Market Incident

Public · Developing

AI compiled from Infoway · 3 analyzed stories

Indian Railways to replace LPG, diesel with PNG at 22 sites under pact with IGL

Northern Railway will replace about 500 kg of LPG and 2,500 litres of diesel used daily at 22 railway establishments with piped natural gas, under a Memorandum of Understanding signed with Indraprastha Gas Limited.

Published:

Updated:

What happened

Indraprastha Gas signed an agreement with Northern Railway’s Delhi Division to supply piped natural gas to 22 railway sites across Delhi-NCR. The proposed change would replace daily use of about 500 kg of LPG and 2,500 litres of diesel. Supply is expected to start at about 3,000 cubic metres a day.

Global impact / market context

The agreement could add a new customer for Indraprastha Gas and change the fuel used at these railway sites. The supply is proposed, not confirmed as completed, and the reported rise in use depends on better pipeline connections.

What to watch

  1. Check whether the proposed fuel change is finalized; this would show whether the agreement moves beyond a plan.
  2. Check whether gas supply starts at the reported initial level of about 3,000 cubic metres a day; this would show whether deliveries have begun.
  3. Check whether pipeline connections improve enough to support the expected rise to 8,000–10,000 cubic metres a day; this would show whether the higher use is achievable.

Affected assets

  • Diesel
  • Indraprastha Gas Limited
  • Liquefied petroleum gas
  • Piped natural gas

Evidence