2,500 km LPG Pipelines: 9 projects to draw Rs 12,500 crore, bulk road transport to be phased out by 2030

The Centre has identified nine LPG pipeline projects with an investment potential of Rs 12,500 crore to move towards stronger energy security, more efficient logistics and a cleaner fuel ecosystem. Bids for four of these projects are already nearing completion, according to a Petroleum and Natural Gas Regulatory Board statement.

The government aims to do away with bulk road transports of LPG by 2030, by gradually moving LPG transport from road tankers to pipelines.

Here are key things to know about this initiative:

• Scope: According to PNGRB, the total planned LPG pipeline network will span 2,500 kilometres. Out of the total nine planned pipelines, the four pipelines that are nearing the completion of bidding are:
  • Cherlapally - Nagpur
  • Shikrapur - Hubli - Goa
  • Paradip - Raipur
  • Jhansi - Sitarganj

• Faster, high-volume LPG transit
• Minimal losses, better cost-efficiency
• Lower gas emissions
• Job creation

Indian Oil authorised for the Kochi-Kanyakumari-Thoothukudi natural gas pipeline

In a separate development, the petroleum regulator has granted authorisation to Indian Oil Corporation for laying, building, operating and expanding a natural gas pipeline connecting Kochi, Kanyakumari and Thoothukudi.

The pipeline will be 425-km long with a system capacity of 6.84 MMSCMD.

It will facilitate the efficient evacuation and transportation of regasified LNG from the Kochi LNG Terminal to key demand centres across Kerala and the southern districts of Tamil Nadu, according to a PNGRB release.

West Asia crisis

The updates from the petroleum board come at a time when the country has endured Middle East-linked energy disruptions by ramping up domestic supplies, prioritising deliveries to households and essential services and diversifying imports. Officials have repeatedly urged the public not to panic-book LPG refills acting on rumours of short-supplies, taking strict action against hoarders, black-marketers and rumour mongers. They have also maintained that there are no dry-outs reported at LPG distributorships.

The government has advised citizens to avoid booking or purchasing fuels in panic, assuring adequate supplies of petrol, diesel and the cooking gas.

All eyes are on a second round of peace talks between Iranian and American delegations in Pakistan this weekend. This week, US President Donald Trump hinted that the Iran war is nearing its end. According to foreign media reports, the US Navy has turned back over a dozen vessels in the region since its blockade of Iranian ports in the Persian Gulf and the Gulf of Oman.

On Sunday, Trump announced the blockade after accusing Tehran of not reopening the Strait of Hormuz, one of his main conditions behind a fragile two-week ceasefire against Iran.

The strait -- a crucial maritime region that normally enables the supplies of one-fifth of the world's oil and gas supplies -- has been effectively blocked since the start of the war on February 28. The vital waterway connects major oil producers like Saudi Arabia, the UAE and Iran to global markets.