The gas distribution market in India encompasses the transportation and delivery of natural gas from production sources to end consumers, and it operates under regulatory frameworks to ensure safety, reliability, and fair competition. Various segments make up this market, including natural gas transmission, city gas distribution (CGD), liquefied natural gas (LNG) distribution, and retail gas distribution. Let’s explore these key aspects of the gas distribution market:
- Natural Gas Transmission: Natural gas transmission involves transporting gas over long distances through high-pressure pipelines. Transmission companies manage and maintain these pipeline networks, connecting gas production sources to distribution networks or major demand centers. Often, these transmission systems are interconnected to form national or regional gas grids.
- City Gas Distribution (CGD): CGD focuses on distributing natural gas to residential, commercial, and industrial consumers within specific cities or regions. CGD companies operate distribution networks comprising pipelines, compression stations, and storage facilities. They provide natural gas through piped gas connections to households, commercial establishments, and industrial units. Additionally, they may supply compressed natural gas (CNG) for vehicles.
- Liquefied Natural Gas (LNG) Distribution: LNG distribution involves the import, storage, regasification, and distribution of LNG. LNG is transported in its liquid form using specialized vessels and then converted back into gas at receiving terminals. Once regasified, natural gas is distributed through pipelines or by trucking it to various consumers, including power plants, industries, and city gas networks.
- Retail Gas Distribution: Retail gas distribution encompasses the direct sale of natural gas to end consumers, typically in the form of compressed or liquefied natural gas. Retail gas stations provide CNG or liquefied petroleum gas (LPG) for vehicles, residential usage, and small-scale commercial applications.
The gas distribution market in India includes various players, such as public sector companies, private sector companies, and joint ventures. State-owned entities, like the Gas Authority of India Limited (GAIL), play a significant role in gas transmission and distribution. Additionally, several private companies operate in the CGD and retail gas sectors.
Now, let’s move on to the list of top gas distribution companies in India.
Indraprastha Gas Limited (IGL)
Indraprastha Gas Limited (IGL) is a prominent natural gas distribution company in India, specializing in the supply of natural gas for cooking and vehicular fuel. Founded in 1998, IGL primarily operates in Delhi-NCR and neighboring cities, including Noida.
IGL plays a vital role in supporting the government’s initiatives aimed at promoting the adoption of natural gas as a cleaner and more sustainable energy source. The company is responsible for supplying compressed natural gas (CNG) for vehicles and piped natural gas (PNG) for domestic, industrial, and commercial purposes. By providing CNG as an alternative to conventional fuels and facilitating the distribution of PNG, IGL contributes to the reduction of pollution and the promotion of environmentally friendly energy solutions.
| Operating Revenue | Over INR 500 cr |
| EBITDA | -2.41 % |
| Networth | 15.99 % |
| Total Assets | 19.73 % |
GAIL Gas Limited
GAIL Gas Limited, established on May 27, 2008, is a prominent unlisted public company headquartered in New Delhi, India. Classified as a Government of India company, it holds the distinction of being the largest state-owned natural gas processing and distribution company in the country.
GAIL Gas Limited takes on the crucial responsibility of developing, operating, and maintaining city gas distribution (CGD) networks in multiple cities across India. By expanding the reach of natural gas, the company actively promotes its usage as a cleaner and more environmentally friendly alternative to conventional fuels such as coal and oil. GAIL Gas Limited plays a significant role in driving the adoption of natural gas, contributing to a sustainable and greener energy landscape
| Operating Revenue | Over INR 500 cr |
| EBITDA | 15.69 % |
| Networth | 23.02 % |
| Total Assets | 19.94 % |
Tripura Natural Gas Company Limited (TNGCL)
Tripura Natural Gas Co Ltd (TNGCL) is an unlisted public company incorporated on July 10, 1990. As a state-owned enterprise in India, TNGCL specializes in the distribution of natural gas within the state of Tripura. The company operates as a joint venture between GAIL (India) Limited and the Government of Tripura.
TNGCL plays a vital role in the development and expansion of natural gas availability as a clean and efficient energy source in the region. It is responsible for the distribution and marketing of natural gas in Tripura, operating a network of pipelines and infrastructure. This enables the supply of natural gas to various sectors, including domestic, commercial, industrial, and transportation. TNGCL strives to promote the utilization of natural gas, contributing to the advancement of sustainable and environmentally friendly energy solutions in Tripura.
| Operating Revenue | INR 1 cr – 100 cr |
| EBITDA | 9.16 % |
| Networth | 18.07 % |
| Total Assets | 16.00 % |
Adani Gas Limited
Adani Total Gas Limited, incorporated on August 5, 2005, is a listed public company based in Ahmedabad, Gujarat. Classified as a public limited company, Adani Gas primarily focuses on the distribution and marketing of natural gas. The company operates across multiple segments of the natural gas value chain, encompassing sourcing, marketing, distribution, and transmission of natural gas.
