Bottlenecks Blocking Expansion of Piped Natural Gas Network Across India
Bottlenecks Blocking Expansion of Piped Natural Gas Network

A special task force formed by the Petroleum and Natural Gas Regulatory Board (PNGRB) has identified several critical bottlenecks impeding the expansion of the piped natural gas (PNG) network across India. These include slow last-mile connections, material shortages, a skilled workforce deficit, fragmented approvals, and the absence of a unified digital system.

Key Bottlenecks Identified

The task force, established to accelerate clean energy adoption, observed that while PNG expansion has reached an execution inflection point and pipeline infrastructure exists, the primary bottleneck is last-mile speed. To achieve the target of 60 lakh new household PNG connections within 90 days, it is essential to address three physical bottlenecks: shortage of materials, shortage of skilled workers, and slow installation methods.

Material Shortages

According to the report, the sector requires 21 lakh gas meters, 18 lakh domestic regulators, and 120 lakh appliance and isolation valves, in addition to skilled manpower. The task force recommended forming a city gas distribution (CGD) industry technical committee under PNGRB to take all technical and material decisions, including exploring new or advanced materials and enabling material pooling across CGDs. It also suggested expediting procurement through reverse auctions and pre-approved vendor panels. Furthermore, the panel asked the petroleum secretary to remove material chokepoints by eliminating import duties and fast-tracking clearances for gas meters and regulators.

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Workforce Shortage

To address the manpower shortage and scale up the workforce, the task force proposed that the urban development ministry deploy water plumbers for outside-kitchen PNG work. Additionally, the skill development ministry should run urgent two-week training courses with CGD entities at local institutions.

Installation Methods

The panel noted that switching to multi-layer composite pipes would dramatically reduce installation time and skill dependency compared to traditional GI piping.

Administrative and Policy Recommendations

The petroleum ministry issued a new order in March focusing on reforms to fast-track approvals for laying pipeline infrastructure, standardize charges, and ensure time-bound permissions for promoting a shift from LPG to PNG to strengthen energy security. The task force recommended that the petroleum secretary issue inter-ministerial directions to remove administrative and approval blockages. Specific suggestions include making PNG connections mandatory in all new and under-construction buildings, reducing value added tax on gas, mandating piped gas for commercial food establishments where infrastructure exists, and simplifying forest clearances for underground pipeline crossings along existing road corridors.

Digital and Promotional Initiatives

The task force also suggested launching a nationwide campaign to promote PNG, creating a unified digital system where LPG connections are surrendered automatically once PNG is activated, and supplying gas in cryogenic cylinders through vehicles in areas where pipelines do not exist.

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