0 0 111128122812111DFRReportTTZ PDF

GAIL GAS LIMITED
Detailed Feasibility Report
for
CITY GAS DISTRIBUTION
in
TAJ TRAPEZIUM ZONE

GEOGRAPHICAL AREA
NETWORK
MECON LIMITED
Delhi – 110 092
GAIL GAS LIMITED
Detailed Feasibility Report
for
CITY GAS DISTRIBUTION
in
TAJ TRAPEZIUM ZONE

GEOGRAPHICAL AREA
NETWORK
MECON LIMITED
Delhi – 110 092
05.15.23LW.DFR..TTZ
CONTENTS
DETAILED FEASIBILITY REPORT
City Gas Distribution Network
GAIL GAS Taj Trapezium Zone MECON
CONTENTS
Chapter No. Description Total Pages
01.00 EXECUTIVE SUMMARY 17
02.00 INTRODUCTION 06
03.00 METHODOLOGY OF STUDY 03
04.00 DEMAND PROJECTION 07
05.00 SYSTEM DESIGN 17
06.00 SYSTEM DESCRIPTION 20
07.00 IMPLEMENTATION SCHEDULE 07
08.00 ORGANISATION STRUCTURE & MANPOWER PLANNING 05
09.00 CAPITAL COST ESTIMATE 08
10.00 OPERATING COST 05
11.00 FINANCIAL ANALYSIS 22
ANNEXURES & DRAWINGS
H:\rajesh\Market Survey\TTZ\Final\Contents.doc Contents - 1/2 © 2010 MECON Limited. All Rights Reserved
LIST OF ANNEXURES & DRAWINGS
Sl
Annexure / Drawing No. Description
No
1. Annexure – I Computer Simulation Output for Pipeline System
2. Annexure – II Bill of Materials
Annexure – III Drawings
A MEC/23LW/05/25/M/001/0001 Typical Layout of City Gate Station
B MEC/23LW/05/25/M/001/0002 Layout of Steel Pipeline and CNG Network in TTZ
C MEC/23LW/05/25/M/001/0003 Process Flow Diagram For CNG Mother Station
D MEC/23LW/05/25/M/001/0004 Typical PNG Distribution System
E MEC/23LW/05/25/M/001/0005 Typical Layout of Pressure Regulating Installation
F MEC/23LW/05/25/M/001/0006 Schematic Diagram for GI System (Domestic)
G MEC/23LW/05/25/M/001/0007 Schematic Diagram for Terminal at large Commercial
H:\rajesh\Market Survey\TTZ\Final\Contents.doc Contents - 2/2 © 2010 MECON Limited. All Rights Reserved
CHAPTER – 1
EXECUTIVE SUMMARY
01.00 EXECUTIVE SUMMARY
01.01 Introduction
01.01.01 General
In last few years, the Indian Oil & Gas industry has witnessed some significant
changes which have set it on a path of greater competitiveness and efficiency.
The biggest milestone has been the formation of Petroleum & Natural Gas
Regulatory Board (PNGRB) for regulating the down stream sector. Under
present guidelines issued by PNGRB, companies interested in natural gas
business serving consumers of various sectors namely, domestic, commercial,
industrial and automobile, are now required to bid for various cities and
successful bidders will be awarded the rights to serve various segments under
laid down terms and conditions. This calls for understanding the natural gas
market of cities of interest, assessment of demand of natural gas in all the
segments, planning for City Gas Distribution (CGD) network and to assess
overall financial viability for the project prior to bidding process.
As a part of this exercise, GAIL Gas Limited, Noida, a wholly owned subsidiary
of GAIL (India) Limited, has assigned MECON Limited, New Delhi for
development of Detailed Feasibility Report (DFR) for setting up City Gas
Distribution Network including CNG dispensing facilities in Taj Trapezium Zone.
01.01.02 About Taj Trapezium Zone
Taj Trapezium Zone (TTZ) is a defined area of 10,400 sq km around the Taj
Mahal to protect the monument from pollution. The geographical limits of the Taj
Trapezium Zone have been defined in the shape of a trapezoid between
27030’N & 77030’E to 27045’N & 77015’E and 26045’N & 77015’E to 27000’N &
78030’E, was notified by the Government of India for intensifying efforts for
prevention and control of pollution.
The Supreme Court of India delivered a ruling on December 30, 1996 regarding
industries covered under the TTZ, in response to a PIL seeking to protect the
Taj Mahal from environmental pollution. It banned the use of coal/ coke in
industries located in the TTZ with a mandate for switching over from coal/ coke
to natural gas, and relocating them outside the TTZ or shutting down. The TTZ
comprises over 40 protected monuments including three World Heritage Sites
— the Taj Mahal, Agra Fort and Fatehpur Sikri etc. TTZ is so named since it is
located around the Taj Mahal and is shaped like a trapezoid
H:\rajesh\Market Survey\TTZ\Final\Chapter - 01 - Executive Summary.doc 01-1/17 © 2010 MECON Limited. All Rights Reserved
01.02 Methodology of Study
Following steps have been adopted for DFR preparation.
 Demand Projections for 25 years provided by GAIL Gas as an input for

preparation of DFR
 Study of the demand projection report and finalisation of realisable demand
to be considered for distribution
 Study of location of existing industrial areas, commercial units and
household and Retail Outlets for diesel and petrol all across the TTZ
 Geographical Study of TTZ from the point of view of CNG and PNG network
development in the specific context of demand potential for the specific
areas and their proximity or distance from source pipelines
 Limited Reconnaissance Survey during field visit
 Analysis of collected data, preparation of the network scheme and planning
of CNG & PNG facilities
 Selection of Pipeline Route and tentative locations of DRSs
 Preliminary System design and approximate Bill of Materials
 Capital and Operating cost estimates
 Financial Appraisal
01.03 Projected Demand
For the purpose of the present DFR, the demand projections for domestic,
commercial, automobile and industrial sectors for the TTZ area have been made
available by GAIL Gas. The projected demand for TTZ for the four consumer
segments namely, Domestic, Industrial, Commercial and Automobile has been
worked out for 25 years.
Following is the summary of total projected demand for various sectors for TTZ
under realistic scenario:
Table - 01.01
Sector PROJECTED DEMAND, in MMSCMD

10th 15th 20th 25th
2nd Year 5th Year
Year Year Year Year
DOMESTIC 0.0036 0.0385 0.0450 0.0532 0.0656 0.0737
COMMERCIAL 0.0004 0.0028 0.0033 0.0036 0.0040 0.0043
INDUSTRIAL 0.4398 4.8062 5.5888 6.0240 6.4931 6.9984
AUTOMOBILE 0.0069 0.0368 0.1868 0.2231 0.2668 0.3266
Total 0.4507 4.8843 5.8239 6.3039 6.8295 7.4030
The above demand figures are with 2010 as the first year and 2034 as the 25th
year, as considered in the market survey and demand projection report.
01.04 System Design
01.04.01 Gas Demand Considered for Distribution
In the case of Domestic and Commercial segments the projected demand is

already very conservatively projected therefore the projections have been
considered for distribution with only the very far flung locations not having any
significant gas requirements being excluded from being considered for
distribution.
In case of the automobile segment the Market Survey report made available by
GAIL Gas indicates a very equitable picture. All the locations in the TTZ
irrespective of area and population profile have been projected to be having
same CNG demand. This may not be the real picture as every town or city,
depending on its population profile and level of economic and commercial
activity, will have varying vehicular profile and hence the CNG demand. In light
of the above, though total projected demand as indicated in the demand report
has been considered for distribution but the locational distribution of total CNG
load has been worked out based on the above indicated parameters.
As is discernible from the demand projections table, major share of the

projected demand comes from the industrial segment and that too in Firozabad
area, having very high density of industrial units. However, the projected
demand in the Demand Assessment Report in 5th year (year-2014) has been
indicated as 4.8062 MMSCMD which is at variance with the demand estimated
by M/s GAIL. For working out realisable demand, the data compiled by M/s
GAIL has been used. Based on locations of various industrial units in Firozabad,
the total demand has been aggregated in various major locations.
The projection has been made considering annual growth rate of 4.0% for the
units located in Industrial Area and other areas lying outskirts of the city. This
growth rate includes increase in demand of individual units as well as new
upcoming units. In case of units located within the city areas, annual growth rate
of 1.5% has been considered. This growth rate mainly takes into account the
increase in demand of individual units. Due to congested areas, no new units in
these locations have been considered. In case of Bharatpur (CA-16), the
projected demand is 0.0129 MMSCMD. Based on interaction with few of the
local industrial units at Bharatpur, the demand potential for industries at
Bharatpur appears to be much more than the projected demand (0.003
MMSCMD in 1st year and 0.0129 MMSCMD in 25th year). In view of the above
findings during the field visit system design has been worked out keeping a
provision of a total gas load of 0.0262 MMSCMD.
Further, the industry loads indicated by GAIL Gas for Firozabad region,
presently being fed by GAIL’s existing pipeline infrastructure have also not been
considered.
Based on the above, following sector wise realisable demand have been
arrived at and considered for design of system.
Table: 01.02
Sector TOTAL REALISABLE DEMAND, in MMSCMD
nd
2 5th 10th 15th 20th 25th
DOMESTIC 0.0030 0.0309 0.0362 0.0426 0.0521 0.0586
COMMERCIAL 0.0004 0.0023 0.0027 0.0031 0.0034 0.0037
INDUSTRIAL 0.1989 0.8684 1.2780 1.4862 1.7342 2.0301
AUTOMOBILE 0.0070 0.0370 0.1870 0.2230 0.2670 0.3270
Total 0.2092 0.9386 1.5039 1.7549 2.0567 2.4194
The above indicated Realisable Demand (Table-01.02) is the sum total of the
realisable demand, considered for distribution, for various consumer segments
in TTZ Geographical Area taking 2010 as the first year and 2034 as the terminal
or 25th year
Based on the realisable demand of 25th year, following sector wise Peak loads
have been arrived at and considered for design of Steel Grid Network.
Table: 01.03
Sector 25th Year REALISABLE Peak load (25th Year)

