PIPED NATURAL GAS FOR COMMERCIAL USERS

PIPED NATURAL GAS

Frequently Asked Questions (FAQs)

• What is piped natural gas (PNG)?

  Natural gas is a naturally occurring mixture of gases, mainly methane. It is a clean-burning energy source used to generate electricity to power industries, heat homes, and fuel the transport of people and goods. Natural gas is lighter than air, which makes it one of the safest fuels as it instantly mixes with and evaporates into air if the gas escapes. It is naturally colorless and odorless, but for added safety, Sulphur or ‘rotten egg’ odor is often added so it can be easily detected if it escapes.

  PNG is delivered through a pipeline network. By using pipes, gas can be efficiently, reliably and cost-effectively transported over long distances to households, offices, commercial businesses, factories and other major demand centers, such as power plants and industrial sites.

• Who can use PNG?

  PNG is versatile and convenient, making it suitable for everyday use in domestic, commercial, non-commercial, non-domestic exempt (NDEC) and industrial establishments.

  • Households: PNG is mainly used for cooking and heating. It can also be used to power home appliances such as stoves, air conditioners, space heaters and outdoor lights.
  • Commercial, Non-commercial and NDEC: PNG is used as primary fuel source for power generation, commercial or large-scale cooking, heating and air-conditioning. Its main users include hotels and hostels; restaurants and food outlets; malls, stalls and retail outlets; bakeries and snack shops; offices; hospitals, schools and places of worship.
  • Industrial: An alternative to coal, diesel, and oil, PNG is used for heating, cooling and cooking processes in industrial settings. It also serves as a primary fuel for cogeneration systems in various industries, including iron and steel plants; chemical and petrochemical plants; non-ferrous and non-metallic plants; mining and quarrying sites; paper, pulp and printing; and the construction industry.
• What are the benefits of using PNG compared to other fuels such as liquefied petroleum gas (LPG)?
  • More savings - PNG costs less than other fuels and is metered like electricity, so you only pay for what you use.
  • 24/7 supply - PNG is supplied through a pipe and is available without interruption at the turn of a tap all day, every day.
  • Convenient – PNG replaces cylinders, so you do not need to book, store and replace anything. You just turn on the tap.
  • Safe - PNG is very safe compared to other common fuel types. It is non-toxic and it is lighter than air, so in case of any escape, it will instantly mix with air and evaporate. This minimizes the risk of fire.
  • Clean - PNG is the cleanest-burning fuel as it releases very few by-products. It contains 90% less pollutants and the lowest emissions compared to heavy fuels like oil and diesel. This makes it better for the environment.
  • No storage space needed - PNG is supplied through an always-on pipeline, unlike some fuels that come in bulky cylinders or tanks. This means you have more floor space available.
• How is PNG supplied?

  PNG is supplied directly to domestic, commercial, non-commercial, non-domestic exempt (NDEC) and industrial establishments 24 hours a day, 365 days a year. It works as an ‘always-on’ gas supply system so it is available whenever you want it.

• How much do I save with PNG?

  Switching to PNG saves money compared to other fuels such as diesel, oil and bulk LPG. The amount you save depends on the type and amount of fuel you are currently using. Because PNG is metered just like electricity, you only pay for what you use, making it even more economical than other fuels.

• How safe is PNG compared to other fuels?

  PNG has an excellent safety record compared to other common fuel types. It is completely non-toxic, and it is lighter than air, so it will instantly evaporate if it escapes. This minimises the risk of fire and burn, making it a safer fuel for everyday use.

• What should I consider when switching to PNG?

  Installing a PNG connection depends on the availability and reach of gas pipelines in your area and the distance of your dwelling or establishment from the main pipeline. The time needed for installation varies for each customer as it needs to take into account the amount and length of internal pipe laying required from the main pipeline to the point of gas consumption; and the number of units and appliance conversions required.

• Is Government approval required to obtain the natural gas connection?

  No. Government approval is not required for obtaining a piped natural gas connection as gas does not need to be stored.

  AG&P has been authorized by the Government of India’s Petroleum & Natural Gas Regulatory Board (PNGRB) to exclusively supply natural gas to 12 geographic areas covering 31 districts in Andhra Pradesh, Tamil Nadu, Kerala, Karnataka and Rajasthan. These exclusive rights cover PNG for domestic, industrial, commercial, non-commercial and NDEC users, and CNG for use in vehicles.