Adani Total Gas Limited plays a significant role in supplying piped natural gas (PNG) to residential, commercial, and industrial customers. This involves delivering natural gas directly through pipelines for various applications. Additionally, the company provides compressed natural gas (CNG) as a fuel option for vehicles, offering a cleaner and more environmentally friendly alternative.
| Operating Revenue | Over INR 500 cr |
| EBITDA | 18.42 % |
| Networth | 31.89 % |
| Total Assets | 29.63 % |
Central U.P. Gas Limited (CUGL)
Central U.P. Gas Limited (CUGL) is an unlisted public company incorporated on February 25, 2005. Based in Kanpur, Uttar Pradesh, CUGL operates as a public limited company. The primary focus of CUGL is the distribution and marketing of natural gas across various sectors, including residential, commercial, industrial, and automotive.
Operating under the regulatory framework of the Petroleum and Natural Gas Regulatory Board (PNGRB) in India, CUGL is entrusted with the responsibility of developing the city gas distribution network in its designated geographical areas. To facilitate the supply of natural gas to customers, the company undertakes the construction of essential infrastructure, such as pipelines, compression stations, and distribution networks.CUGL plays a crucial role in ensuring the availability and accessibility of natural gas, catering to the energy needs of diverse sectors.
| Operating Revenue | INR 100 cr – 500 cr |
| EBITDA | 20.83 % |
| Networth | 15.90 % |
| Total Assets | 16.35 % |
Gujarat Gas Limited (GGL)
Gujarat Gas Limited, a listed public company incorporated in 2012, is a State government company located in Gandhinagar, Gujarat. It supplies Piped Natural Gas (PNG) and Compressed Natural Gas (CNG) to customers in South & Central Gujarat and Saurashtra. The company has built an extensive city gas distribution network with pipelines, compression stations, and distribution infrastructure to ensure efficient gas supply to customers Gujarat Gas Limited has established an extensive city gas distribution network to ensure the efficient supply of natural gas to its customers. This network encompasses pipelines, compression stations, and distribution infrastructure, enabling the reliable and convenient delivery of natural gas.
By delivering Piped Natural Gas (PNG) and Compressed Natural Gas (CNG), Gujarat Gas plays a vital role in meeting the energy needs of residential, industrial, commercial, and non-commercial users.
| Operating Revenue | Over INR 500 cr |
| EBITDA | 27.75 % |
| Networth | 36.23 % |
| Total Assets | 6.99 % |
Mahanagar Gas Limited (MGL)
Mahanagar Gas Limited (MGL) is a listed public company incorporated on May 8, 1995. Based in Mumbai, Maharashtra, MGL operates as a public limited company. It is a joint venture between GAIL (India) Limited and the British Gas Group (now part of Royal Dutch Shell).
MGL’s primary focus lies in the distribution and marketing of natural gas in the Mumbai Metropolitan Region and its surrounding areas. The company also plays a crucial role in supplying compressed natural gas (CNG) as a vehicular fuel. CNG is widely utilized in public transportation, taxis, and private vehicles, promoting the adoption of cleaner and more sustainable transportation options throughout the region.
| Operating Revenue | Over INR 500 cr |
| EBITDA | -1.03 % |
| Networth | 11.29 % |
| Total Assets | 13.75 % |
Maharashtra Natural Gas Limited (MNGL)
Maharashtra Natural Gas Limited (MNGL) is an unlisted public company incorporated on January 13, 2006. MNGL, a joint venture between BPCL and GAIL, is based in Pune, Maharashtra. It lays infrastructure, including pipelines, to supply natural gas to customers. MNGL operates CNG stations for transportation and offers PNG distribution for domestic and commercial use.
MNGL holds the responsibility of developing essential infrastructure, such as pipelines and associated facilities, to facilitate the supply of natural gas to its customers. The company has successfully established a network of compressed natural gas (CNG) stations to cater to the transportation sector’s needs. Additionally, MNGL offers piped natural gas (PNG) distribution services to domestic and commercial consumers.
| Operating Revenue | Over INR 500 cr |
| EBITDA | -8.90 % |
| Networth | 15.86 % |
| Total Assets | 22.49 % |
Bharat Petroleum Corporation Limited (BPCL)
Bharat Petroleum Corporation Limited, commonly referred to as Bharat Petroleum is a listed public company incorporated on November 3, 1952. Owned by the Government of India, BPCL is listed on the Bombay Stock Exchange and the National Stock Exchange. The company’s refining segment is responsible for processing crude oil into a range of petroleum products, including petrol, diesel, liquefied petroleum gas (LPG), aviation turbine fuel (ATF), and more.
| Operating Revenue | Over INR 500 cr |
| EBITDA | 158.02 % |
| Networth | 64.22 % |
| Total Assets | 11.18 % |
Sabarmati Gas Limited (SGL)
Sabarmati Gas Limited (SGL), an unlisted public company incorporated on June 6, 2006, operates as a public limited company in Gandhinagar, Gujarat. SGL specializes in the distribution and marketing of natural gas within its authorized areas of operation. The company supplies natural gas as a fuel for diverse applications, including domestic, commercial, and industrial use.
SGL’s operations are conducted within areas authorized by the Petroleum and Natural Gas Regulatory Board (PNGRB). These areas encompass specific cities or regions where SGL holds exclusive rights for natural gas distribution. By providing natural gas services, SGL contributes to meeting the energy needs of various sectors, promoting cleaner and more sustainable fuel options in its designated areas of operation.
| Operating Revenue | Over INR 500 cr |
| EBITDA | 47.07 % |
| Networth | 37.68 % |
| Total Assets | 31.41 % |