DEMAND, in MMSCMD MMSCMD
Domestic 0.0586 0.1758

Commercial 0.0037 0.0074
Industrial 2.0301 2.7068
Automobile 0.3270 0.5886
Total 2.4194 3.4786
The total system collectively has been designed to cater the peak load
requirement of 3.4786 MMSCMD of 25th year. The pipeline sizing has been
done by simulating the total peak load of gas after distributing the requirements
in the network.
01.04.02 Source of Gas
TTZ area is already having a couple of major trunk pipelines running right
across the GA and also feeding gas to some of the industrial and different bulk
consumers of gas. GREP Pipeline of GAIL runs through the western part of the
TTZ Geographical area in South - North direction. Another pipeline, a spurline of
GREP, runs between Bhajera tap-off to Agra and Firozabad. Gas to be supplied
in the TTZ area is envisaged to be taken from these two trunklines. Further, the
area of TTZ is large with targeted towns and cities to be supplied with gas,
located considerable distance apart with large tracts of uninhabited land in
between. For the purpose of optimisation of pipeline network and downstream
distribution following five distinct areas have been identified and are envisaged
to have five independent sources of gas from these two pipelines.
 Chhata-Chaumuhan-Vrindavan-Raya-Hathras Area – from SV 10 of GREP

 Firozabad Area – SV station of Bhajera-Agra-Firozabad pipeline of GAIL
 Govardhan Area - from SV 9 of GREP
 Bhajera-Bharatpur Area - from SV 8 of GREP
 Achhnera-Kiraoli-Fatehpur Sikri Area - SV station of Bhajera-Agra-Firozabad
pipeline nearest to Achhnera
01.04.02 Steel Grid, CNG and PNG facilities
The Steel grid line network has been designed to cater to a pressure of up to 49
kg/cm2, however, the maximum working pressure is considered to be 24
kg/cm2(g) in most part of the network, barring a portion of the Firozabad grid
where the pressure is envisaged higher. As mentioned earlier, there shall be five
independent CGSs for supplying gas to the various areas in TTZ. These five
CGSs shall feed gas to the five pipeline systems which shall be for all practical
purposes independent of each other. All these pipeline systems put together,
shall traverse a total length of about 142.8 km from the various City Gate
Stations. The branches of 4”, 6” & 8” shall be taken from this main grid line up to
the CNG stations, industrial units and DRSs as needed. The scheme has been
elaborated in the Schematic Drawing attached.
The scheme has been developed by optimising the pipeline sizes using
engineering design software (refer software generated schematic diagram
enclosed at Annexure-Ia & Ib)
a) Automobile, domestic, commercial and industrial consumers in Taj

Trapezium Zone Geographical Area are proposed to be fed from gas
transported through the above mentioned grid line network.
b) The laying of major portion of grid line of 10”dia (47.7 km), 8” dia (49
km), 6”dia (0.8 km) and 4” dia (45.3 km) is envisaged to be completed in
first two years with approximately 70% being laid in first year. Refer
implementation Schedule (Fig-7.01).
c) The total inch Km of pipeline proposed to be laid in first five years (i.e.
the period of exclusivity) is as given below:
Table: 01.04
Pipe Detail Period
st
1 Year 2nd Year 3rd Year
10" x 6.4mm- API 5L Gr X42
33,390 m 14,310 m
(Total- 47,700m)
(333.9 Inch-KM) (143.1 Inch-KM) -
Chhata-Vrindavan Crossing – 21 km
Firozabad CGS – Arya Nagar - Makhanpur - 26.7 km
8" x 6.4mm- API 5L Gr B
(Total- 49,000m) 34,300 m 14,700 m
-
Vrindavan Crossing – Raya – Hathras – 45 km (274.4 Inch-km) (117.6 Inch-km)
Inner By-pass Firozabad - 4 km
(Total - 800m) 800 m
-
Inner By-pass Firozabad – Jalesar Rd - 0.2 km (4.8 Inch-km)
Karbala Rd – Suhag Nagar - 0.6 km
(Total- 45,300m)
Chhata – Nandgaon/Barsana – 10 km
31,710 m 13,590 m
Achhnera – Kiraoli – Fatehpursikri - 13 km -
(126.84 Inch-KM) (54.36 Inch-KM)
Bhajer – Bharatpur - 10 km
GREP – Govardhan - 5 km
Misc. Firozabad - 7.3 km
The total Inch-KM of Steel pipeline envisaged to be laid in first five years
i.e. the period of exclusivity is 1065.
d). Two types of CNG Stations, namely mother stations and daughter
booster stations are envisaged, to cater to the CNG demand of
automobile sector. Following is the total number of various stations to be
installed in 25 years:
Table – 01.05
STATIONS Cap. of compressor No. of installations Year of

in SCMH installation
Upto 5th Beyond 5th
year year
A ) Mother Stations – Green Field
Firozabad on NH 1200 1 1 1st & 7th
Near CGS 650 1 13th
Near Chhata on NH 1200 1 1 1st & 11th
Hathras
1200 1 1 1st & 9th
(on NH )
Bharatpur 1200 1 1 1st, 13th
On Agra Highway 650 1 10th
Raya 1200 1 1 5th & 14th
On Proposed Taj Expressway
Vrindavan X-ing 1200 - 2 8th & 16th
(on NH )
Achhnera 1200 - 2 10th & 18th
On Bhajera-Agra Highway 650 1 9th
Hathras 1200 - 2 21st & 22nd
(on NH)
C) Mother Stations (OMC ROs)

Firozabad on NH 1200 1 1 5th & 20th
Near Collectorate
Hathras 1200 - 1 10th
Jalesar Road
D) Daughter Booster Stations

26 Nos of DBS 250 20 6 Refer Imp. Sch.
Following total CNG facilities along with associated infrastructure shall be in

place by 5th year and beyond:
Table: 01.06
Quantity (Nos.)
By 5th Year from 6th to 15th from 16th to 25th Year
Sl. Facility Year
No.
1. Compressors:
1200 SCMH 7 7 7
650 SCMH - 3 -
Quantity (Nos.)
By 5th Year from 6th to 15th from 16th to 25th Year
Sl. Facility Year
No.
250 SCMH 20 6 -
2. Dispensers:
For Bus 12 7 4
For Cars/Auto 52 19 4
3. Cascades:
4500 WL cap. 5 9 5
3000 WL cap. 2 1 2
2200 WL cap. 20 6 -
PNG Network
It is planned to have common PRSs/DRSs (as the case may be) for all domestic
and commercial connections and for some of the industrial connections.
Considering the large area coverage of the TTZ and the requirement to feed to
gas to comparatively much smaller towns and cities, smaller capacity DRSs
have been envisaged at multiple locations. In this connection DRSs of 400
SCMH, 600 SCMH, 1250 SCMH and 2500 SCMH capacity have been
envisaged.
Table: 01.07
Period District Regulating Stations
400 SCMH 600 SCMH 1250 SCMH 2500 SCMH
st th
1 – 5 Year 3 nos. 7 nos. 3 nos. 2 nos.
6th – 10th Year - - - -
th th
11 – 25 Year - - - -
At DRS the pressure reduction shall be done from 14-19 Kg/cm2(g) to 7

Kg/cm2(g) so that gas can flow from High Pressure System (Steel Grid Line) to
Low Pressure System (MDPE Network).
It is planned to install MDPE network of following sizes:
dia. 180mm, PE 100, SDR 11

dia. 125mm, PE 100, SDR 11
dia. 63mm, PE 100, SDR 11
The Network would begin from DRS and enter up to premises of industrial,
domestic and commercial units
01.05 System Description
01.05.01 City Gate Stations
In view of the large area coverage the gas distribution network in the TTZ area
has been conceived in a way that the entire network in effect comprises of
separate gas supply systems for areas of major gas demand potential. These
systems are for all practical purposes independent of each other and have
separate gas off-take points as well. In all five nos. of City Gate Stations have
been envisaged out of which three nos., the ones for Chhata, Govardhan and
Bharatpur are on the GREP pipeline and the other two, for Achhnera and
Firozabad lie on the Bhajera-Agra-Firozabad pipeline. So to summarise the
above arrangement,
CGS near SV 10 of GREP – Gas for Barsana, Nandgaon, Vrindavan, Raya,

Hathras area
CGS near SV 9 of GREP - Gas for Govardhan area
CGS near SV 8 of GREP - Gas for Bhajera, Bhartpur area
CGS near Achnera - Gas for Achnera, Kiraoli, Fatehpur sikri area
(Bhajera-Agra-Firozabad P/L)
CGS near Firozabad - Gas for Firozabad area

(Bhajer-Agra-Firozabad P/L)
Odourising system shall be provided along with Metering Skids to detect any
accidental leakage of gas
01.06.02 Steel Grid Line
 The steel grid line has been designed to cater to pressure upto 49 Kg/cm2,
as per the recent guidelines of PNGRB.
 Sectionalising valves shall be provided to facilitate maintenance of system

and to allow for speedy isolation in the event of damage at every 2.0 -3.0
KM distance in city areas and 15 km in cross country areas.
 The Steel Grid Pipeline shall be PE coated in order to ensure long life. The
entire pipeline shall be provided with Permanent Cathodic Protection
System. Temporary Cathodic Protection (TCP) shall be provided during
construction phase of the proposed line by suitable means.
01.06.03 SCADA System
For entire pipeline & CNG distribution network, dedicated OFC based SCADA
system has been recommended. The pipeline and the CNG network shall be
monitored and controlled from central SCADA System Control centre using
Remote Terminal Units (RTUs) located along the pipeline at suitable locations.
For voice and data communication between stations and Master Control Station,
dedicated Optical Fibre Cables (OFC)/ Satellite Link/ Leased Line/ GSM/ CDMA
Network can be used. This will be implemented based on the criticality and the
capacity of the end user. The locations where dedicated OFC network is not
considered with pipeline, to meet the voice and data communication
requirement of these locations Leased Line/ GSM of other service provider /
operators available at city can be used for the limited SCADA (dedicated time
polling not a real time polling).
Master Control station (MS) is proposed at Firozabad and RTU at each CGS will
be provided. All large consumers will be connected with respective RTU of CGS
through GSM. The RTU will be connected to MS with existing GAIL telecom
network / leased line of other service provider / operators available between
each CGS location and Firozabad. This will cater telecom requirements of the
pipelines network.
01.06.04 CNG Distribution Network
Following are the main features of the CNG Distribution Network:
 The compressors to be installed in Mother Station shall be of 1200 SCMH

capacity, whereas Daughter Booster Stations will have 250 SCMH Booster
Compressors. The mother compressors shall be gas engine driven at
suction pressure 14-19 kg/cm2(g) and discharge pressure 255 kg/cm2(g).
 To meet the requirement of emergency power in case of grid power failure,

one DG set of capacity 15 KVA has been envisaged at each Mother Station
& On-line Stations.
 There shall be adequate number of Bus, Car/Auto dispensers maintaining a

comfortable dispensing capacity to gas demand ratio.
01.06.05 City Gas Distribution System
The City Gas Distribution (MDPE) network shall receive gas from District
Regulatory Station (DRS) at a pressure of 7 bar for onward distribution to
domestic, commercial and some of the Industrial consumers. The distribution
system shall comprise of –
 District Regulatory Station (DRS)

