CHENNAI: Tamil Nadu aims to attract investments worth Rs 35,000 crore and generate 20,000 jobs while creating a greener state. How? By transitioning TN into a gas-based economy. The TN City Gas Distribution (CGD) policy, unveiled by Chief Minister M K Stalin on Saturday, lays the roadmap for this with a focus on expanding the gas network in the state to cover all districts.
This will result in the development of nearly 2.28 crore Piped Natural Gas (Domestic) connections and around 2,785 Compressed Natural Gas (CNG) stations in the coming years. Conversion of state-run buses to natural gas options is also a key focus area in order to reduce emissions and dependence on fossil fuels.
The policy envisages the creation of a state-level committee under the chairmanship of the chief secretary to facilitate the creation of CGD infrastructure and value-added services. The guidelines provided by the committee will aim to encourage the usage of PNG and CNG through the conversion of intra-city state transport corporation buses to CNG and long-distance inter-city transport systems to CNG/Liquified Natural Gas.
The new policy could result in modifications to the Building Plan Rules to provide gas pipeline infrastructure in residential and commercial buildings at the architectural design stage and facilitate readiness of the buildings for “Gas-In” at the end of construction. Tamil Nadu Industrial Development Corporation Ltd will act as the nodal agency to expedite the implementation of petroleum & natural gas pipeline and CGD network projects.
The policy aims to promote the usage of natural gas-based generators by all telecom operators, especially in urban areas, as an environment-friendly alternative at a lower cost. Guidelines shall be issued for the state transport corporation to encourage the selection of CNG/LNG buses while purchasing new buses and to retrofit the present alternative fuel fleet in a phased manner, based on the CGD infrastructure.
The CGD entities are expected to invest in value-added services, which have an investment potential of Rs 500 crore. The expansion of CGD infrastructure is expected to generate initial employment of around 20,000 people, both under direct and indirect categories.
The CGD entities have already committed to the expansion of CGD infrastructure, covering seven geographical areas and 15 districts. The remaining districts are expected to be covered soon. The policy is expected to have a significant impact on the state’s economy, creating jobs and attracting investments.
Meanwhile, the state government also released a logistics policy for the next five years, aimed at developing the logistics sector to support economic growth.
The policy includes an integrated logistics plan for the next decade to align with emerging requirements and industry developments. One of the key objectives of the policy is to reduce the environmental impact of the logistics sector by promoting a modal shift from road to eco-friendly rail and coastal shipping. To ensure coordination with logistics operators, service providers, and trade associations, the state will establish a Logistics Council. The council will support data-driven decision-making and recommend initiatives for the progress of the logistics sector.
Further, the government announced special incentives for manufacturing technical textiles, man-made fibre (MMF) yarn from recycled products, MMF fabric and apparel manufacturing. This includes investment promotion subsidy, special capital subsidy, turnover-based subsidy and other subsidies, a statement from the CM said.