India to Expand Natural Gas Pipeline Network by Nearly 11,000 Km
India plans to expand its natural gas pipeline network by 10,805 kilometres (6,714 miles), the Ministry of Petroleum and Natural Gas announced on January 7, 2025.
The expansion will build upon the current operational network of 24,945 kilometres (15,499 miles) as of September 10, 2024, representing a 62.6% increase from the 15,340 kilometres (9,532 miles) operational in 2014.
According to the ministry, the expansion is a significant step toward completing the national gas grid, which would ensure uniform natural gas availability across all regions.
The Petroleum and Natural Gas Regulatory Board (PNGRB) has authorised the new pipelines, which will connect major demand and supply centres across India, promoting uniform economic and social progress when completed, the ministry said.
The PNGRB has also amended regulations to incorporate a unified tariff for natural gas pipelines, with a mission of “One Nation, One Grid and One Tariff.”
India’s national gas grid includes interconnected pipeline networks owned and operated by various entities, including Indian Oil Corporation Limited, Oil and Natural Gas Corporation Limited, and GAIL (India) Limited. The reform is expected to benefit consumers in remote areas and facilitate the development of gas markets.
In line with the government's efforts to boost gas supply and distribution networks, the PNGRB has already authorised 307 geographical areas for the development of City Gas Distribution (CGD) infrastructure, aiming for near-universal coverage of the country’s area and population.
As of September 30, 2024, there were 13.6 million piped natural gas connections for domestic use and 7,259 compressed natural gas stations.
The ministry also reported progress in exploration and production, with 144 blocks allocated to companies in eight open acreage licensing policy (OALP) bid rounds, representing a committed investment of $3.137 billion.
So far, thirteen hydrocarbon discoveries have been made in OALP blocks, with one discovery already producing gas in Gujarat.
According to the ministry, Round IX of OALP, offering approximately 136,596 square kilometers (52,739 square miles), received strong bidder interest. The bids are currently under evaluation, and blocks are expected to be awarded soon.
Round X will offer 191,986.21 square kilometres (74,126 square miles) for international competitive bidding.