 MDPE pipe network
 GI / Copper pipe network
01.06.06 District Regulatory Stations (DRS)
It is planned to have DRS for some of the industrial consumers and all domestic
and commercial connections. DRS of capacities namely 400, 600, 1250 and
2500 SCMH will be installed in the first five years itself. These DRSs will bring
down the pressure from 19 kg/cm2(g) (max) to 7 kg/cm2(g).
01.06.07 MDPE Pipeline Network
For commercial and domestic consumers it is proposed that low pressure (7

kg/cm2(g)) underground network be provided for safety reasons, as it is safe for
inhabited areas, easy to lay and economical. Further in case of Industries also
PNG shall be supplied through MDPE network. The network shall have 180 mm,
125 mm, 63 mm, 32 mm and 20 mm diameter pipes to form the complete
distribution reticulation system.
 For domestic connections, each service line shall include a main isolation
valve and a regulator, reducing the pressure to 21 mbar.
 In case of Commercial Connections, the Meters shall be of two different

categories catering to small and large consumers with output pressure in the
range of 300 / 500 mbar to 2 bar
01.07 Implementation Schedule
The overall project comprising the CNG & PNG facilities including laying of main
grid and MDPE Network in TTZ is envisaged to be implemented in 25 years in
different Phases taking into account year-wise planning of infrastructure
development in line with growth in demand for CNG and PNG in various
segments.
 The implementation plan envisages achieving following targets in

first five years that is the period of exclusivity as per PNGRB
guidelines:
 The 10”/8”/ 6” dia Steel Pipe Line of length 142.8 Km (1065 Inch-KM).
 Approx. 63600 nos. of Domestic connections through MDPE Network
 Infrastructure to provide 0.0023 MMSCMD of PNG to different

commercial consumers located in TTZ area through MDPE Network.
 Infrastructure to compress and dispense 0.05 MMSCMD of CNG.
 Infrastructure to provide 0.87 MMSCMD of PNG to different industrial

units located at Firozabad, Hathras, Bharatpur etc.
01.08 Manpower
01.08.01 For Project Implementation
Keeping in view the vast area covered by TTZ Geographical Area, the project
work has to be taken up in various locations simultaneously. This will require at
least three dedicated teams for Grid line as well as for CNG & City Gas. The
organisational set-up for project implementation for the Project shall be headed
by a Dy. General Manager (Projects) who shall be assisted by six Managers
dedicated for Grid line and CNG & City Gas. They inturn shall be assisted by
adequate number of Assistant Managers and staff members having the required
skills to look after the distinct functions assigned to them (Refer Figure 8.01),
namely,
 Grid pipeline and associated facilities

 Contracts & Procurement
 CNG & City Gas Distribution
 Administration & Finance
 Safety
 Stores
The total project shall be taken up as comprising following two distinct areas:
 Grid Pipeline and PNG networks
 CNG and associated facilities
Hence, there shall be dedicated project implementation teams for these two
areas which shall report to Dy. General Manager (Projects).
The project implementation group will function under an organisational set-up

located at Firozabad. Services of an Engineering & Project Management
Consultant and a Third Party Inspection Agency are also envisaged during
project implementation period. There shall also be manpower for common areas
like contracts & procurement, finance and administration etc
01.08.02 For Operation and Maintenance
The Organisational Set-up for Operation and Maintenance is planned as

detailed in Figure 8.02.
The requirement of manpower has been worked out keeping in view the
proposed locations of CNG dispensing facilities (Mother Stations/ On-line
Stations) and Grid Pipeline at various cities inside TTZ. It is proposed that a
unified O & M mechanism headed by a Dy. General Manager and supported by
Managers, Assistant Managers for Operation and Maintenance, Safety, Stores
and Logistics, Administration & Finance. Further, adequate number of
supervisors, Assistants and Attendants would look after Operations &
Maintenance of following distinct areas, namely:
 Grid Pipeline and PNG networks

 CNG and associated facilities
The officers upto managerial level shall be from GAIL Gas Ltd. and manpower
requirement from Supervisors and below ranks may be taken on contract basis.
 The officers working for project implementation shall subsequently be

engaged in overall operations of CNG and PNG distribution facilities.
It is further proposed that the services be out-sourced where ever possible.
01.09 Capital Cost Estimates:
Capital cost based on the facilities envisaged for steel gridline, online stations
and city gas distribution network including charges for domestic, commercial
and industrial connections are estimated as Rs. 465.34 crores.
Phasing of capital expenditure before interest during construction for the project
as Rs. 43756.3 Lakhs has been worked out on the basis of implementation
schedule. The same is shown year-wise and given below.
Table – 01.08
st nd rd th
Year 1 2 3 4 5th
Cost in 15007.8 3858.1 3628.2 3838.1 3045.5

Lakh Rs
Year 6th 7th 8th 9th 10th
Cost in 269.9 635.6 1439.8 575.6 2151.7

Lakh Rs
Cost in 449.8 575.6 567.6 695.5 419.8

Lakh Rs
Cost in 725.5 509.8 935.4 809.6 1122.7

Lakh Rs
Year 21st 22nd 23rd 24th 25th
Cost in 913.4 643.9 359.8 389.8 187.9

Lakh Rs
01.10 Operating Costs
The annual operating costs for the project at 100% capacity is given below
Annual Operating Cost Table – 01.09

(Rs. in Lakhs)
Sl. No. Item Grid Online City gas Total
Line Station Distribution
A. Variable Cost
1. Electric Power 0.00 217.25 0.00 217.25
2. Diesel 0.00 47.51 0.00 47.51
3. Gas for compressors 0.00 815.56 0.00 815.56
4. Consumables 99.35 0.00 0.00 99.35
Sub-Total (A) 99.35 1080.32 0.00 1179.67
B. Fixed Cost
1 Manpower 96.79 152.10 110.62 359.51
2 Overheads 16.00 128.00 128.10 272.00
3 Repair & 125.95 631.28 185.35 942.58
Maintenance
4 Insurance 15.11 15.15 22.24 52.50
5. Wet lease for LCV’ s 0.00 234.00 0.00 234.00
6. AMC for 0.00 366.00 0.00 366.00
compressors
Sub-Total (B) 253.85 1526.53 446.21 2226.59
Total (A+B) 353.19 2606.85 446.21 3406.26
01.11 Financial Appraisal
The financial analysis of the project has been carried out based on the capital
cost and operating cost as elaborated in Chpaters-09 & 10 respectively and the
purchase price of the gas delivered at the tap-off and finally to consumers of the
gas for the project. Profit & Loss Statement, Cash flow Statement and Balance
Sheet have been projected for the project life of 25 years. Following are the
salient financial indices for the project:
Table – 01.10
Sl. Description Unit Amount
No.
1. Compression Charges Rs/ Kg 4.07
2. Transportation Tariff Rs/ MMBTU 27.14
3. Post-tax IRR on Capital employed % 23.6
4. Pre-tax IRR on Capital employed % 27.8
5. Payback period Years 8.8
6. Debt-service coverage ratio Times 2.54
7. Break-even capacity % 26.4
8. Cash break-even capacity % 15.6
9. NPV (post-tax) @10% discount for the project Rs.lakhs 40990.4
The Gas Volume considered for Sale is as follows:

Table: 01.11
(all figures in thousand)
1st 2nd 3rd 4th 5th
Year
Annual gas (Construction 38161 194109 284025 342398
volume, SCM period)
Annual gas 437849 458255 479906 513303 548704

volume, SCM
Annual gas 567349 584214 602288 621117 640392

volume, SCM
Annual gas 660646 681756 703743 726704 750446

volume, SCM
Annual gas 774867 800777 827019 854042 882714

volume, SCM
01.11.1 Sensitivity Analysis
Sensitivity analysis for the project has been carried out for increase/decrease of
capital cost, operating cost, selling price, gas purchase price and gas volume by
5-10%. Sensitivity for these Variants are given below.
Table – 01.10
Compression Transportation
Sl. IRR on Capital
Description Charges, Tariff,
No Employed, (%) Rs./Kg Rs./MMBTU
1 Base Case 23.6 4.07 27.14

With increase in
2 22.2 4.19 29.50
Capital cost by 10%
With decrease in
3 25.4 3.95 24.78
Capital cost by 10%
With increase in
4 Operating cost by 10% 23.3 4.36 27.50
With decrease in
5 23.9 3.78 26.78
Operating cost by 10%
With increase in Gas
6 25.6 3.70 24.67
volume by 10%
With decrease in Gas
7 volume by 10% 21.6 4.52 30.16
With increase in gas

8 6.6 4.19 27.14
purchase price by 10%
With decrease in gas
9 35.4 3.96 27.14
purchase price by 10%
With increase in Sales
10 37.0 4.07 27.14
price by 10%
With decrease in Sales
11 15.4 4.07 27.14
price by 5%
01.12 Project at a Glance
The summary of the DFR in form of “Project at a Glance” has been presented as
Exhibit-1
GAIL GAS
Taj Trapezium Zone
MECON
Exhibit-1 to Executive Summary
PROJECT AT A GLANCE
1.0 Name of the Project : CGD Network in Taj Trapezium

