Press Release

Government thrust to drive India City Gas Distribution Market beyond 20,000 MMSCM

With government of India launching the biggest licensing auction for PNG and CNG in 86 geographical areas, the City Gas Distribution market is expected to register exponential growth

According to TechSci Research report, “India City Gas Distribution Market By Type, By Source of Supply, By End Use, Competition Forecast & Opportunities, 2013 – 2030, city gas distribution (CGD) in India is projected to reach 20,700 MMSCM (Million Metric Standard Cubic Meter) by 2030. Government initiatives, continuously rising investment into strengthening and expanding CGD network coupled with easy availability as well as accessibility of natural gas are the primary factors expected to drive the country’s CGD market over the coming years. Growing adoption in domestic, commercial and industrial sectors, stringent government regulations towards pollution emitting vehicles and rising fuel (petrol/ diesel) prices are expected to positively influence the city gas distribution market in India during the forecast period. 

Browse 28 market data Tables and 40 Figures spread through 101 Pages and an in-depth TOC on    "India City Gas Distribution Market"

 Government auction for 86 geographical areas for CNG and PNG distribution is expected to be major boost for the industry. The CGD network implementation is predominantly the secondary distribution of natural gas in the form of Piped Natural Gas (PNG) and Compressed Natural Gas (CNG). While PNG is used as a fuel source by domestic (households), commercial (restaurants, offices, malls, etc.), and industrial (power generation, steam generators, refinery, etc.) consumers, CNG primarily serves as an alternative fuel for automobiles. In 2018, the sale of CNG was higher than PNG, however, the rapid investment in development of PNG related infrastructure has put it into the limelight, and the segment is projected to witness robust growth in the coming years. On May 8, 2018, the PNGRB opened auction for the CGD network development in a total of 86 geographical areas, covering 156 complete districts and 18 part districts across India, through the process of competitive bidding.

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“As of 2018, the city gas distribution network in India is predominantly concentrated in the regions of NCR, Gujarat and Mumbai. These regions cumulatively account for almost 85% to 90% of the total CGD network coverage in the country. The new mega round of competitive bidding process initiated by PNGRB in February 2018, is anticipated to cover almost 174 districts (in parts or full), majority of which would cover new areas of Punjab, Himachal Pradesh, Haryana, Rajasthan, Maharashtra, Gujarat, Uttar Pradesh, Uttarakhand, Bihar and several other new regions. This approach to cover the entire nation with CGD network is in line with the government’s target to reach 25% energy consumption through natural gas by 2030 as compared to 6.2% in 2017. Clearly, natural gas consumption in India is witnessing a paradigm shift, and consequently, the country’s CGD market is on the cusp of significant expansion over the next decade.”, said Mr. Karan Chechi, Research Director with TechSci Research, a research based global management consulting firm.

India City Gas Distribution Market By Type, By Source of Supply, By End Use, Competition Forecast & Opportunities, 2013 – 2030has evaluated the India city gas distribution market and has provided the statistics and information on market structure, industry behavior and trend. The report includes market projections and demand forecasting. The report is intended to provide cutting-edge market intelligence and help decision makers to take sound investment decisions. Besides, the report also identifies and analyses emerging trends along with essential drivers and key challenges faced by India city gas distribution market.

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