Soon, city kitchens may receive cooking fuel through pipelines

The Greater Calcutta Gas Supply Corporation Limited (GCGSC) has decided to go for a joint venture with Gas Authority of India Limited (GAIL) to supply natural gas through pipelines in households and small industries in cities and towns.

The initiative will ensure "userfriendly, safe and environment-friendly" supply of fuel. Small industries where coal is still used as fuel in furnaces, will be using natural gas and it will help in reducing pollution.

Amit Mitra, the state Industries and Commerce minister, said: "The Cabinet has given its nod to go ahead with the project in Tuesday's meeting."

He also said: "They authorities of GAIL had written to us thrice, expressing their interest to ensure supply of "City Gas" in cities and towns of Bengal. GCGSC will be having 26 percent equity with it and the rest 74 percent will be with GAIL. The total investment for the project will be carried out by GAIL and the 26 percent equity of GCGSC is out of its present assets."

With 26 percent of the equity with it, as per the company law of GCGSC, which is a state government-owned company, it will be able to place its statement in the Annual General Body meeting. Had it been lesser than 26 per cent, the company could have at the most placed someone in the board of directors. The initial cost of the project is Rs 3,000 crore.

GCGSC was set up in 1857 and still has some underground pipelines in Central Kolkata. But with GCGSC entering into the joint venture with GAIL, new pipelines will have to be laid and the entire system of supply of natural gas will be based on modern technology.

GAIL has already filed an affidavit with the Green Tribunal showing its interest to implement the project in Bengal. It may be mentioned that GAIL had successfully set up the system of supplying natural gas through pipeline in three cities of China and in Turkey as well. This is the first time in eastern parts of the country where natural gas will be supplied through pipelines for households. However, in Delhi, this system is already functional.