Zone (TTZ)
2.0 Name of the Organisation : GAIL Gas Limited
3.0 Project Location : Taj Trapezium Zone covering

various cities of UP and
Rajasthan
4.0 Projected Gas Demand (MMSCMD) in realistic scenario:

Sl. Sector 2nd Yr 5th Yr 10th Yr 15th Yr 20th Yr 25th Yr
No.
1. Domestic 0.0036 0.0385 0.0450 0.0532 0.0656 0.0737
2. Commercial 0.0004 0.0028 0.0033 0.0036 0.0040 0.0043
3. Industrial 0.4398 4.8062 5.5888 6.0240 6.4931 6.9984
4. Automobile 0.0069 0.0368 0.1868 0.2231 0.2668 0.3266
Total Demand 0.4505 4.8843 5.8239 6.3039 6.8295 7.4030
5.0 Total Realisable Gas Demand (MMSCMD):

Sl. Sector 2nd Yr 5th Yr 10th Yr 15th Yr 20th Yr 25th Yr
No.
1. Domestic 0.0030 0.0309 0.0362 0.0426 0.0521 0.0586
2. Commercial 0.0004 0.0023 0.0027 0.0031 0.0034 0.0037
3. Industrial 0.1989 0.8684 1.2780 1.4862 1.7342 2.0301
4. Automobile 0.0070 0.0370 0.1870 0.2230 0.2670 0.3270
Total Demand 0.2092 0.9386 1.5039 6.3039 2.0567 2.4194
i
GAIL GAS
Taj Trapezium Zone
MECON
6.0 Peak (Hour/Day) Projected Gas Demand sector wise in 25th year:
SCMH MMSCMD
Domestic : 481 0.1758
Commercial : 20 0.0074
Industrial : 7416 2.7068
Automobile : 1613 0.5886
Total : 9530 3.4786
7.0 Tap-Off Point : 1. SV 10 at GREP pipeline

2. Existing CGS at Ferozabad
3. SV 9 at GREP pipeline
4. SV 8 at GREP pipeline
5. SV near Achhnera
8.0 Project Facilities
At Chhata, Ferozabad, Govardhan,

CGS Bharatpur and Achhnera (5
: locations)
Steel Grid : 142.8 Kms
Total inch-km in 5 years : 1065 inch Km
CNG Stations : 11 nos.
Daughter Booster : 26 nos.
DRS : 15 nos.
MDPE Grid : 1858.2 km
9.0 Man Power Requirement for : 17 (nos.) permanent and 35
Operation (nos.) on contract
10.0 Project Time Schedule (Years) : 25
ii
GAIL GAS
Taj Trapezium Zone
MECON
11.0 Debt: Equity Ratio : 60 : 40
12.0 Cost of Gas at CGS (Rs. / Sm3) :

- For Domestic and Automobile : Rs. 12.25/ Sm3 (Base price - $ 4.21/
sectors MMBtu)
- For Commercial and Industrial : Rs. 18.00/ Sm3(Base price - $ 5.80/
sectors MMBtu)
13.0 Project Capital Cost (Rs. Crore) : 465.34
14.0 Net Selling Price of Gas (Rs./Sm3)
 Domestic Sector : 18.00
 Commercial Sector : 23.00
 Industrial Sector : 20.00
 Automotive Sector : 23.00
15.0 FINANCIAL RESULTS :
i) Post tax IRR on capital employed : 23.6 %

:
ii) Pre tax IRR on capital employed 27.8 %
:
iii) Payback Period 8.8 yrs
:
iv) Debt Service Coverage Ratio (DSCR) 2.54
:
v) Break- even capacity 26.4%
:
vi) Cash Break- even capacity 15.6 %
:
vi) Compression charges at 10% Rs. 4.07 / Kg
discount rate
vii) Transportation tariff at 10% : Rs. 27.14 / MMBTU
discount rate
iii
CHAPTER – 2
INTRODUCTION
02 INTRODUCTION
02.01 General
Over the last century there has been a perceptible shift of focus from coal to oil
and now natural gas and this has resulted in Natural Gas becoming a vital
component of the world's supply of energy these days. It is one of the cleanest,
safest, and most useful of all fossil fuels. It is increasingly finding acceptance as
the preferred fuel for the industry, automobiles and households alike the world
over.
India’s energy consumption basket continues to be dominated by coal and oil.

Coal has the largest share in consumption energy matrix with a share of 53.4%
followed by oil at 31.2 %, natural gas at 8.6 %, hydro 6.0% and nuclear at 0.8%.
With India on the verge of joining nuclear club, this matrix is set to witness
changes. As far as Natural gas is concerned, though it still accounts for a small
portion of India’s energy consumption basket, it is beginning to be reckoned as a
significant energy source. In India, ONGC is the major producer (68% of
production) and GAIL is the monopoly player in transmission and distribution of
natural gas, accounting for about 80% of the supplies. Power and fertilizers
together contribute nearly 70% of the demand for natural gas. In spite of huge
discoveries made by Reliance in KG Basin, the demand growth is still likely to
out perform the supply growth. As per an estimate, the Natural Gas demand is
growing and is forecast to rise to 313 MMSCMD by 2012 and 391 MMSCMD by
2020.
In line with the new Gas Pipeline policy of Govt. of India and the PNGRB Act
2006, PNGRB has formulated and got notified a number of regulations for
downstream oil & Gas sector. In line with the new regulatory requirements of
tariff based bidding for grant of authorisation, a number of entities have come
out with Expressions of Interest (EOI) to set up CGD (City Gas Distribution). For
some of the cities even formal bidding process has also commenced.
In India presently, GAIL (India) Limited is primarily responsible for transportation

and marketing of natural gas. Set up in 1984 it owns around 7100 km of pipeline
having a capacity of 155 MMSCMD and that includes 2300 km long HBJ
pipeline that has a capacity of 60 MMSCMD. The same is proposed to be
increased to over 12000 km and 300 MMSCMD by the year 2012. OIL, GSPC
and Reliance Industries Limited are some of the other players in the natural gas
business having their own production wells. The integrated oil companies like
IOC, HPCL, BPCL, also have a presence in the natural gas business apart from
their prime business of refining of crude and marketing of petroleum fuels.
H:\rajesh\Market Survey\TTZ\Final\Chapter - 02 - Introduction.doc 02-1/6 © 2010 MECON Limited. All Rights Reserved
GAIL (India) Limited has formed joint ventures with some of the oil companies
for distribution of natural gas in selected cities in the state of Andhra Pradesh,
Maharastra, Madhya Pradesh, Uttar Pradesh, Delhi etc.
02.02 Background
With increasing impetus coming in the form of environmental concerns leading

to various court directives, City Gas Projects have become a new thrust area of
natural gas business. The low cost in comparison to other crude oil based fuels
including LPG and environmental friendly characteristics have made natural gas
business more attractive.
The entry of private players like Adani, Reliance, GEECL (with Coal Bed
Methane) in natural gas business along with Public Sector Companies like
IOCL, BPCL, HPCL and joint venture companies like IGL, MGL, TNGCL, GGL,
BGL, AGL etc. fuelled with new discoveries of Natural Gas in India and
formation of Petroleum & Natural Gas Regulatory Board (PNGRB) by the
government is going to totally transform this Industry.
GAIL Gas Limited, Noida, a Wholly Owned Subsidiary of GAIL (India) Limited,
has assigned MECON Limited, New Delhi for development of Detailed
Feasibility Report (DFR) for setting up CNG dispensing and City Gas
Distribution Network in Taj Trapezium Zone (TTZ) covering certain districts of
Uttar Pradesh and Rajasthan.
02.03 About Taj Trapezium Zone (TTZ)
Taj Trapezium Zone (TTZ) is a defined area of 10,400 sq km around the Taj
Mahal to protect the monument from pollution. The geographical limits of the Taj
Trapezium Zone have been defined in the shape of a trapezoid between
27030’N & 77030’E to 27045’N & 77015’E and 26045’N & 77015’E to 27000’N &
78030’E, was notified by the Government of India for intensifying efforts for
prevention and control of pollution.
The Supreme Court of India delivered a ruling on December 30, 1996 regarding
industries covered under the TTZ, in response to a PIL seeking to protect the
Taj Mahal from environmental pollution. It banned the use of coal/ coke in
industries located in the TTZ with a mandate for switching over from coal/ coke
to natural gas, and relocating them outside the TTZ or shutting down. The TTZ
comprises over 40 protected monuments including three World Heritage Sites
— the Taj Mahal, Agra Fort and Fatehpur Sikri. TTZ is so named since it is
located around the Taj Mahal and is shaped like a trapezoid.
Under present study, the Geographical Area (GA) covers entire TTZ except
Agra and Mathura with total area of about 9513 Sq Km. The Geographical Area
covered under present study comprises of following 23 Charge Areas:
CA-01 Firozabad CA-13 Gowardhan

CA-02 Farha CA-14 Kumher
CA-03 Awagarh CA-15 Achnera
CA-04 Jalesar CA-16 Bharatpur
CA-05 Sahpau CA-17 Rupbas
CA-06 Sadabad CA-18 Bayana
CA-07 Hathras, Mursan CA-19 Jagner
CA-08 Baldeo CA-20 Kheragarh
CA-09 Raya CA-21 Fatehpur-sikri
CA-10 Vrundavan CA-22 Kiraoli
CA-11 Barsana CA-23 Shamsabad
CA-12 Nandagaon
The aim of the present feasibility study is to develop CNG and City Gas
Distribution network covering various Charge Areas (CAs) to cater demand for
natural gas in Industrial, Commercial, Domestic and Automobile segments.
Presently the natural gas demand of Industrial Sector of Firozabad (CA-1) is
being catered by M/s GAIL. M/s GAIL have established a vast pipeline network
in Firozabad for this purpose. The existing Pipeline network in Firozabad, GREP
and Agra Bajera Pipe Lines of M/s GAIL shall be taken as the source of Natural
Gas supply to various Charge Areas covered under the Geographical Area.
02.04 Scope of Work for DFR
The major scope of DFR comprises the following:
1) Selection of route for the Main Grid Line
Reccee survey of various prominent Charge Areas is to identify suitable

locations for City Gate Stations (CGS), CNG Stations and to select route
for the basic main grid line taking into account the locations of Industrial
areas and potential consumers in other segments.
2) System Design
Design philosophy is to ensure optimisation of the complete CNG and

