New Delhi: India’s LPG transportation infrastructure is set for a major expansion after the Petroleum and Natural Gas Regulatory Board (PNGRB) approved three new LPG pipeline projects spanning nearly 1,800 km at an estimated investment of ₹7,000 crore.
The projects will be developed by state-run GAIL (India) Limited and are expected to expand the country’s authorised common-carrier LPG pipeline network from around 7,700 km to nearly 9,500 km, representing an increase of approximately 23.5%.
The expansion is aimed at improving LPG supply reliability, reducing dependence on long-distance road transportation, lowering logistics costs and strengthening India’s overall energy supply chain.
Three New LPG Pipeline Projects Approved by PNGRB
The three projects will connect major inland consumption centres with LPG supply points across six states.
The projects include:
- Cherlapally-Nagpur LPG Pipeline: 556 km, connecting Telangana and Maharashtra.
- Jhansi-Sitarganj LPG Pipeline: 611 km, connecting Uttar Pradesh and Uttarakhand.
- Shikrapur-Goa-Hubli LPG Pipeline: 633 km, connecting Maharashtra, Goa and Karnataka.
Together, the three pipelines will add approximately 1,800 km to India’s LPG transportation network and create stronger links between supply points and major consumption centres.
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LPG Pipeline Network to Reach Nearly 9,500 Km
With the latest approvals, the authorised common-carrier LPG pipeline network is expected to grow from approximately 7,700 km to 9,500 km.
The expansion represents an increase of nearly 23.5% and is expected to create a more integrated LPG transportation system across northern, central and western parts of the country.
A larger pipeline network can also provide greater flexibility in transporting LPG from coastal import facilities to inland markets and bottling plants.
Focus on Reducing LPG Tanker Movement
A key objective of the projects is to reduce the long-distance movement of LPG through road tankers.
India imports a significant share of its LPG requirements, with much of the imported product entering through coastal locations before being transported to inland consumption centres.
At present, a substantial portion of this inland movement takes place through road transportation. The new pipelines are expected to provide a safer and more efficient alternative for transporting large quantities of LPG over long distances.
The shift from road to pipeline transportation could help:
- Reduce road congestion
- Lower logistics costs
- Improve transportation efficiency
- Reduce long-distance LPG tanker movement
- Lower carbon emissions
- Strengthen road safety
LPG Pipelines to Improve Supply Security and Safety
The expansion also has an important energy security and road safety dimension.
PNGRB has been encouraging a shift from road-based transportation to pipeline networks, particularly for long-distance movement of LPG to bottling plants and consumption centres.
Pipeline transportation provides a dedicated corridor for moving LPG and can reduce the number of tankers operating on major highways. This could help address safety concerns associated with long-distance LPG tanker movement.
With LPG consumption having increased significantly over the past decade, a stronger pipeline network is expected to support safer and more reliable transportation.
Wider Pipeline Network to Strengthen LPG Supply Chain
The new infrastructure could also improve the resilience of India’s LPG supply chain.
A wider pipeline network can provide greater flexibility in moving LPG from coastal import terminals to inland markets. It can also support supply continuity during demand fluctuations and temporary disruptions.
Another advantage is line-pack, which refers to LPG held within the pipeline system. This can provide an additional operational buffer and help maintain supplies during periods of high demand or short-term disruptions.
The projects are therefore expected to strengthen connections between coastal supply points and major inland markets while improving the resilience of the country’s LPG distribution system.
New Projects Build on Kandla-Gorakhpur LPG Pipeline
The latest approvals build on the earlier authorisation of the 2,757-km Kandla-Gorakhpur LPG Pipeline, described by PNGRB as the country’s longest LPG pipeline.
The addition of nearly 1,800 km through the three newly approved projects will significantly expand the reach of India’s LPG pipeline infrastructure.
For GAIL, the projects further strengthen its role in developing India’s gas and petroleum-product transportation infrastructure. For the country, the expansion represents a move towards a safer, more economical and resilient LPG supply network.
About GAIL
GAIL (India) Limited is a Maharatna Central Public Sector Enterprise under the Ministry of Petroleum and Natural Gas, Government of India. It is India’s leading natural gas transmission and marketing company and operates across the energy value chain, including natural gas transmission, marketing, processing, petrochemicals and LPG-related infrastructure.
