Guwahati: Arunachal Pradesh is set to join India’s city gas distribution (CGD) map, with Bharat Petroleum Corporation Ltd. (BPCL) and Oil India Ltd. (OIL) signing an agreement on Tuesday (August 26, 2025) to establish a joint venture for the project.
Under the initiative, Compressed Natural Gas (CNG) stations will be developed, and Piped Natural Gas (PNG) connections will be extended to households, commercial establishments, and industries across the state, the companies said in a joint statement.
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The project, aimed at expanding access to clean energy and driving socio-economic development in the Northeast, aligns with the central government’s vision of building a gas-based economy. The Petroleum and Natural Gas Regulatory Board (PNGRB) had awarded the distribution license for Arunachal Pradesh to the OIL-BPCL consortium during the 12th round of CGD bidding.
The agreement was formalised at BPCL’s corporate office in Mumbai in the presence of BPCL Chairman and Managing Director (CMD) Sanjay Khanna and OIL CMD Ranjit Rath.
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“This joint venture reaffirms BPCL’s commitment to expanding clean energy access across India, with a special focus on the Northeast,” Khanna said. “Together with OIL, we will create a robust gas distribution network to serve households, industries, and transport.”
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Highlighting the state’s potential, Khanna added that the project will support sustainable growth, improve living standards, and advance India’s energy transition goals.
OIL CMD Ranjit Rath noted that the CGD network will mark a significant step in bringing clean and reliable energy to the region. “OIL has a long-standing legacy of hydrocarbon production in Arunachal Pradesh, and with the commissioning of the Kumchai-Kusijan gas pipeline last year, we strengthened our role as an anchor for the Centre’s hydrocarbon vision in the Northeast,” he said.