New Delhi: GAIL (India) Ltd has entered into a significant agreement with Tata Steel to supply natural gas to the company’s Combi-Mill plant located in Jamshedpur. This strategic move aligns with India’s push toward cleaner energy solutions and industrial decarbonization.
Natural Gas Supply Details
Under the terms of the agreement, GAIL will initially supply 31,000 standard cubic metres per day (SCMD) of natural gas to Tata Steel, with an increase to 43,000 SCMD scheduled after March 2026. The supply will begin by the end of September 2025 as part of GAIL’s City Gas Distribution (CGD) project in East Singhbhum, Jharkhand.
Infrastructure to Support Cleaner Energy
To facilitate this supply, GAIL has commissioned a 23-km long pipeline route connecting its network to Tata Steel’s Combi-Mill plant. This marks a major milestone in the expansion of CGD infrastructure in eastern India.
“This agreement represents the largest industrial customer onboarding since the inception of GAIL’s CGD gas network in regions including Varanasi, Patna, Ranchi, East Singhbhum, Cuttack, and Khordha,” the company said in an official statement.
Commitment to Sustainable Industrial Energy
Speaking about the collaboration, Gauri Shankar Mishra, General Manager and GA in-charge of GAIL, emphasized the importance of sustainable energy solutions for India’s manufacturing sector.
“This partnership with Tata Steel reflects our commitment to delivering cost-effective, environmentally sustainable, and operationally reliable energy solutions to India’s industries,” Mishra said.
Supporting India’s Green Energy Goals
The use of natural gas is expected to help reduce the carbon footprint of Tata Steel’s manufacturing operations, contributing to India’s national climate commitments and improving air quality in the region.
GAIL also revealed plans to extend natural gas connectivity to more industrial establishments in the region, reinforcing its role in India’s ongoing energy transition.
About GAIL (India) Limited
GAIL is India’s largest state-owned natural gas processing and distribution company, with diversified interests across natural gas, petrochemicals, liquid hydrocarbons, city gas distribution, renewable energy, and telecom. Its polymer business is a key driver of growth, focusing on high-quality and sustainable products for various industrial applications.
