IGL to Supply Commercial PNG at 22 Railway Locations

Indraprastha Gas Limited (IGL) has signed a Memorandum of Understanding (MoU) with Northern Railway to supply commercial piped Natural Gas (PNG) to 22 designated railway locations across Delhi and surrounding areas. The agreement is aimed at replacing conventional fuels, including liquefied petroleum gas (LPG) and diesel, with natural gas at selected railway facilities.

Under the arrangement, the initial gas consumption is estimated at 3,000 Standard Cubic Metres per Day (SCMD). The partnership will cover facilities such as railway laundries, rest houses and base kitchens, where fuel is required for regular operational activities.

Agreement Covers 22 Railway Locations

The MoU provides for commercial PNG supply to 22 railway establishments under Northern Railway’s Delhi Division. These locations include facilities that support railway operations and passenger services, rather than being limited to passenger stations.

Railway laundries, rest houses and base kitchens are among the designated establishments covered by the agreement. These facilities require a consistent energy supply for activities such as cooking, food preparation and other daily operations.

By connecting these establishments to IGL’s gas distribution network, the railway division aims to shift part of its existing fuel consumption to piped natural gas. The initial estimated requirement of 3,000 SCMD will determine the scale of supply under the arrangement.

PNG Supply to Replace LPG and Diesel Consumption

A key objective of the partnership is to reduce the use of LPG and diesel at the identified railway facilities. PNG will serve as an alternative fuel, supplied directly through pipelines instead of relying on conventional fuel storage and replenishment arrangements.

The shift could simplify fuel management at locations connected to the gas network. A piped supply can provide a continuous source of energy, which is particularly relevant for facilities with regular and predictable fuel requirements.

Replacing conventional fuels with PNG also supports efforts to diversify energy consumption across public-sector establishments. However, the extent of fuel substitution will depend on the implementation of connections and the operational requirements of individual locations.

Commercial PNG Expansion Supports IGL’s Distribution Network

The agreement gives IGL an opportunity to expand its commercial PNG customer base by serving institutional consumers in the railway sector. Large establishments such as kitchens and laundries can represent regular sources of demand because their operations require consistent energy supplies.

For Northern Railway, the partnership provides a route to adopt piped natural gas at selected facilities through an arrangement with an established city gas distribution company.

Railway Partnership Reflects Wider Push for Natural Gas Adoption

The collaboration reflects the broader effort to increase natural gas usage across different sectors of the economy. Institutional and commercial consumers are an important part of this transition because their fuel requirements can be substantial and recurring.

The initial estimated consumption of 3,000 SCMD establishes the expected scale of the railway arrangement. As the agreement moves towards implementation, the connection of the 22 designated locations will be central to achieving the planned shift from LPG and diesel to commercial PNG.

The partnership therefore represents a step towards expanding piped natural gas access within railway establishments while supporting the wider adoption of alternative fuels in public Infrastructure.