City Gas Distribution System along with finalisation of operating
parameters. System design has been based on the latest standards and
guidelines for City Gas distribution as notified by PNGRB.
3) Design of Grid Network

This includes design of grid network, identification of nodes/ District
Regulating Stations (DRS), City Gate Station (CGS) and metering skids
at Tap-off Points with all safety provisions, PSVs, SVs, Cathodic
Protection and SCADA facility. The sizing of pipeline network including
CNG dispensing facilities through adequate number of Mother Stations,
On-line Stations and Daughter Station facility alongwith operation and
maintenance requirements in line with various relevant national and
international standards/codes and regulations.
4) Develop project implementation schedule
This involves development of Project implementation schedule to meet

the growth in demand upto 25 years and construction capabilities /
bottlenecks with reference to the facilities and the local conditions in

phased manner.
5) Man power Planning
Man power planning by way of preparing organizational structure for

implementation and operation & maintenance of the project.
6) Estimation of Capital Cost & Operating Cost
This involves preparation of realistic capital and operating costs of main

grid pipeline, City Gate Station (CGS) including Metering Skids, CNG
dispensing facilities, City Gas Distribution etc. based on the Bill of
Material for the facilities planned and the rates for different items as
prevailing during the period.
7) Financial analysis
The financial analysis would include working out the Profit & Loss
Account, Cash Flow Statement, Estimated Balance Sheet, Network Tariff
Calculation etc. as per various Formats provided by PNGRB.
02.05 Contents of the Report
The Report outlines the demand projections based on Demand Assessment

Report provided M/s GAIL Gas Limited, route finalization, process
considerations, basic design and optimum facilities required to transport gas
from City Gate Station (CGS) point to different potential consumers in the city.
The Report also delves into execution plan, organizational structure for running
the facilities, capital cost, operation & maintenance costs and financial analysis.
The DFR contains information under following chapters to meet the requirement
of the work order.
 Executive Summary
 Introduction
 Methodology of Study
 Demand Projections
 System Design
 System Description
 Implementation Schedule
 Organisation Structure & Manpower Planning
 Capital Cost Estimate
 Operating Cost Estimate
 Financial Analysis
02.06 Visits and Data Collection
Study of the Demand Assessment Report provided by M/s GAIL Gas Limited
was carried out to develop an understanding of the overall demand potential in
the Geographical Area. Apart from this study, MECON team visited various
prominent charge Areas and conducted Reccee survey for grid pipeline route
and to locate suitable sites for City Gate Station (CGS), DRS, CNG Dispensing
facilities etc.
02.07 Acknowledgement
MECON thankfully acknowledges the help and cooperation extended by officers

at GAIL, Agra and concerned officials of GAIL Gas Limited, Noida in preparation
of this report.
CHAPTER – 3
METHODOLOGY OF STUDY
03.00 METHODOLOGY OF STUDY
03.01 Introduction
The facilities envisaged under the Project broadly comprise:
 Piped Natural Gas Infrastructure in the Geographical Area covered under

TTZ.
 Development of CNG facilities and its integration with proposed Piped

Natural Gas Infrastructure
The said facilities, as detailed in the Chapter on System Design and System
Description, have been planned based on projected natural gas demand for 25
years. The demand projections for various segments have been arrived at
through a dedicated market survey got conducted by M/s GAIL Gas Limited
through a market survey agency. The proposed network and route selection has
been based on demand assessment, field visits, inputs from M/s GAIL & M/s
GAIL Gas Ltd. and other secondary data.
03.02 Demand Projection
The demand projections for next 25 years (from 2010-34) for domestic,
commercial, automobile and industrial sectors in the Geographical Area covered
under TTZ, have been made by a specialised market survey agency appointed
by M/s GAIL Gas Ltd. The project demand for various segments from 2010-34
has been taken as basis with some modifications based on feed back received
from M/s GAIL and M/s GAIL Gas particularly in case of industrial demand for
Firozabad (CA-1) and at other places wherever felt necessary. The Demand
Assessment Report submitted by the market survey agency shall be an integral
part of the present DFR.
03.03 Maps Used For Study & Important Source of Secondary Data
The following maps were studied for the optimum route selection:
a) City map including Gas Grid map of M/s GAIL for Firozabad
b) Map showing Geographical Area alongwith various Charge Areas

covered under TTZ as provided by M/s GAIL Gas
H:\rajesh\Market Survey\TTZ\Final\Chapter - 03 - Methodology.doc 03-1/3 © 2010 MECON Limited. All Rights Reserved
03.04 Route Selection Criteria for the Gas Grid
For selecting the Gas Grid for different Charge Areas, route study was carried
out keeping the following factors into account:
 Location of GAIL’s existing Natural Gas Pipelines

 Locations of existing Retail Outlets of Oil Companies
 Minimum rail, major road and river/ major canal crossings.
 Availability of space for right-of-use.
 Locations of future expansion of city
 Least contour variations.
 Avoiding HT transmission lines.
 Minimum number of turning points.
 Easy access to the route during construction phase.
 Availability of infrastructure facility e.g. land, electric power, water, etc.,
for SV stations, CNG stations and DRS.
03.05 Selection of CNG - Mother, On-line and Daughter Booster Stations
The selection criteria for location of CNG stations in the city is based on the
following:
i) Suitability for catering CNG requirements of Buses through dedicated

CNG stations.
ii) Location of population centres in the city
iii) Should cover major routes of heavy traffic movement
iv) Availability of sufficient area at existing petrol/diesel retail outlets.
v) Stations locations should provide an optimum spread of CNG network in
the city
vi) State and National Highways with heavy traffic of inter-state vehicular
movement
03.06 Selection of Sectionalizing Valve (SV) Stations
The criteria for selection of locations of SV stations is based on the following:
i) Primary consideration shall be given to locations that provide continuous

accessibility to valves
ii) The distance between two successive stations in case of the Grid within
cities shall be about 3.0 km.
iii) Conservation of gas
iv) Time to blow down the isolated section
v) Continuity of gas service
vi) Operational flexibility
vii) Expected future expansion between two sectionalizing valves
viii) Ease & flexibility in operation and security of the line
ix) Availability of a plot of minimum size 3m x 5m
Depending on the local site conditions the spacing between SV stations may be
adjusted to permit installation of SV station in a more accessible location
depending upon the availability of land during project execution.
03.07 Selection of District Regulatory Stations (DRSs)
In the current scheme of things DRSs of various capacities like 400, 600, 1250
and 2500 SCMH capacity has been envisaged. The selection criteria for DRS
location is based on the following:
i) Proximity to areas having a high concentration of large and medium

commercials and industrial units
ii) Proximity to those residential areas of the city where likelihood of

conversion is high.
iii) Locations shall be such that there is possibility of forming closed loops of
the MDPE network.
iv) Easy and convenient accessibility
CHAPTER – 4
DEMAND PROJECTION
04.00 DEMAND PROJECTION
04.01 General
For the purpose of the present DFR, the demand projections for domestic,
commercial, automobile and industrial sectors in the Geographical Area covered
under TTZ have been made based on market survey conducted through a
specialised market survey agency appointed by M/s GAIL Gas Limited. The
demand assessment report provides demand projections up to 25th year
beginning from the year 2010. The 1st year has been taken as the year for
creating the infrastructure for the project. The projected demand has been
worked out in three scenarios namely, optimistic, pessimistic and realistic. The
realistic demand has been considered for further working out total realisable
demand which has formed the basis for development of infrastructure and
system design.
04.02 Projected Demand
The projected demand for the Geographical Area for the four consumer
segments namely, Domestic, Industrial, Commercial and Automobile has been
projected for 25 years.
 Domestic Demand for PNG:
The demand for domestic segment has been worked out by market survey
agency for all Charge Areas. The demand projected under realistic scenario has
been considered for development of gas distribution infrastructure. Following is
the summary of projected demand for domestic sector pertaining to different
Charge Areas:
H:\rajesh\Market Survey\TTZ\Final\Chapter - 04 - Demand.doc 04-1/7 © 2010 MECON Limited. All Rights Reserved
Charge Year
Charge Area
Area (Demand in MMSCMD)
2011 2014 2019 2024 2029 2034
CA-01 FIROZABAD 0.0012 0.0124 0.0146 0.0173 0.0214 0.024
CA-02 FARHA 0 0.0003 0.0003 0.0004 0.0006 0.0007
CA-03 AWAGARG 0 0.0003 0.0003 0.0004 0.0005 0.0005
CA-04 JALESAR 0.0001 0.0008 0.0009 0.0011 0.0014 0.0016
CA-05 SAHPAU 0 0.0001 0.0001 0.0001 0.0002 0.0002
CA-06 SADABAD 0.0001 0.0007 0.0008 0.001 0.0013 0.0014
CA-07 HATHRAS 0.0005 0.0047 0.0055 0.0065 0.0078 0.0088
CA-08 BALDEO 0 0.0002 0.0003 0.0005 0.0007 0.0008
CA-09 RAYA 0 0.0004 0.0004 0.0005 0.0007 0.0008
CA-10 VRUNDAVAN 0.0002 0.0023 0.0027 0.0031 0.0037 0.0042
CA-11 BARSANA 0 0.0002 0.0002 0.0002 0.0003 0.0004
CA-12 NANDGAON 0.0001 0.0009 0.0011 0.0013 0.0017 0.0019
CA-13 GOWARDHAN 0.0001 0.0006 0.0007 0.0009 0.0011 0.0012
CA-14 KUMHER 0.0001 0.0015 0.0018 0.0021 0.0027 0.003
CA-15 ACHNERA 0.0001 0.0006 0.0007 0.0009 0.0012 0.0013
CA-16 BHARATPUR 0.0008 0.0081 0.0094 0.0108 0.0128 0.0144
CA-17 RUPBAS 0 0 0 0 0 0
CA-18 BAYANA 0.0001 0.0013 0.0015 0.0017 0.002 0.0023
CA-19 JAGNER 0 0.0001 0.0001 0.0002 0.0002 0.0003
CA-20 KHERAGARH 0.0002 0.0016 0.0019 0.0021 0.0025 0.0028

