Govt to offer city gas distributers 200 scm extra gas to push household PNG switch
Scheme aimed at turning inactive, unbilled connections into working ones and expanding PNG networks into new areas
The Indian government will provide city gas distributors with an additional 200 standard cubic metres (SCM) of lower-priced domestic natural gas for each new gas connection installed. This incentive, effective from September 1, aims to accelerate the shift from liquefied petroleum gas (LPG) to piped gas for household cooking. The program, set to be executed in two six-month phases, will apply to new domestic piped cooking gas (PNG) connections exceeding a set threshold for each region.
The scheme seeks to convert inactive connections into active ones and extend PNG networks to new areas, according to the oil ministry. With about 17.4 million domestic PNG connections currently in place, the additional allocation of cheaper APM gas will enable eligible distributors to offset the higher costs of their LPG-based compressed natural gas (CNG) transport operations, potentially reducing their payback period for capital investments in domestic PNG connections from around 10 years to approximately three years.
The initiative is part of a larger government effort to expand household access to PNG, promoting it as a cleaner, safer, and more convenient alternative to LPG and traditional cooking fuels.
Written by urgent.news from Hindu BusinessLine's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
