Odisha, UP, Bihar, Jharkhand and West Bengal will be benefited
In what may boost the infrastructure development of eastern India and help the country move towards a gas-based economy, the government has decided to provide a viability gap funding of 40% to GAIL (India) Ltd to construct the Jagdishpur-Haldia and Bokaro-Dhamra gas pipeline project.
The Cabinet Committee on Economic Affairs (CCEA) on Wednesday approved grant of around Rs.5,176 crore for the project which has an estimated cost of Rs.12,940 crore. The project will encompass five states—Uttar Pradesh, Bihar, Jharkhand, West Bengal and Odisha—and connect them to the national gas grid.
Petroleum and natural gas Minister Dharmendra Pradhan said addressing a press conference,
The gas pipeline that seemed a distant reality was taken up by the Cabinet today and the government has worked on its economic framework. This is for the first time after a long gap that the government plans to invest in oil infrastructure.