‘Bids expected to be received by mid-Jan 2024’
Bivek Mathur
JAMMU, Dec 28: In an important development, the Petroleum and Natural Gas Regulatory Board (PNGRB) has granted the approval for the commencement of the bidding process for a significant natural gas pipeline, linking Jammu with the summer capital, Srinagar.
This strategic initiative aims to usher in the use of natural gas, fostering sustainable development in the picturesque Kashmir valley while providing an environmentally friendly fuel solution for the mountainous terrain of Jammu and Kashmir.
The envisioned 325-kilometer pipeline is set to be a conduit for clean and eco-friendly natural gas, aligning with the national commitment to carbon reduction and sustainable progress.
Beyond its environmental impact, the availability of natural gas is poised to invigorate economic activities in the region, offering a cleaner and more efficient energy source for industries, businesses and households. This, in turn, is expected to contribute substantially to the overall economic development of Jammu and Srinagar.
Pertinently, the proposed natural gas pipeline from Jammu to Srinagar will originate from the ongoing 175-km-long natural gas pipeline project from Gurdaspur to Jammu, implemented by the Gas Authority of India Limited (GAIL).
Initiated in July 2023, the project (Jammu-Srinagar Gas Pipeline) underwent a comprehensive public consultation process facilitated by the PNGRB. This involved seeking input from the public, stakeholders and entities on aspects like route, indicative map, terminating point, and minimum capacity. The subsequent open house discussion in September 2023 provided a platform for stakeholders to express their views and concerns.
Followed by the public consultation phase, GAIL, one of the bidders, highlighted the necessity of Viability Gap Funding (VGF) to overcome the challenges posed by the challenging terrain. The Indian Oil Corporation Limited (IOCL) also expressed the interest in obtaining further details about the project.
With the bidding round for award of the license to distribute natural gas in Srinagar is currently underway, the PNGRB in its 130th Board meeting held on December 27, 2023, has clarified that bids are anticipated to be received by mid-January next year.
The Board has hoped that the qualified entities will actively engage in the bidding process, paving the way for the successful realization of this crucial infrastructure project.
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