In a significant move towards cleaner industrial energy use, GAIL Gas Limited has signed a Gas Sale Agreement (GSA) with the Rourkela Steel Plant (RSP) of Steel Authority of India Limited (SAIL) for the supply of Industrial Piped Natural Gas (PNG). The partnership marks another step in promoting sustainable industrial operations and supporting India’s broader vision of building a gas-based economy.

The agreement is expected to encourage cleaner fuel adoption in manufacturing processes while reducing emissions across industrial operations.

Agreement Signed to Expand Industrial Natural Gas Usage

The agreement was signed by:

• M. Zafar Khan, Chief General Manager (Marketing), GAIL Gas Limited
• U.K. Bhujabal, General Manager (Operations), Rourkela Steel Plant

The signing ceremony took place in the presence of Anil Kumar, Executive Director – Materials Management.

Officials said the collaboration reflects growing efforts by major public sector organizations to shift toward environmentally sustainable fuel solutions.

8,000 SCMD Industrial PNG to Support Steel Operations

Under the agreement, GAIL Gas Limited will supply Industrial PNG with a Daily Nominated Quantity (DNQ) of 8,000 Standard Cubic Metres per Day (SCMD).

The natural gas will be used in iron fabrication processes at Rourkela Steel Plant and is expected to support:

• Improved operational efficiency
• Cleaner industrial processes
• Better energy sustainability
• Reduced emissions

The transition to natural gas is expected to help the steel plant move toward more environmentally responsible manufacturing practices.

Supporting India’s Gas-Based Economy Vision

The partnership aligns with the Government of India’s efforts to increase the share of natural gas in the country’s energy mix and encourage cleaner fuel use across industries.

Industry experts believe wider adoption of Industrial PNG can help:

• Reduce carbon emissions
• Improve fuel efficiency
• Support sustainability targets
• Accelerate cleaner industrial growth

The move also reflects the increasing role of natural gas as an alternative fuel in energy-intensive sectors.

Public Sector Collaboration for Cleaner Industrial Growth

The agreement highlights how public sector enterprises are increasingly working together to advance sustainable industrial practices.

As industries continue to adopt cleaner fuel technologies, such collaborations are expected to contribute toward building a more energy-efficient and environmentally responsible industrial ecosystem in India.

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