Atlantic, Gulf & Pacific Company (AG&P), the global downstream gas and LNG logistics company, and the Government of Tamil Nadu has signed a Memorandum of Understanding (MoU) for the development of City Gas Distribution (CGD) networks to supply natural gas across six districts of Tamil Nadu.
The new CGD infrastructure is being developed under AG&P’s CGD brand in India – AG&P Pratham. The occasion was graced by Shri Thiru Edappadi K. Palaniswami, Hon’ble Chief Minister of Tamil Nadu, who unveiled AG&P’s PNG project in Rameshwaram and dedicated the State’s recently launched first City Gate Station & CNG Mother Station launched by AG&P in Ramanathapuram District.
Under the MoU, AG&P will invest INR 2,700 crores over the next eight years to build CGD networks in districts of Kanchipuram, Chengalpattu, Vellore, Ranipet, Thirupathur and Ramanathapuram. The Government of Tamil Nadu is committed to provide support to enable development of the much-awaited CGD infrastructure, that will deliver an uninterrupted supply of PNG to households, commercial and industrial customers, and Compressed Natural Gas (CNG) depots and stations for 24/7 access to CNG for vehicles.
“We are honoured to collaborate with the Government of Tamil Nadu to develop city gas infrastructure in the state, which will make the State truly self-reliant. We are on the cusp of an energy revolution and as one of the most dynamic regions in India, Tamil Nadu has tremendous opportunities for growth, development, and innovation in the CGD sector,” said PPG Sarma, Managing Director – City Gas Distribution, AG&P.
‘With the Government’s continued support and sustained focus on infrastructure, we are providing Tamil Nadu’s regional and rural communities with reliable, 24/7 access to natural gas and all the health and economic benefits it offers. Furthermore, AG&P’s LNG import terminal in Karaikal (“KLNG”), strategically located 280 km south of Chennai and in close proximity to Tamil Nadu’s thriving manufacturing clusters, will also be a major contributor to Tamil Nadu’s transformation into a gas-based economy. KLNG will not only provide access of natural gas to power plants, and industrial and commercial customers within a 300 km radius of Karaikal, but it will guarantee stable, best priced natural gas supply to the region’s CGD networks including those operated by AG&P Pratham and other CGD companies,” said PPG Sarma.
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