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Gujarat Gas

Overview

Gujarat Gas is an Indian natural gas distribution company headquartered in Gujarat. It operates in the city gas distribution (CGD) segment, supplying piped natural gas (PNG) to domestic, commercial and industrial customers, and compressed natural gas (CNG) for the transport sector. The company is among the largest CGD entities in India by volume and geographical coverage.

Key facts

Name Gujarat Gas Limited
Industry Natural gas distribution
Sector Energy / Utilities
Headquarters Gandhinagar, Gujarat, India
Country of operation India
Parent Gujarat State Petronet Limited (GSPL) group, under Gujarat State Petroleum Corporation (GSPC)
Listings BSE, NSE
Products Piped Natural Gas (PNG), Compressed Natural Gas (CNG)

Background

Gujarat Gas distributes natural gas through a network of pipelines to households, commercial establishments such as hotels and hospitals, and a wide industrial base that includes ceramics, textiles, chemicals, glass and engineering units. CNG is supplied through a network of refuelling stations for vehicles. The company sources gas from domestic producers and through regasified liquefied natural gas (R-LNG) supplies.

Its operations are concentrated in Gujarat, where industrial clusters such as Morbi (ceramics) and Surat (textiles) are large consumers, and it has authorisations in additional geographical areas across several Indian states granted by the Petroleum and Natural Gas Regulatory Board (PNGRB).

History

The current Gujarat Gas Limited was formed through the consolidation of city gas distribution businesses within the Gujarat state public sector undertaking framework. The restructuring brought together the erstwhile Gujarat Gas Company Limited (GGCL), which had earlier been promoted by BG Group (formerly British Gas) and operated primarily in south Gujarat, with GSPC Gas Company Limited, the CGD arm of Gujarat State Petroleum Corporation. Following the acquisition of BG's stake by the GSPC group, the merged entity was rebranded and continues to operate as Gujarat Gas Limited under state ownership through GSPL and associated holdings.

Operations

  • Piped Natural Gas (PNG): Supplied to residential households for cooking, to commercial users, and to a large number of industrial customers.
  • Compressed Natural Gas (CNG): Supplied through retail outlets for use in passenger and commercial vehicles.
  • Geographical coverage: Authorised areas span multiple districts of Gujarat and additional licensed regions in other states, including parts of Maharashtra, Madhya Pradesh, Rajasthan, Punjab, Haryana and the Union Territory of Dadra and Nagar Haveli.

Significance

Gujarat Gas plays a notable role in India's transition towards cleaner fuels by replacing coal, fuel oil and other liquid hydrocarbons with natural gas in industrial clusters, and by expanding domestic PNG connections under national programmes for piped cooking gas. Its industrial supply to Morbi's ceramic cluster, one of the largest in the world, has been particularly significant in shaping demand patterns for natural gas in western India.

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