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GAIL in talks for JV with Tokyo Gas
The $18-billion (Rs. 90,000 crore) Japanese gas major, Tokyo Gas, and state-owned GAIL (India) Ltd are in advanced talks to form a joint venture company to lay the pipeline infrastructure and for supplying gas to the industrial hub and clusters coming up as part of the multi-billion dollar Delhi Mumbai Industrial Corridor (DMIC) project. Anupama Airy reports. Corridor of action
The $18-billion (Rs. 90,000 crore) Japanese gas major, Tokyo Gas, and state-owned GAIL (India) Ltd are in advanced talks to form a joint venture company to lay the pipeline infrastructure and for supplying gas to the industrial hub and clusters coming up as part of the multi-billion dollar Delhi Mumbai Industrial Corridor (DMIC) project.
Confirming the move, GAIL chairman and managing director BC Tripathi said, "We expect to co-operate in setting up the pipeline infrastructure for gas supplies to these industrial hubs in the DMIC."
Tokyo Gas is the largest city gas distribution company in Japan with a pipeline network extending over 50,000 km.
As reported first in Hindustan Times, GAIL plans to invest over Rs. 20,000 crore in setting up gas-based power projects along with associated infrastructure facilities in the corridor.
GAIL is also planning to set up gas-based power projects jointly with the Delhi-Mumbai Industrial Corridor Development Corporation (DMICDC), the agency developing this corridor.
DMICDC has planned six gas-based power projects of 1,000 MW each for supplying electricity in DMIC region. "We can do a few of these power projects jointly with DMICDC besides supporting it in sourcing and supplying of natural gas for all the power projects," said a senior GAIL official.
"Also, GAIL is talking to Tokyo Gas to form a joint venture company for the city gas distribution and CNG network along the proposed development nodes in DMIC," the official said.
