BHUBANESWAR: Amid global energy insecurities in the wake of the West Asia conflict, the state cabinet chaired by Chief Minister Mohan Charan Majhi on Wednesday approved a comprehensive City Gas Distribution (CGD) Policy aimed at expanding piped natural gas (PNG) and compressed natural gas (CNG) infrastructure across Odisha.
The policy seeks to create a streamlined and efficient framework for the rollout of CGD networks, addressing long-standing bottlenecks such as multi-agency approvals and lack of institutional coordination. By introducing simplified procedures and faster clearances, the government aims to accelerate the adoption of clean fuel in urban areas while ensuring safe and reliable gas supply systems.
Briefing reporters after the cabinet meeting, chief secretary Anu Garg said the Housing and Urban Development (H&UD) department will serve as the nodal agency for implementation. It will be supported by a state-level high-powered committee and district monitoring committees to ensure timely execution and effective oversight of projects.
Key provisions of the policy include single-window clearance mechanisms, deemed approval systems and rationalisation of licence fees to encourage private sector participation. The government has also proposed a one-time moratorium on approval fees for CGD projects until March 2027 which is expected to attract significant investment without imposing any financial burden on the exchequer.
The policy also envisages convergence with initiatives under the Swachh Bharat Mission by facilitating the development of compressed biogas plants.
The cabinet decision builds on earlier consultations led by additional chief secretary Usha Padhee who had discussed about the policy framework with major stakeholders in March. The meeting, held in collaboration with GAIL (India) Limited and Indian Oil Corporation Limited, laid the groundwork for a robust policy framework focused on expanding PNG networks and strengthening urban utility infrastructure.
Officials said the CGD policy will not only boost energy security and environmental sustainability but also generate employment and improve ease of doing business.