Question : Capital Grants-Viability Gap Funding for GIGL and GITL

(a) whether the Government of Gujarat has requested for providing capital grants/viability gap funding for GSPL India Gasnet Limited (GIGL) and GSPL India Transco Limited (GITL) along with grant of license for development of City Gas Distribution networks on nomination basis on the lines of support provided to GAIL Jagdishpur-Haldia project; and
(b) if so, the details thereof along with the action taken by the Government thereon?

Answer given by the minister

MINISTER OF STATE (INDEPENDENT CHARGE) IN THE MINISTRY OF PETROLEUM & NATURAL GAS (SHRI DHARMENDRA PRADHAN)
(a) & (b): The Government of Gujarat had approached the Ministry of Finance for financial support from the Asian Development Bank (ADB) to GSPL India Transco Limited (GITL) for execution of Mallavaram-Bhopal-Bhilwara via Vijaipur Pipeline (MBBVPL) project. Keeping in view the importance of this pipeline project, MoP&NG has conveyed its support to the request of Government of Gujarat for financial assistance from ADB to the Ministry of Finance in this regard.
The Government of Gujarat in the month of October, 2016 has requested the Ministry of Petroleum & Natural Gas (MoP&NG), to consider a capital grant of 40% to GSPL India Gas Net Limited (GIGL) and GITL for the development of Mehsana-Bhatinda-Jammu-Srinagar Pipeline (MBJSPL) and MBBVPL projects and also grant of authorization for development of City Gas Distribution networks. Under the Petroleum & Natural Gas Regulatory Board (PNGRB) Act, 2006, PNGRB is the statutory authority to grant licenses for the development of City Gas Distribution (CGD) network which includes PNG/CNG network.
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