BHUBANESWAR: The Odisha City Gas Distribution (CGD) Policy, 2026, notified by the state government, seeks to facilitate faster implementation of piped natural gas (PNG) and compressed natural gas (CNG) and related infrastructure through a streamlined, time-bound approval mechanism.
Notified by the Housing and Urban Development department recently, the policy aims to promote natural gas as a cleaner and environment-friendly fuel for domestic, commercial, industrial and transport sectors in line with the vision of ‘Viksit Odisha’ and India’s clean energy transition goals.
The policy provides for single-window clearance mechanisms, standardised permission charges, GIS-based underground utility mapping, priority allotment of land for CNG stations and City Gate stations, and inclusion of PNG pipeline provisions in building plans and urban master plans.
Odisha has already authorised five CGD entities - Gail India Limited, Gail Gas Limited, BPCL, Adani Total Gas and Megha Gas - to cover all 30 districts of the state.
Around nine lakh domestic PNG connections and 271 CNG stations have been planned under the committed work programme, with an estimated investment potential of nearly Rs 5,100 crore. The policy lays down roadmap for smooth implementation of the expansion plan.
While the H&UD department has been designated as the nodal department for implementation of the policy, a state-level apex committee under the chairpersonship of the chief secretary and district-level monitoring committees headed by collectors will facilitate faster clearances, coordination among departments and monitoring of CGD projects.
To encourage rapid expansion of CGD infrastructure, the state government has waived permission and supervision charges for pipeline laying till March 31, 2027.
The policy also emphasises safety standards, emergency response mechanisms, uninterrupted supply of PNG and CNG as essential services and promotion of Compressed Biogas (CBG) initiatives in association with local bodies.
Official sources said the policy is expected to strengthen Odisha’s clean energy ecosystem, improve urban infrastructure, reduce pollution and create significant employment and investment opportunities across the state.