FATEHPUR-
CA-21 SIKRI 0 0.0005 0.0006 0.0007 0.0009 0.001
CA-22 KIRAOLI 0 0.0002 0.0003 0.0004 0.0005 0.0006
CA-23 SHAMSABAD 0 0.0007 0.0008 0.001 0.0014 0.0015

TOTAL 0.0036 0.0385 0.045 0.0532 0.0656 0.0737
 Commercial Demand for PNG:
Following is the summary of projected demand for commercial sector

which mainly includes hotels, hostels, restaurants, food joints, hospitals
etc pertaining to different Charge Areas:
Charge Year
Charge Area
2011 2014 2019 2024 2029 2034
CA-01 FIROZABAD 0.00005 0.0002 0.0002 0.0002 0.0003 0.0003
CA-02 FARHA 0 0.0001 0.0001 0.0001 0.0001 0.0001
CA-03 AWAGARG 0 0 0 0 0.0001 0.0001
CA-04 JALESAR 0 0 0 0 0 0
CA-05 SAHPAU 0 0 0 0 0 0
CA-06 SADABAD 0.00005 0.0002 0.0003 0.0003 0.0003 0.0004
CA-07 HATHRAS 0.00005 0.0002 0.0002 0.0002 0.0003 0.0003
CA-08 BALDEO 0 0 0 0 0 0
CA-09 RAYA 0 0.0001 0.0001 0.0001 0.0001 0.0001
CA-10 VRUNDAVAN 0.00006 0.0003 0.0004 0.0004 0.0005 0.0005
CA-11 BARSANA 0 0.0001 0.0001 0.0001 0.0001 0.0001
CA-12 NANDGAON 0 0.0001 0.0001 0.0001 0.0001 0.0001
CA-13 GOWARDHAN 0 0.0001 0.0001 0.0002 0.0002 0.0002
CA-14 KUMHER 0 0 0 0 0 0
CA-15 ACHNERA 0.00004 0.0001 0.0002 0.0002 0.0002 0.0002
CA-16 BHARATPUR 0.00014 0.0006 0.0007 0.0008 0.0008 0.0009
CA-17 RUPBAS 0 0.0001 0.0001 0.0001 0.0001 0.0001
CA-18 BAYANA 0 0.0001 0.0001 0.0001 0.0001 0.0001
CA-19 JAGNER 0 0.0001 0.0001 0.0001 0.0001 0.0001
CA-20 KHERAGARH 0 0.0001 0.0001 0.0001 0.0001 0.0001
FATEHPUR-
CA-21 SIKRI 0 0.0001 0.0001 0.0001 0.0001 0.0002
CA-22 KIRAOLI 0 0.0001 0.0001 0.0002 0.0002 0.0002
CA-23 SHAMSABAD 0 0.0001 0.0002 0.0002 0.0002 0.0002
TOTAL 0.00039 0.0028 0.0033 0.0036 0.004 0.0043
 Industrial Demand for PNG:
The Demand Assessment Report indicates demand for Industrial

segment in following 7 Charge Areas only. In rest of the Charge Areas
the industrial demand has been worked out as Nil.
Charge Year
Charge Area
2011 2014 2019 2024 2029 2034
CA-01 FIROZABAD 0.4394 4.8043 5.5757 6.0097 6.4776 6.9818
CA-02 FARHA 0 0 0 0 0 0
CA-03 AWAGARG 0 0 0 0 0 0
CA-04 JALESAR 0 0 0 0 0 0
CA-05 SAHPAU 0 0 0 0 0 0
CA-06 SADABAD 0 0 0 0 0.0001 0.0001
CA-07 HATHRAS 0.0001 0.0006 0.0025 0.0027 0.0029 0.0031
CA-08 BALDEO 0 0 0 0 0 0
CA-09 RAYA 0 0 0 0 0 0
CA-10 VRUNDAVAN 0 0 0 0 0 0
CA-11 BARSANA 0 0 0 0 0 0
CA-12 NANDGAON 0 0 0 0 0 0
CA-13 GOWARDHAN 0 0 0 0 0 0
CA-14 KUMHER 0 0 0 0 0 0
CA-15 ACHNERA 0 0 0 0 0 0
CA-16 BHARATPUR 0.0003 0.0013 0.0103 0.0111 0.012 0.0129
CA-17 RUPBAS 0 0 0 0 0 0
CA-18 BAYANA 0 0 0.0002 0.0002 0.0002 0.0002
CA-19 JAGNER 0 0 0 0 0 0
CA-20 KHERAGARH 0 0 0.0001 0.0001 0.0001 0.0001
FATEHPUR-
CA-21 SIKRI 0 0 0 0 0 0
CA-22 KIRAOLI 0 0 0 0 0 0
CA-23 SHAMSABAD 0 0 0 0.0002 0.0002 0.0002
TOTAL 0.4398 4.8062 5.5888 6.024 6.4931 6.9984
 Automobile Sector Demand for CNG:
The demand for CNG in automobile sector is generated by cars, auto

rickshaws, buses and taxies. The demand for CNG has been projected
evenly for all Charge Areas as (0.003 MMSCMD in 1st year and 0.0142
MMSCMD in 25th year). Following are the Charge Area wise demand
figures for the sector:
Year
(Demand in MMSCMD)
Charge
Charge Area
Area
2011 2014 2019 2024 2029 2034
CA-01 FIROZABAD 0.0003 0.0016 0.00812 0.0097 0.0116 0.0142
CA-02 FARHA 0.0003 0.0016 0.00812 0.0097 0.0116 0.0142
CA-03 AWAGARG 0.0003 0.0016 0.00812 0.0097 0.0116 0.0142
CA-04 JALESAR 0.0003 0.0016 0.00812 0.0097 0.0116 0.0142
CA-05 SAHPAU 0.0003 0.0016 0.00812 0.0097 0.0116 0.0142
CA-06 SADABAD 0.0003 0.0016 0.00812 0.0097 0.0116 0.0142
CA-07 HATHRAS 0.0003 0.0016 0.00812 0.0097 0.0116 0.0142
CA-08 BALDEO 0.0003 0.0016 0.00812 0.0097 0.0116 0.0142
CA-09 RAYA 0.0003 0.0016 0.00812 0.0097 0.0116 0.0142
CA-10 VRUNDAVAN 0.0003 0.0016 0.00812 0.0097 0.0116 0.0142
CA-11 BARSANA 0.0003 0.0016 0.00812 0.0097 0.0116 0.0142
CA-12 NANDGAON 0.0003 0.0016 0.00812 0.0097 0.0116 0.0142
CA-13 GOWARDHAN 0.0003 0.0016 0.00812 0.0097 0.0116 0.0142
CA-14 KUMHER 0.0003 0.0016 0.00812 0.0097 0.0116 0.0142
CA-15 ACHNERA 0.0003 0.0016 0.00812 0.0097 0.0116 0.0142
CA-16 BHARATPUR 0.0003 0.0016 0.00812 0.0097 0.0116 0.0142
CA-17 RUPBAS 0.0003 0.0016 0.00812 0.0097 0.0116 0.0142
CA-18 BAYANA 0.0003 0.0016 0.00812 0.0097 0.0116 0.0142
CA-19 JAGNER 0.0003 0.0016 0.00812 0.0097 0.0116 0.0142
CA-20 KHERAGARH 0.0003 0.0016 0.00812 0.0097 0.0116 0.0142
CA-21 FATEHPUR-SIKRI 0.0003 0.0016 0.00812 0.0097 0.0116 0.0142
Year
(Demand in MMSCMD)
Charge
Charge Area
Area
2011 2014 2019 2024 2029 2034
CA-22 KIRAOLI 0.0003 0.0016 0.00812 0.0097 0.0116 0.0142
CA-23 SHAMSABAD 0.0003 0.0016 0.00812 0.0097 0.0116 0.0142
TOTAL 0.0069 0.0368 0.18676 0.2231 0.2668 0.3266
Considering sizes of different Charge Areas and their population etc. this
even projection of CNG demand is certainly not realistic. The CNG
demand for Charge Areas like Firozabad, Bharatpur etc. can not be
same as those of places like Jalesar, Baldeo, Kumher etc. where even
commercial demand has been projected as nil. In absence of reliable
data in the Demand Assessment Report pertaining to CNG demand, the
data has been modified based on MECON’s assessment for deciding
number of CNG Stations. The CNG run vehicles coming from nearby
places like Delhi and other parts of NCR etc. particularly to tourist places
like Fatehpur Sikri, Vrindavan,Goverdhan, Bharatpur etc. has been taken
into account.
Following is the summary of total projected demand for various sectors:

