This would help GSPC create India's largest city gas distribution company

Five months after it acquired 65% stake in Gujarat Gas Company Ltd (GGCL), GSPC or Gujarat State Petroleum Corporation is planning to merge its city gas distribution entity, GSPC Gas Company Ltd with Gujarat Gas Corporation Limited (GGCL). Persons close to the development said this would not only help GSPC create India's largest city gas distribution company but also allow it to transfer the loans it took to acquire GGCL on its books as the company is listed.

The Delhi Government has sought the Centre’s permission to allow it to divert the gas supply meant for the Gas Turbine Power Plant and the Indraprastha Plant to its new plant at Bawana. Doing so, will help increase production at Bawana, which is currently being run much below its installed capacity of 1500 MW.

With no additional supply of gas in sight, and the production of power at the three power plants dismally low, the Delhi Government has decided to juggle its existing supply of gas to ensure maximum utilisation of the fuel and better production of power.

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