Soon, the Petroleum and Natural Gas Regulatory Board (PNGRB) is expected to ask bidders for revised documents to prepare letters of intent.
NEW DELHI: Consumers in six more cities including Allahabad, Chandigarh and Rajahmundry will get piped natural gas in 2014 as the downstream regulator has decided to issue licenses for new areas after a gap of three years.
A joint venture between state-run IOC BSE 0.65 % and Adani Gas will be given licence for Allahabad and Chandigarh while Gail-BPCL-promoted Central UP Gas will get Jhansi. Reliance Gas Corp will be awarded rights to lay network in Yanam, Rajahmundry and Shahdol. Indraprastha Gas BSE 0.00 % that approached Delhi High Court against the regulator's bidding process will continue to operate in Ghaziabad.
Soon, the Petroleum and Natural Gas Regulatory Board (PNGRB) is expected to ask bidders for revised documents to prepare letters of intent. Since 2009, there was no progress in city gas distribution (CGD) licensing on account of legal obstacles in the board's functioning.
Commenting on the development, a senior PNGRB official said: "On Monday, we decided, in principle, to give green signal to successful bidders in the second round of bids to go ahead with laying network in six centers. Soon, we will ask the successful bidders to issue bonds and submit fresh documents before handing over letters of intent to three players. The board will take call on third round of bidding as soon as we are through with formalities of second round."