Year
(Demand in MMSCMD)
Charge
Charge Area
Area
2011 2014 2019 2024 2029 2034
CA-01 FIROZABAD 0.44095 4.8185 5.59862 6.0369 6.5109 7.0203
CA-02 FARHA 0.0003 0.002 0.00852 0.0102 0.0123 0.015
CA-03 AWAGARG 0.0003 0.0019 0.00842 0.0101 0.0122 0.0148
CA-04 JALESAR 0.0004 0.0024 0.00902 0.0108 0.013 0.0158
CA-05 SAHPAU 0.0003 0.0017 0.00822 0.0098 0.0118 0.0144
CA-06 SADABAD 0.00045 0.0025 0.00922 0.011 0.0133 0.0161
CA-07 HATHRAS 0.00095 0.0071 0.01632 0.0191 0.0226 0.0264
CA-08 BALDEO 0.0003 0.0018 0.00842 0.0102 0.0123 0.015
Year
(Demand in MMSCMD)
Charge
Charge Area
Area
2011 2014 2019 2024 2029 2034
CA-09 RAYA 0.0003 0.0021 0.00862 0.0103 0.0124 0.0151
CA-10 VRUNDAVAN 0.00056 0.0042 0.01122 0.0132 0.0158 0.0189
CA-11 BARSANA 0.0003 0.0019 0.00842 0.01 0.012 0.0147
CA-12 NANDGAON 0.0004 0.0026 0.00932 0.0111 0.0134 0.0162
CA-13 GOWARDHAN 0.0004 0.0023 0.00892 0.0108 0.0129 0.0156
CA-14 KUMHER 0.0004 0.0031 0.00992 0.0118 0.0143 0.0172
CA-15 ACHNERA 0.00044 0.0023 0.00902 0.0108 0.013 0.0157
CA-16 BHARATPUR 0.00154 0.0116 0.02852 0.0324 0.0372 0.0424
CA-17 RUPBAS 0.0003 0.0017 0.00822 0.0098 0.0117 0.0143
CA-18 BAYANA 0.0004 0.003 0.00992 0.0117 0.0139 0.0168
CA-19 JAGNER 0.0003 0.0018 0.00832 0.01 0.0119 0.0146
CA-20 KHERAGARH 0.0005 0.0033 0.01022 0.012 0.0143 0.0172
FATEHPUR-
CA-21 SIKRI 0.0003 0.0022 0.00882 0.0105 0.0126 0.0154
CA-22 KIRAOLI 0.0003 0.0019 0.00852 0.0103 0.0123 0.015
CA-23 SHAMSABAD 0.0003 0.0024 0.00912 0.0111 0.0134 0.0161
TOTAL 0.45069 4.8843 5.82386 6.3039 6.8295 7.403
CHAPTER – 5
SYSTEM DESIGN
05.00 SYSTEM DESIGN
05.01 General
This chapter covers the design philosophy, input parameters, basic design and
standards for the total CNG & PNG distribution system envisaged for Taj
Trapezium Zone Geographical Area.
05.02 Demand Pattern
05.02.01 Projected Demand
The demand projections are as per the market survey and demand assessment
study got conducted by GAIL Gas for the complete geographical area and the
demand report of the same made available to MECON for preparation of DFR.
The projections in the said demand report have been made for a period of 25
years taking 2010 as Zero year for four consumer segments namely, domestic,
commercial, automobile and industrial.
The total projected demand for various segments during 2nd, 5th, 10th, 15th, 20th
and 25th year has been indicated in Table - 05.01 (refer chapter-4.0 for details):
Table - 05.01
Sector PROJECTED DEMAND, in MMSCMD
10th 15th 20th 25th
2nd Year 5th Year
Year Year Year Year
DOMESTIC 0.0036 0.0385 0.0450 0.0532 0.0656 0.0737
COMMERCIAL 0.0004 0.0028 0.0033 0.0036 0.0040 0.0043
INDUSTRIAL 0.4398 4.8062 5.5888 6.0240 6.4931 6.9984
AUTOMOBILE 0.0069 0.0368 0.1868 0.2231 0.2668 0.3266
Total 0.4505 4.8843 5.8239 6.3039 6.8295 7.403

th
The above are with 2010 as the first year and 2034 as the 25 year, as
considered in the market survey and demand projection report.
05.02.02 Realisable Demand
The Projected gas demand as per the market survey may not be achievable in
totality due to several factors viz; implementation difficulties, socio-economic
H:\rajesh\Market Survey\TTZ\Final\Chapter - 05 - System Design.doc 05-1/17 © 2010 MECON Limited. All Rights Reserved
factors etc. Thus the demand is reanalysed to obtain a demand which can
actually be realised on implementation of the proposed Grid Network.
The projected demand figures of 25th year are normally further analysed for
determining the Realisable Demand in some of the segments. As the entire
Realisable demand projection for 25 years is considered in designing the Grid,
no excess carrying capacity is further considered.
In the case of Domestic and Commercial segments the projected demand is

already very conservatively projected therefore the projections have been
considered for distribution with only the very far flung locations not having any
significant gas requirements being excluded from being considered for
distribution.
In case of the automobile segment the Market Survey report made available by
GAIL Gas indicates a very equitable picture. All the locations in the TTZ
irrespective of area and population profile have been projected to be having
same CNG demand. This may not be the real picture as every town or city,
depending its population profile and level of economic and commercial activity,
will have varying vehicular profile and hence the CNG demand. In light of the
above, though total projected demand as indicated in the demand report has
been considered for distribution but the locational distribution of total CNG load
has been worked out based on the above indicated parameters.
As is discernible from the demand projections table, major share of the

projected demand comes from the industrial segment and that too in Firozabad
area, having very high density of industrial units. However, the projected
demand in the Demand Assessment Report in 5th year (year-2015) has been
indicated as 4.9495 MMSCMD which is at variance with the demand estimated
by M/s GAIL. For working out realisable demand, the data compiled by M/s
GAIL has been used. Based on locations of various industrial units in Firozabad,
The total demand has been aggregated in various major locations as mentioned
below:
 Raja Ka Taal
 Dholpura
 Industrial Estate
 Rehana Road
 Karbala Nagar
 Labour colony
 Saraswati Nagar
 Makkhanpur
 Agra Gate
 Kotla Road
 Asfabad
The projection has been made considering annual growth rate of 4.0% for the
units located in Industrial Area and other areas lying outskirts of the city. This
growth rate includes increase in demand of individual units as well as new
upcoming units. In case of units located within the city areas, annual growth rate
of 1.5% has been considered. This growth rate mainly takes into account the
increase in demand of individual units. Due to congested areas, no new units in
these locations have been considered. In case of Bharatpur (CA-16), the
projected demand is 0.0129 MMSCMD. Based on interaction with few of the
local industrial units at Bharatpur, the demand potential for industries at
Bharatpur appears to be much more than the projected demand (0.003
MMSCMD in 1st year and 0.0129 MMSCMD in 25th year). In view of the above
findings during the field visit system design has been worked out keeping a
provision of a total gas load of 0.0262 MMSCMD.
Further, the industry loads indicated by GAIL Gas for Firozabad region,
presently being fed by GAIL’s existing pipeline infrastructure have also not been
considered.
Based on the above, following sector wise realisable demand have been arrived
at and considered for design of system.
Table: 05.02
Sector TOTAL REALISABLE DEMAND, in MMSCMD
nd
2 5th 10th 15th 20th 25th
DOMESTIC 0.0030 0.0309 0.0362 0.0426 0.0521 0.0586
COMMERCIAL 0.0004 0.0023 0.0027 0.0031 0.0034 0.0037
INDUSTRIAL 0.1989 0.8684 1.2780 1.4862 1.7342 2.0301
AUTOMOBILE 0.0070 0.0370 0.1870 0.2230 0.2670 0.3270
Total 0.2092 0.9386 1.5039 1.7549 2.0567 2.4194
The above indicated Realisable Demand (Table-05.02) is the sum total of the
realisable demand, considered for distribution, for various consumer segments
in TTZ Geographical Area taking 2010 as the first year and 2034 as the terminal
or 25th year.
05.03 Design Philosophy
The total philosophy for the system design has been worked out keeping in view
the availability of sufficient gas in the CGSs envisaged for the entire area
alongwith:
 immediate and long term business interests of GAIL Gas
 the overall economics of the available options considering the large

expanse of the Geographical Area
 Minimising dead length of the pipeline, some amount of which would as

such be inevitable considering the nearly 10,000 Sq Km area of TTZ
Geographical Area
It has been envisaged that more emphasis shall be given to utilising the existing
Retail outlets for CNG dispensing as the demand has already been built up in
these stations. The domestic sector has also been given priority while designing
the system. The augmentation of infrastructure for CNG & PNG distribution has
been planned in a phased manner as the demand builds up in subsequent
years. This would ensure capital investment in phased manner resulting into
overall economy of the project. As the area to be covered is quite big with many
locations to be reached, the philosophy adopted for CNG system design is to
have centralised CNG compression facilities at few locations and the other
locations comparatively farther away from the steel network to be fed with
Daughter Booster Stations. The compression capacity requirements for these
locations shall be loaded onto the CNG Mother stations planned along the steel
network. The above is aimed at optimising the steel pipeline network yet have a
good geographical spread and area coverage of CNG availability
As per the new regulations of PNGRB, network tariff charges and compression
charges are to be worked out for economic life of the project i.e. 25 years.
Accordingly, following has been taken into account while carrying out overall
system design:
 The network has been conceived to be able to cater to the peak load
realisable demand for 25th year. This shall avoid the trouble of laying
another line on the same route after the exclusivity period.
 The CNG dispensing facilities have been proposed to be installed in a

staggered manner commensurate with the projected realisable demand
for relevant years.
 Similarly for the domestic, commercial and industrial sectors, the

installation of MDPE pipelines etc., have been planned in stages.
05.04 Source of Gas
As already stated earlier, TTZ area is already having a couple of major trunk
pipelines running right across the GA and also feeding gas to some of the
industrial and different bulk consumers of gas. It has also been mentioned
earlier that natural gas is already being supplied to industrial consumers in
Firozabad area.
GREP Pipeline of GAIL runs through the western part of the TTZ Geographical
area in South - North direction. Another pipeline, a spurline of GREP, runs
between Bhajera tap-off to Agra and Firozabad. Gas to be supplied in the TTZ
area is envisaged to be taken from these two trunklines. Further, the area of
TTZ is large with targeted towns and cities to be supplied with gas, located
considerable distance apart with large tracts of uninhabited land in between.
Considering the above, it may not be economically viable to conceive a network
in the complete area with a single or couple of sources and reaching all areas
from there. It would be prudent to have multiple sources of gas from points on
the source pipelines suitably located for major demand centres. Thus conceiving
the CGD network for TTZ GA in such a way that the total network in the GA
essentially comprises a few smaller gas distribution networks which may be, for
all practical purposes, independent of each other, for the reason that
interconnecting these independent networks would result in substantial increase
in the dead length of the steel pipeline.
For the purpose of optimisation of pipeline network and downstream distribution

following five distinct areas have been identified and are envisaged to have five
different sources of gas.
05.04.01 Chhata-Chaumuhan-Vrindavan-Raya-Hathras Area
For the area comprising Barsana, Nandgaon, Vrindavan, Raya and right upto
Hathras it is envisaged that gas shall be tapped from the SV 10 of GAIL’s GREP
pipeline near Chhata sugar mill lying just on the north-western fringes of the TTZ
Geographical area.
05.04.02 Firozabad Area
Source of gas for the consumers in Firozabad area would be the Bhajer-Agra-
Firozabad pipeline of GAIL with the gas being tapped from the existing city gate
station at Firozabad.
05.04.03 Govardhan Area
Source of gas for the consumers in the Govardhan area would again be GREP
pipeline of GAIL with the gas being tapped from the SV 9.
05.04.04 hajera-Bharatpur Area
For meeting the gas requirement of the various consumers in and around
Bharatpur city, gas is envisaged to be tapped from the SV 8 of the GREP
pipeline of GAIL.
05.04.05 Achnera-Kiraoli-Fatehpur SIkri Area
In order to supply gas to the various consumer segments in the Achnera-Kiraoli-

Fatehpur Sikri belt, Bhajera-Agra-Firozabad pipeline is envisaged to be the
source with gas being tapped from its SV station nearest to Achnera.
It is assumed that the required quantity of natural gas for the CGD network in
TTZ area shall be made available by the natural gas suppliers, from the above
mentioned sources.
05.04.06 City Gate Station (CGS)/Metering System
All the five different sources of gas indicated above would individually require
city gate stations with all the associated facilities. It is assumed that these
CGSs, if need be with suitable modifications at a future date, shall be able to
meet the requirements up to the 25th year.
It is considered that natural gas at an outlet pressure between 49-24 kg/cm2(g)

at the CGSs shall be available for the PNG & CNG facilities in the area.
The Odourising Units with Ethyl Mercaptan as odourant shall be installed at the
City Gate Stations in line with the regulatory requirement.
05.05 Design of Pipe Line and CNG Network
05.05.01 Peak Load
The rate of consumption of gas in various consumer sectors is not uniform.

