PNGRB grants Dilip Buildcon exclusive 25-year license for Rs 1800 crore LPG pipeline project
GS3Economy · S&T · Environment · Security· Infrastructure (energy, ports, roads, railways)· Prelims·
Infrastructure development and energy security: a GS3 case study on logistics efficiency and road safety.
Why in news
PNGRB granted Dilip Buildcon an exclusive 25-year license for an Rs 1800 crore LPG pipeline project to enhance road safety by reducing tanker reliance.
Background
The Petroleum and Natural Gas Regulatory Board (PNGRB) granted the license to a Special Purpose Vehicle (SPV) of Dilip Buildcon. The project involves the construction, operation, and maintenance of LPG pipeline infrastructure with a value of Rs 1800 crore excluding GST.
Facts for Prelims
- FactProject Value: Rs 1800 crore excluding GST.
- FactLicense Duration: 25 years.
- FactDilip Buildcon's role: Infrastructure development and operation, excluding LPG procurement or distribution.
Prelims practice question
Which regulatory body is responsible for granting the license for the LPG pipeline project?
- (a)Oil and Natural Gas Commission
- (b)Energy Infrastructure Authority
- (c)Petroleum and Natural Gas Regulatory Board
- (d)Directorate General of Fuel
Show answer
Answer: (c) Petroleum and Natural Gas Regulatory Board — The note specifies that the Petroleum and Natural Gas Regulatory Board (PNGRB) granted the license.
For Mains
Q. Discuss how developing dedicated LPG pipeline infrastructure can enhance India's energy security and road safety while reducing logistical costs for Oil Marketing Companies.
Dimensions to cover in your answer
- Safety improvement: Reduction of hazardous road tanker movements in high-traffic corridors
- Logistical efficiency: Lowering transportation costs for OMCs through dedicated pipeline infrastructure
- Regulatory framework: Role of PNGRB in ensuring tariff structures and infrastructure standards
Keywords: Infrastructure development · Energy security · Logistics efficiency · Regulatory oversight · Road safety
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