• 16 Jul 2018

Major oil companies (Petronet LNG, Indian Oil Corporation, Bharat Petroleum Corp Ltd ) in India are moving collectively to introduce close to 20 Liquefied Natural Gas (LNG) fuelling stations on some of the country’s main heavy transportation routes next year.

Mr. V. K. Mishra Director, (Finance), Petronet LNG Ltd, says tenders will be issued for this purpose in next 15 days.

Mishra says the intention is to establish a pilot project base of some 5,000 LNG-fuelled trucks travelling five leading national highways. The remarks were made while addressing a Conference on “City Gas Distribution in India” under aegis of PHD Chamber of Commerce and Industry on July 12.

“Following its successful experiment, this exercise would have a repeat in subsequent year of 2020 for another estimated 5,000 trucks that can run on national highways on LNG with a fuel cost saving of nearly 25 percent as well effectively addressing the issue of fuel pollution” said Mishra.

The development fits within the government’s determination to cut fuel costs and address air pollution. Inspiration for the initiative also comes from China’s extraordinary embrace of LNG for HDVs, where there are reportedly close to 300,000 LNG trucks operating.

Indian manufacturers including Tata and Mahindra are also being encouraged to produce LNG-fuelled vehicles and thereafter buses in order to grow the project base.

Officer on Special Duty (OSD) to CMD, GAIL India Ltd. & Chairman, Energy Committee, PHD Chamber, Rajeev Mathur in his observations drove home the point that until EVs become the reality of the day, the natural gas should be encouraged as a better alternate fuel to feed the transportation sector as it would not only save on cost but also immediately address the issue of increasing vehicular pollution.

Petronet LNG Limited, one of the fastest growing world-class companies in the Indian energy sector, has set up the country's first LNG receiving and regasification terminal at Dahej, Gujarat, and another terminal at Kochi, Kerala. While the Dahej terminal has a nominal capacity of 15 MMTPA, the Kochi terminal has a capacity of 5 MMTPA.

Four of the top public sector companies of the country's Hydrocarbon Sector viz. Oil and Natural Gas Corporation Limited (ONGC), Indian Oil Corporation Limited (IOCL), Bharat Petroleum Corporation Limited (BPCL) and GAIL (India) Limited (GAIL) have invested in Petronet LNG. Each has a 12.5% equity share, leading to a total of 50% for the four.

  Source:  PHD Chamber of Commerce and Industry, New Delhi