GAIL and RRVUNL Collaborate to Enhance Gas Based Power Plants

GAIL signed a Memorandum of Understanding (MoU) with Rajasthan Rajya Vidyut Utpadan Nigam (RRVUNL) to explore the potential transfer of RRVUNL’s two gas-based power plants to a proposed joint venture company (JVC).

The initiative is particularly significant as gas-based power generation, under a government mandate, played a crucial role in ensuring uninterrupted electricity supply during the high-demand summer season, which saw peak demand reaching 250 gigawatts (GW) in May 2024.

Both organizations plan to collaborate on establishing approximately 1,000 megawatts (MW) of solar and wind energy projects on suitable land parcels, contributing to the creation of round-the-clock (RTC) power supply. GAIL emphasized that detailed due diligence and feasibility studies will be conducted for each project to assess their techno-commercial viability before the formation of the JVC.

GAIL currently operates a natural gas pipeline network spanning about 1,090 kilometers, supplying gas to industrial clients in Rajasthan’s Bhiwadi, Neemrana, Khuskhera, Kota, Jaisalmer, and Chittorgarh regions, including key customers such as Chambal Fertilizers and Shriram Fertilizers.

As reported by thehindubusinessline.com, the company provides gas to nineteen authorized city gas distribution entities in various districts of Rajasthan, including Kota, Bhilwara, Bhiwadi, Chittorgarh, and Jodhpur. The supply supports residential, commercial, small industrial, and transport sectors, promoting the use of green and clean energy.