New Delhi, Dec 14 (PTI) Torrent Gas Ltd on Monday pledged Rs 5,000 crore investment to develop infrastructure to retail CNG to automobiles and piped gas to households and industries in Chennai, the biggest city gas license in its portfolio.
Torrent Gas, part of the pharma-to-energy Torrent Group, signed a Memorandum of Understanding (MoU) with the Government of Tamil Nadu for development of city gas infrastructure at the Growth and Investment Conclave in Chennai, the company said in a statement.
The firm will lay pipelines and other infrastructure in Chennai and Tiruvallur districts, covering an area of 3,569 square kilometres, to provide piped natural gas (PNG) connections to homes, industries and commercial establishments. It will also set up the infrastructure to dispense compressed natural gas (CNG) to automobiles.
Torrent Gas holds city gas license for 16 geographical areas spread across 32 districts covering 7 states and 1 union territory of Uttar Pradesh, Gujarat, Maharashtra, Rajasthan, Punjab, Tamil Nadu, Telangana, and Puducherry.
Jinal Mehta, Director, Torrent Gas, said natural gas is both economical and environment friendly, and hence a natural choice for families, small businesses and industries.
'This investment of Rs 5,000 crore by Torrent Gas in development of CGD infrastructure is expected to have a major impact on the socio-economic development of the region by attracting fresh investment in the state,' he said.
Availability of natural gas will improve the competitiveness of existing industries and help families and small businesses cut fuel cost, he added.
'The investment will also provide direct and indirect employment to more than 5,000 people,' he said, and thanked the Government of Tamil Nadu and Chief Minister Edappadi K Palaniswami for the support and facilitation offered for setting up the city gas infrastructure in the state.
As part of the first phase of infrastructure roll-out, Torrent Gas is expecting to commission over 30 CNG stations in Chennai and Tiruvallur districts in the last quarter of the current financial year, he said.
On the occasion, Palaniswami also laid the foundation stone of Torrent Gas' first city gate station at Nagapattinam digitally.
Torrent Gas recently commissioned the first CNG station in Tamil Nadu at Nagapattinam. The work of laying the pipelines in Nagapattinam has also commenced, the statement said.
Apart from being a clean source of fuel, CNG offers greater mileage and lower maintenance costs for vehicle owners. Its superior fuel efficiency and lower cost have resulted into its rapid adoption across the country as a safe and eco-friendly alternative to petrol and diesel.
Similarly, PNG offers massive savings on costs and is convenient as compared to other traditional fuels. Supply of PNG through a reliable network of pipelines will offer enhanced safety, convenience and economy to domestic, commercial and industrial customers in Chennai, Tiruvallur and Nagapattinam. PTI ANZ RVK