IGL signs LTA with DTC for the supply of CNG

05 April 2021

Indraprastha Gas Ltd has signed a long-term agreement to supply compressed natural gas to Delhi Transport Corporation (DTC) buses. 

The 10-year compressed natural gas (CNG) supply deal was signed by IGL Managing Director A K Jana and DTC Managing Director Vijay Kumar Bidhuri, a company statement said.

The gas supply agreement is valid till December 2030, it said. DTC is the largest CNG-powered bus service operator in the world with a fleet size of 3,762 buses and is also in the process of procuring 1,000 new CNG buses which would shortly be plying on the roads of the national capital.

"It consumes around 2.80 lakh kgs of CNG per day for its buses which constitute around 11% of daily CNG sale of IGL. The consumption of CNG is expected to increase further after the addition of new buses," the statement said.

In 2010, IGL had signed a long-term gas supply agreement with DTC. As part of the agreement, dedicated CNG filling facilities have been set up at 44 depots of DTC across Delhi and Noida to cater to the fleet of DTC buses being used for public transport with a total compression capacity of 10 lakh kgs per day.

"These state-of-the-art CNG filling facilities have helped in timely CNG fuelling of the fleet. The initiative has resulted in optimization of time, finances, and resources for DTC apart from ensuring timely commute of the buses on their respective routes," it said.