GAIL and RRVUNL Join Forces to Optimise Gas-Based Power Plants in Rajasthan

GAIL (India) Limited and Rajasthan Rajya Vidyut Utpadan Nigam Limited (RRVUNL) have entered into a strategic partnership to enhance the operational efficiency of RRVUNL’s gas-based power plants in Rajasthan.

A Non-binding Memorandum of Understanding (MoU) was signed in the presence of Shri Hiralal Nagar, Hon’ble Energy Minister of Rajasthan, and Shri Alok, Additional Chief Secretary (Energy) of the Government of Rajasthan. The ceremony was attended by Shri Sandeep Kumar Gupta, Chairman and Managing Director of GAIL, and Shri Rajeev Kumar Singhal, Director (Business Development) of GAIL.

The MoU was signed by Shri Devendra Shringi, Chairman and Managing Director of RRVUNL, and Shri Sumit Kishore, Executive Director (Business Development and Exploration & Production) of GAIL.

To optimise the operations of gas-based power plants in Rajasthan, RRVUNL and GAIL will explore the possibility of transferring RRVUNL’s gas-based power plants located in Dholpur and Ramgarh to a proposed Joint Venture Company (JVC) between the two entities. Additionally, both parties will collaborate on developing approximately 1,000 MW of solar and wind projects in suitable land parcels, creating opportunities for Round the Clock (RTC) power generation.

Detailed due diligence and feasibility studies will be conducted for each project to assess its techno-commercial viability before forming the JVC. GAIL’s extensive natural gas pipeline network of approximately 1,090 kilometers supplies gas to industrial customers in the Bhiwadi, Neemrana, Khuskhera, Kota, Jaisalmer, and Chittorgarh regions of Rajasthan, including Chambal Fertilizers and Shriram Fertilizers. GAIL also supplies gas to 19 Authorized City Gas Distribution entities in Kota, Bhilwara, Bhiwadi, Chittorgarh, Jodhpur, and various other districts of Rajasthan, catering to residential, commercial, small industrial, and transport sectors.

GAIL owns and operates the 1,427-kilometer-long Jamnagar-Loni LPG pipeline, with a significant portion (694 kilometers) operating in Rajasthan from Abu Road to Alwar. Furthermore, GAIL is contributing to the Jal Jeevan Mission (JJM) scheme in Rajasthan by providing polymers for the manufacturing of HDPE pipes, ensuring tap water supply to every rural household.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.