearances from the right agencies. By the end of next year, our customer base may go upto 40,000.
MGLs distribution network is estimated at a cost of Rs 500 crore which will ultimately supply gas to 6.2 lakh domestic customers as well as commercial and large industrial customers.
The construction work is expected to be complete within 14 years.