NEW DELHI: State-owned Bharat Petroleum Corporation Limited on Tuesday informed that it will invest `10,000 crores over the next five years for setting up six new city gas distribution (CGD) networks in the different cities. The oil-producing company has emerged as the successful bidder in the recently concluded 11th bidding round of the Petroleum and Natural Gas Regulatory (PNGRB).
“After the announcement of results of bidding, BPCL’s committed investment in city gas distribution (CGD) network, on a standalone basis, would increase to over Rs 22,000 crore for development of 23 geographical areas (GA), including Rs 10,000 crore for the 6 new GAs,” said the company.
Now the CGD footprints of BPCL, along with its joint ventures, extend to 48 GAs covering 94 districts in 18 states. With a presence in 63 districts, BPCL along with its joint ventures together hold a 33 per cent market share in the CGD sector.
Among the 61 GAs that received bids in the 11th round, Megha Engineering and Infrastructures Ltd got 15 licences, Adani Total Gas Ltd got 14 and state-owned Indian Oil Corporation (IOC) 9 GAs.
BPCL, which owns refineries at Mumbai, Kochi in Kerala, and Bina in Madhya Pradesh, had a city gas licence for 38 GAs prior to winning six in the latest bid round. Of the licences it already holds, BPCL has commissioned CNG and PNG supplies in various locations.