Andhra Pradesh to set up gas grid

By Our Corporate Bureau | 30 Jun 2005

1

Hyderabad: Andhra Pradesh chief minister Y S Rajasekhara Reddy has announced his Government's plans to set up a gas grid with participation by the Gas Authority of India Limited (GAIL).

The first part of the project to lay 200km of gas pipelines connecting towns and cities for providing gas for domestic, commercial and industrial use, was likely to cost Rs500 crore, he said and added that officials had been asked to prepare a "road map" for the grid, he added.

Dr Reddy had urged the centre to take necessary steps for provision of share in royalty to the state concerned in the new gas finds in offshore drills too as suggested by the 12th Finance Commission. Presently, royalty was provided to the State concerned only for onshore wells, he explained.

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