With commissioning of major sections of the ambitious Gas Grid project nearing fast completion spread over industrial corridor of Gujarat between Vadodara and industrial hub of Surat district, Hazira, Gujarat State Petronet Ltd (GSPL) is now focusing on domestic distribution.
Eyeing on the prospective of strong business revenue, GSPL has decided to further undertake the pipeline from Sherki in Vadodara district to Ahmedabad as the next step. GSPL has invited expression of interest (EoI) from established companies for engineering, procurement and construction of pipeline from Sherki to Ahmedabad.
August 15 has been scheduled as the last date for submitting bids to undertake the infrastructure development work for GSPL, a source in the company said.
The project will involve an underground cross-country gas pipeline of 24-inch diameter and about 100 km length with associated services such as terminals. The company, an initiative of Gujarat government, thus far has been focusing on supplying gas to industrial sector mainly, with a portion sharing with the commercial segment, as well.
With the latest plan to reach gas in the domestic segment, GSPL officils here, are optimistic of rising revenue as well business volume.
GSPL is developing an integrated gas grid network for transportation of gas in the state. In a recent development, GSPL has been designated as nodal agency by the state government for planning and developing the gas pipeline grid in Gujarat. "The gas grid project in Gujarat is taking rapid strides. Today the company has approximately 120 kms of its pipeline in place and it is expected to complete the Paguthan-Vadodara pipeline by April 2003," said a source in GSPL.
The work is also progressing very fast on another 200 km of pipeline sections, which include Vadodara-Ahmedabad section, which is scheduled for completion by December 2003. Work is in progress on various sections of this pipeline. Pipelines shall be developed up to Vadodara by March 2003 end and up to Ahmedabad by December 2003. "Simultaneously, gas pipelines shall also be developed in the Saurashtra region," said the source.
GSPL current year's revenues are expected to cross Rs. 100 crores and the company also expects to make maiden profit in this financial year. In three years, the company's revenues are expected to reach Rs 300 crore. Gas production in the state, especially in the private sector such as GSPCL, Niko consortium project, Cairn Energy is likely to increase in the near future. LNG import terminals are also being set up in the state in Hazira and Dahej. Regassified LNG is likely to be available in Gujarat by 2004.
