NEW DELHI: Back from the brink of being split, state-run GAIL has lined up a Rs 5,000-crore war chest to further integrate its fortunes with the government’s carbon-reduction goals and is looking beyond natural gas to stay relevant in a rapidly changing energy market landscape.
The blueprint for this transformation, prepared under the leadership of chairman Manoj Jain, revolves around finding synergy between the gas utility’s pipeline and transportation business and a range of new age energy solutions.
The company has put a Rs 1,000-crore bet on setting up two plants each for producing ethanol and compressed biogas (CBG) from municipal waste. The foray into ethanol is timed with the government advancing the target of 20% petrol blending by 2025. CBG plants will add volumes for its pipeline network as city gas service expands across the country.