Tripathi, said GAIL is the only company in the country that has built multiple gas pipelines in the past one decade while the private sector even after getting authorization has not laid an inch. In mature markets, monopoly gas transporting and marketing companies have been unbundled or split after the share of natural gas in energy mix has reached at least 15% and a well-connected pipeline network built. Also, domestically produced natural gas forms bulk of consumption. In India, the share of natural gas in energy mix is 6.2%, its eastern and southern parts are not connected to any pipeline and domestically produced gas makes up for just 40% of the consumption. The petroleum ministry is looking at splitting GAIL into two firms to resolve the conflict of interest in it being both the transporter and marketer of natural gas.

Source: Mint May 24, 2018 17:26 UTC