NEW DELHI – The Indian government has recently issued a directive to municipal bodies and other relevant agencies across the country, urging them to expedite the processing of clearances required for Piped Natural Gas (PNG) infrastructure development. The move aims to accelerate the expansion of the natural gas network and increase the availability of PNG connections for households and industries nationwide.

The instruction, understood to emanate from the Ministry of Petroleum and Natural Gas (MoPNG), addresses long-standing concerns from City Gas Distribution (CGD) companies regarding delays in obtaining necessary permits. These delays often impact project timelines and raise the overall cost of network expansion, hindering the government's broader objective of increasing the share of natural gas in India's energy mix. Expediting these clearances is deemed crucial for the timely rollout of gas pipelines and associated infrastructure.

The directive underscores the government’s commitment to fostering a gas-based economy and promoting cleaner energy sources. Piped natural gas is recognized as a more convenient, economical, and environmentally friendly alternative to traditional cooking fuels like LPG cylinders and other fossil fuels. Rapid expansion of the PNG network is a key component of India's energy transition strategy, aiming to reduce carbon emissions and improve urban air quality.

Key aspects of the government's directive include:

  • Right-of-Way Permissions: Streamlining approvals for laying pipelines along public roads and utility corridors.
  • Road Cutting and Restoration: Ensuring prompt processing of permits for excavation and subsequent restoration of road surfaces.
  • Environmental Clearances: Facilitating quicker assessments and approvals from environmental authorities where applicable.
  • Inter-agency Coordination: Emphasizing better coordination between CGD entities and various municipal, state, and central agencies involved in the approval process.

According to a senior official familiar with the matter, the government is looking to eliminate bureaucratic bottlenecks that have historically slowed down critical infrastructure projects. This proactive stance is expected to significantly reduce the lead time for CGD companies to establish and extend their networks into new geographical areas. India has been aggressively expanding its CGD coverage, with numerous rounds of bidding allocating Geographical Areas (GAs) for gas distribution.

The directive also comes as India targets increasing the share of natural gas in its primary energy basket from approximately 6% to 15% by 2030. Achieving this ambitious goal necessitates robust and timely infrastructure development. By addressing the root causes of project delays at the municipal and agency level, the government anticipates a tangible acceleration in the deployment of gas pipelines, leading to quicker access to PNG for a larger segment of the population. CGD companies are now expected to see a more streamlined and predictable clearance process, enabling them to meet their expansion targets more efficiently. The government is expected to monitor the implementation of this directive to ensure compliance and effective execution across all relevant bodies.