AG&P Inks MoU with the Government of Tamil Nadu to Develop City Gas Distribution Infrastructure in the State
|Shri Thiru Edappadi K. Palaniswami, Hon?ble Chief Minister of Tamil Nadu and PPG Sarma, Managing Director ? City Gas Distribution, AG&P at the signing of MoU for the development of AG&P Pratham?s CGD networks that will invest 2,700 crores and generate 7,000 direct and indirect jobs|
- AG&P to invest INR 2,700 crores over the next 8 years to ensure continuous access to clean and low-cost natural gas in Tamil Nadu
- Investment to generate 7,000 direct and indirect local jobs
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.
AG&P Pratham’s PNG initiative in Rameshwaram, its natural gas Mother Station in Ramanathapuram along with two CNG stations, are spearheading the development of the State’s city gas infrastructure that will drive socio-economic development as more and more people transition to smarter and cleaner fuels.
“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. 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, Managing Director – City Gas Distribution, AG&P.
In 2018, 12 out of 38 districts in Tamil Nadu were awarded licenses by the Petroleum and Natural Gas Regulatory Board (PNGRB) for the development of CGD networks. Of these, AG&P bagged six districts encompassing ~13751 square km, who will be connected to natural gas through 12,000 km of pipeline being laid by the company. Under the licenses, AG&P will sell natural gas exclusively for eight years and operate its CGD facilities exclusively for 25 years. By 2028, AG&P will be supplying PNG to 20 lakh households, 10,000 commercial establishments, 150 industrial enterprises such as SIPCOT, SIDCO and Mahindra World City, and will operate more than 200 CNG stations across the state.
Also, here is the link to AG&P’s Corporate Video (In Tamil) - Download Link - AGP Pratham Tamilnadu Corp Video
Atlantic Gulf & Pacific (AG&P) is a global leader in developing and running LNG and gas logistics and distribution solutions. AG&P provides the infrastructure to access natural gas safely and easily in new and growing markets. We act as an owner and as a service provider covering the engineering, procurement, project management and construction for onshore and offshore gas infrastructure, linking suppliers to downstream customers.
About AG&P Pratham
AG&P Pratham, India, is the City Gas Distribution (CGD) arm of the Singapore-based AG&P Group, a leading downstream LNG and gas logistics company. We distribute LNG and natural gas from our terminals to our end-customers across the power, industrial, commercial, domestic and transport sectors. AG&P holds 12 CGD licenses awarded by the Petroleum & Natural Gas Regulatory Board (PNGRB) to exclusively provide natural gas for everyday use in 31 districts in Tamil Nadu, Andhra Pradesh, Karnataka, Kerala and Rajasthan. The exclusive rights cover the supply of Piped Natural Gas (PNG) to households, industrial, commercial, non-commercial and non-domestic exempt commercial (NDEC) establishments, as well as Compressed Natural Gas (CNG) for use in vehicles. These CGD networks will cover 278,000 square kilometers, 17,000 inch-km of pipeline and over 1,500 new CNG stations.
To find out more, visit www.agppratham.com and follow AG&P Pratham’s official social media pages: