New Delhi: Indraprastha Gas Limited (IGL) has signed a Memorandum of Understanding (MoU) with the Delhi Division of Northern Railway to supply Commercial Piped Natural Gas (PNG) across 22 railway establishments in Delhi, Ghaziabad and Gautam Budh Nagar.
The agreement is aligned with the government’s National PNG Drive 3.0 and aims to promote the use of cleaner and more reliable pipeline-based natural gas across railway facilities. The partnership will support the replacement of traditional liquid fuels, including LPG, with PNG and contribute to reducing dependence on imported fuels.
The MoU was signed on October 30 in the presence of senior officials from both organisations, including Pushpesh Raman Tripathi, Divisional Railway Manager (DRM), Northern Railway’s Delhi Division; Subhankar Sen, Chairman, IGL; Kumar Shanker, Managing Director, IGL; and Mohit Bhatia, Director (Commercial), IGL.
IGL-Northern Railway MoU: Railway Facilities to Be Connected to PNG
Under the proposed arrangement, PNG connectivity will be extended to various railway establishments across Delhi, Ghaziabad and Gautam Budh Nagar.
The facilities covered under the initiative include:
- Railway mechanised laundries
- Officers’ rest houses
- Base kitchens
- Running rooms
- Subordinate rest houses
- Guard and ticket examiner lobbies
In the first phase, PNG will be used for critical operations such as boiler units at mechanised laundries, kitchens and other railway facilities.
The mechanised laundries at Delhi Sarai Rohilla, Old Delhi, Anand Vihar Terminal, Hazrat Nizamuddin and New Delhi will use PNG for their boiler operations.
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IGL Expects PNG Consumption to Reach 8,000-10,000 SCMD
IGL expects natural gas consumption under the initiative to increase to around 8,000-10,000 Standard Cubic Metres per Day (SCMD) in the coming years as pipeline infrastructure and connectivity expand.
The company plans to strengthen its network across its authorised geographical areas, including Ajmer, Banda, Rewari and Muzaffarnagar, to support wider natural gas adoption.
The agreement is part of a broader effort to increase natural gas consumption among institutional and commercial users and reduce reliance on imported fuels.
IGL Chairman Subhankar Sen Highlights Benefits of LPG-to-PNG Transition
IGL Chairman Subhankar Sen said the partnership brings together two major organisations committed to nation-building.
He noted that Indian Railways had chosen IGL as its collaborative partner to replace LPG with PNG. According to him, the MoU will facilitate the substitution of a substantial quantity of LPG with natural gas, helping reduce import dependence and the associated subsidy burden.
Sen also said the collaboration could create opportunities for a wider transition from LPG to PNG across the Indian Railways network, extending the initiative beyond Delhi.
Northern Railway Plans to Extend PNG Connectivity to Hospitals and Residential Colonies
Delhi Division Railway Manager Pushpesh Raman Tripathi said the agreement would help Indian Railways reduce its energy costs.
He added that the railway division plans to explore extending PNG connectivity to railway hospitals and residential colonies in the future.
The proposed expansion could further increase the use of pipeline-based natural gas across railway establishments and residential facilities.
IGL Expands Household PNG Connections Under National PNG Drive 3.0
Alongside the railway partnership, IGL is strengthening its efforts to expand domestic PNG connections under the government’s National PNG Drive 3.0.
On October 28, 2026, the company introduced promotional incentives to encourage household registrations and gas-in conversions. The offers include:
- A discount of Rs 2,000 on standard domestic PNG registration charges.
- Free gas worth Rs 500 after activation of a PNG connection.
The initiative aims to accelerate PNG registrations and gas-in conversions across Delhi-NCR and other authorised geographical areas.
IGL is also conducting outreach programmes and working with resident welfare associations (RWAs) and apartment owners’ bodies to improve household connectivity.
IGL Managing Director Kumar Shanker said the initiative is aimed at extending pipeline-based natural gas to a wider range of institutional consumers. He added that structured outreach programmes and partnerships with residential associations would help speed up household PNG connectivity.
IGL-Northern Railway Partnership Supports India’s Clean Energy Push
The railway agreement and household PNG incentives reflect the broader effort to expand natural gas consumption across transport, industry, commercial establishments and households.
Replacing LPG and diesel with pipeline-based natural gas can reduce the need for cylinder handling and fuel storage while providing a continuous supply. However, the actual cost and emissions benefits depend on factors such as procurement prices, end-use efficiency and the fuels being replaced.
The agreement also offers a potential model for expanding PNG adoption across public-sector establishments. A wider rollout across railway facilities could create additional demand for city gas distributors and support India’s efforts to diversify its fuel mix and reduce dependence on imported energy.
About Indraprastha Gas Limited (IGL)
Indraprastha Gas Limited (IGL) is a city gas distribution company operating across 34 districts in 11 geographical areas in Delhi, Uttar Pradesh, Haryana and Rajasthan. Its infrastructure includes more than 30,000 km of pipelines and over 1,000 CNG stations. The company serves more than 2.5 million CNG vehicles and nearly 3.5 million PNG-connected households.
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