OIL, BPCL sign JV agreement to develop city gas distribution network in Arunachal

New Delhi: Oil India Limited (OIL) and Bharat Petroleum Corporation Limited (BPCL), both Maharatna CPSEs, have executed a Joint Venture Agreement (JVA) to set up a City Gas Distribution (CGD) network in Arunachal Pradesh. The agreement has been signed on Tuesday at BPCL’s corporate office in the presence of OIL's Chairman & Managing Director (CMD) Dr Ranjit Rath and BPCL's Director (Refineries) and CMD (Additional Charge) Sanjay Khanna.

PSU Watch is now on Whatsapp Channels. Click here to join

The Joint Venture Company (JVC) will focus on developing CNG stations and providing Piped Natural Gas (PNG) connections to domestic, commercial, and industrial consumers in the state. The initiative is aimed at improving access to clean energy and driving socio-economic development in line with the Government of India’s vision of creating a gas-based economy.

Commenting on the development, Dr Rath said, “The establishment of City Gas Distribution in Arunachal Pradesh is a significant step in OIL’s ongoing initiative to bring clean and reliable energy to the region. With the successful commissioning of the Kumchai-Kusijan gas pipeline last year, OIL has reaffirmed its role as an anchor in advancing the Government of India’s hydrocarbon vision for the North-East.”

Khanna added, “This Joint Venture reaffirms BPCL’s commitment to expanding clean energy access across India, particularly in the North-East. Together with OIL, we will build a robust CGD network in Arunachal Pradesh to serve households, industries, and the transport sector, thereby supporting sustainable growth and improving quality of life.”

The CGD project in Arunachal Pradesh was awarded to the OIL-BPCL consortium under the 12th City Gas Distribution bid round conducted by the Petroleum and Natural Gas Regulatory Board (PNGRB).

(PSU Watch– India's Business News centre that places the spotlight on PSUs, Bureaucracy, Defence and Public Policy is now on Google News. Click here to follow. Also, join PSU Watch Channel in your Telegram. You may also follow us on Twitter here and stay updated.)