Gas bounty headed for India's Bengal in 2012

The city may finally get rid of the monster called automobile pollution after a wait of just three more years. The country's leading oil giants Reliance Industries Limited (RIL) and Gas Authority of India Limited (GAIL) are confident of bringing West Bengal within the central gas grid by March 2012.
This will bring in CNG, cut out LPG shortage and leave no excuse for owners of polluting vehicles to dodge the green fuel switch. What's more, it will increase power production and improve commercial transport.

RIL has already applied for a gas distribution licence for Kolkata. RIL will connect Haldia with Kakinada to bring gas from the Krishna-Godavari basin to the east through a pipeline that will be laid by 2012. GAIL will bring Hazira gas to Haldia through its proposed pipeline from Jagdishpur to Haldia.
Going by even conservative estimates, the gas supplied by the two would be enough to generate over 8,000 MW of power enough to ensure uninterrupted power supply in Bengal. What's more, itcould take care of the CNG requirements of the entire commercial transport fleet in the state, including buses, taxis, autos and goods vehicles.

Sources said RIL has submitted applications to the Petroleum and Natural Gas Regulatory Board (PNGRB) for gas distribution licences in four cities of Bengal Kolkata, Haldia, Burdwan and Durgapur. The detailed plan could include CNG outlets in the city. The 800-km pipeline proposed by GAIL is supposed to bring 16 mm cm of gas to Haldia from Jagdishpur in Uttar Pradesh.
Gas Authority of India Limited (GAIL) and Reliance Industries Limited (RIL) could put an end to Bengal's pollution and power woes. GAIL, which plans to bring 16 mm cm of gas to Haldia from Jagdishpur in UP, would divert a trunk pipeline to Kolkata from Panskura, 42 km from the city, say sources.

"GAIL will use the pipeline to flow the gas both ways Jagdishpur to Haldia and Haldia to Jagdishpur. Once the Krishna-Godavari basin gas of RIL is available, then the flow from Haldia to Jagdishpur will be activated," said an official. RIL plans to bring 20 mm cm of gas per day which can generate 5,000 MW of power, said sources.
"To start with, we shall bring gas from the Krishna-Godavari basin. Later, the same pipeline will be used to bring gas from the Mahanadi basin," said an official. RIL has estimated an investment of over Rs 10,000 crore for the 1,100-km Kakinada-Haldia pipeline. Apart from this, RIL had announced that it could invest over Rs 2,500 crore for the gas distribution project in the city.

GAIL, too, had signed an MoU with Indian Oil Corporation for a gas distribution project in Kolkata two years back. It is learnt that gas companies have requested the state government to ensure demand for at least 10 mm cm of gas per day in order keep the prices affordable. This is enough for generating 2,200 MW of power.
The replacement demand in these areas of the state is close to 3.5 mm cm at present. Currently, GAIL operates around 6,800 km pipeline for handling 150 mm cm gas. The futurepipeline expansion plan of the PSU gas major includes around 5,000 km additional pipeline in India to handle over 300 mm cm natural gas.

RIL's Reliance Gas Transportation Infrastructure (RGTIL) has laid 1,300-km pipelines in the country and plans to add 1,600 km more. Reliance and GAIL have drawn up a plan for city gas distribution in 200 cities across India. GAIL plans green highways' by setting up 2,000 CNG stations along major routes.
Experts feel the expansion of the gas network would not only reduce pollution but also reduce foreign exchange outgo by reducing demand for high speed diesel and motor spirit.