The city gas distribution (CGD) sector has witnessed remarkable growth over the past few years. The existing players have invested significantly in developing infrastructure and expanding operations to new geographical areas (GAs). CGD is the second largest consumer of Natural gas (42.83 MMSCMD in Jan.25 of which 50% is LNG share) next to Fertilizer (56.7 MMSCMD of which 50% is the LNG share). After 12th round of bidding 99.9% of population residing in 99% of the area of our country has been covered. The authorization envisages 11.86 Cr of PNG-D connections, 19479 of CNG stations and 3.84 lac inch - Km of steel pipelines. Against which after 3 decades of existence, the targets achieved (till October 2025) are: 1.59 Cr of PNG-D connections, 8477 CNG stations and 2.5 Lac of inch Km of steel pipelines.

Petroleum and Natural Gas Regulatory Board has introduced various guidelines to streamline activities in the sector, such as the force majeure guidelines, relaxation in LNG marketing and distribution, restructuring of pipeline tariff- particularly one zone tariff for CNG and PNR across the country and creation of a gas exchange framework. However some amendments like taking away supply of Natural Gas through Cascade, from definition of Natural Gas, control over establishing CGS in another GA, Government initiative for EVs and diminishing APM gas volumes, have created some uncertainty in the mind of the CGD entities.

To meet the natural gas requirement, alternative resources like Bio Gas production (having a potential of 220 MMSCMD, but harnessed less than 1%) have been emerging at reasonably good speed. The options for gas sourcing have been the HTHP gas, Gas from auctioned Blocks, Long term LNG, Short term LNG, Spot LNG and sourcing through IGX under various contracts.

The CGD sector is expected to witness investments of up to Rs 900 billion in the next seven to eight years, thereby emerging to consume major gas volume conducive to drive the Gas Base Economy for India and to provide significant opportunity to all stakeholders such as the contractors, investors, and equipment/material/technology providers. This conference brings together the gas suppliers, CGD entities, Plants & Equipment suppliers and service providers to discuss a way forward for win-win solution.