Actually, maximum quantity of gas for a day in each sector is consumed within a
fixed time in a specified manner (Refer assumptions given below for each
sector). During this period the rate of flow of gas increases.
This increased flow rate is termed as Peak Load. The system has to be designed
for a higher capacity based on the Peak Load requirements of all consumer
segments.
Based on the realisable demand of 25th year, following sector wise peak loads
have been arrived at and considered for design of system:
Table – 05.03
25th Year REALISABLE Peak load (25th Year)

Sector DEMAND, in MMSCMD MMSCMD
DOMESTIC 0.0586 0.1758
COMMERCIAL 0.0037 0.0074
INDUSTRIAL 2.0301 2.7068
AUTOMOBILE 0.3270 0.5886
Total 2.4194 3.4786
The peak loads have been determined considering following:
 For Automobile Sector, the peak loads have been worked out
considering 60% of daily demand to be met in 8 hour and balance 40%
in remaining period.
 For Industrial Sector, the peak loads have been worked out
considering 18 hour working in industrial units.
 For Commercial Sector, the peak loads have been worked out
considering 12 hour working in commercial units.
 For Domestic Segment, the peak loads have been worked out
considering consumption in 8 hour per day.
05.05.02 Steel Pipeline
The Steel grid line network has been designed to cater to a pressure of up to 49
kg/cm2, however, the maximum working pressure is considered to be 24
kg/cm2(g) in most part of the network, barring a portion of the Firozabad grid
where the pressure is envisaged higher. As mentioned earlier, there shall be five
independent CGSs for supplying gas to the various areas in TTZ. These five
CGSs shall feed gas to the five pipeline systems which shall be for all practical
purposes independent of each other. All these pipeline systems put together,
shall traverse a total length of about 142.8 km from the various City Gate
Stations. The branches of 4” and 6”/8” shall be taken from this main grid line up
to the CNG stations, industrial units and DRSs as needed. The scheme has
been elaborated in the Schematic Drawing attached.
The scheme has been developed by optimising the pipeline sizes using
engineering design software (refer software generated schematic diagram
enclosed at Annexure-Ia & Ib)
a) Automobile, domestic, commercial and industrial consumers in Taj

Trapezium Zone Geographical Area are proposed to be fed from gas
transported through the above mentioned grid line network.
b) The laying of major portion of grid line of 10”dia. (47.7 km), 8” dia (49
km), 6”dia (0.8 km) and 4” dia (45.3 km) is envisaged to be completed in
first two years with approximately 70% being laid in first year. Refer
implementation Schedule (Fig-7.01 and 7.02).
c) The total inch Km of pipeline proposed to be laid in first five years (i.e.
the period of exclusivity) is as given below:
Table: 05.03
Pipe Detail Period
st
1 Year 2nd Year 3rd Year
10" x 6.4mm- API 5L Gr X42 33,390 m 14,310 m
(Total- 47,700 m) (333.9 Inch-KM) (143.1 Inch-KM) -
Chhata-Vrindavan Crossing – 21 km
Pipe Detail Period

1st Year 2nd Year 3rd Year
Firozabad CGS – Arya Nagar - Makhanpur - 26.7 km
(Total- 49,000m) 34,300 m 14,700 m
-
Vrindavan Crossing – Raya – Hathras – 45 km (274.4 Inch-km) (117.6 Inch-km)
Inner By-pass Firozabad - 4 km
(Total – 800 m) 800 m
-
Inner By-pass Firozabad – Jalesar Rd - 0.2 km (4.8 Inch-km)
Karbala Rd – Suhag Nagar - 0.6 km
(Total- 45,300 m)
Chhata – Nandgaon/Barsana – 10 km
31,710 m 13,590 m
Achnera – Kiraoli – Fatehpursikri - 13 km -
(126.84 Inch-KM) (54.36 Inch-KM)
Bhajerar – Bharatpur - 10 km
GREP – Govardhan - 5 km
Misc. Firozabad - 7.3 km
The total Inch-KM of Steel pipeline envisaged to be laid in first five years
i.e. the period of exclusivity is 1065.
The line shall have the following design parameters:
 Design pressure : 49 Kg/cm2(g)

 Specific Gravity of natural gas : 0.63
 Density of Gas : 0. 76 kg/scm
 Design Temperature
- Buried : 45°C
- Above Ground : 65°C
 Joint Factor : 1
 Temperature Factor : 1
 Population Density Factor-Gridline : Class-IV
 Design Life : 30 Yrs
 Pipe Line Specification
- Pipeline Material :
For all size P/L : API 5L Gr.42 /API 5L Gr.B
6.4 mm WT.
- Corrosion Allowance : 0.5 mm
- Pipeline Efficiency : 0.9
5.06 CNG Stations & Design Parameters for CNG Stations
Based on the available projected demand, various facilities have been planned
in a phased manner and the same has been shown in the Implementation
Schedule (figure-07.01 and 07.02).
Commensurate with growth in demand for CNG, the facilities shall be added in a
staggered manner as detailed in Table 05.04 below:
Table: 05.04
STATIONS Cap. of compressor No. of installations Year of
in SCMH installation
Upto 5th Beyond 5th
year year
A ) Mother Stations – Green Field
Firozabad on NH 1200 1 1 1st & 7th
Near CGS 650 1 13th
Near Chhata on NH 1200 1 1 1st & 11th
Hathras
1200 1 1 1st & 9th
(on NH )
Bharatpur 1200 1 1 1st, 13th
On Agra Highway 650 1 10th
Raya 1200 1 1 5th & 14th
On Proposed Taj Expressway
Vrindavan X-ing 1200 - 2 8th & 16th
(on NH )
Achhnera 1200 - 2 10th & 18th
On Bhajera-Agra Highway 650 1 9th
Hathras 1200 - 2 21st & 22nd
(on NH)
C) Mother Stations (OMC ROs)

Near Collectorate
Hathras 1200 - 1 10th
Jalesar Road
D) Daughter Booster Stations

26 Nos of DBS 250 20 6 Refer Imp. Sch.
Note:
1. The Compressors proposed shall be operating at 14-19 Kg/cm2 (g) to 255 Kg/cm2 (g).
The daughter booster stations shall be chosen such that they provide a good
geographical spread for the CNG network.
CNG Cascades of 4500 water litre capacity are envisaged installed at all the
Green Field Mother Stations. At the Mother Stations on OMC ROs, 3000 water
litre capacity cascades are proposed. Adequate number of cascades along with
LCVs shall have to be deployed to ensure uninterrupted CNG supply to DBSs.
Adequate number of Bus, Car/ Auto dispensers have been envisaged to
maintain a healthy dispensing capacity to gas demand ratio.
5.06.01 Design Parameters for CNG Stations
The planned gas demand for the automobile sector in different years is as
mentioned in Table 05.05 below:
Table: 05.05
CNG DEMAND, in MMSCMD
2nd Year 5th Year 10th Year 15th Year 20th Year 25th Year
0.0070 0.0370 0.1870 0.2230 0.2670 0.3266
Accordingly, the following installations shown in Table – 05.06 have been

planned considering below mentioned design parameters of filling stations.
Compressor Capacity of Filling Stations

Table – 05.06
Sl. Year wise Comp. Capacity x No. of Comp.
No. (@ 18 Hrs per day) No. of
Facility Year Comp. Capacity x No. of Dispensers
Comp.
1. Mother 1st 1200 SCMH X 4
Stations 2nd -
rd
3 -
th
4 - Bus Disp.-- 12
th
5 1200SCMH x 3 Car/Auto Disp.--
12
th
6 -
th
7 1200 SCMH X 1
th
8 1200 SCMH X 2 Bus Disp.- 7
9th 650 SCMH x 1 Car/Auto Disp.- 7
th
10 1200 SCMH X 2
Sl. Year wise Comp. Capacity x No. of Comp.

No. (@ 18 Hrs per day) No. of
Facility Year Comp. Capacity x No. of Dispensers
Comp.
650 SCMH x 1
12th 1200 SCMH X 1

th
13 650 SCMH x 1
th
14 1200 SCMH X 1
16th 1200 SCMH X 1 Bus Disp.- 4

th
18 1200 SCMH x 1 Car/Auto Disp.- 4
th
19 1200 SCMH X 1
th
20 1200 SCMH x 2
21st 1200 SCMH x 1
nd
22 1200 SCMH x 1
TOTAL CAPACITY 4,34,400 SCMD
Daughter
Car/Auto Disp.-
2. Booster 250 SCMH** x 1 x 26
52
Stations #
** at 30 kg/cm2(g) Inlet Pressure
The number of compressors have been added over the years to maintain a healthy
compression capacity to gas demand ratio, being 1.26 at the end of 25th.
Considering the fact that TTZ area comprises nearly 10,000 sq km and in view of
the larger spread of the area substantial number of DBSs have been envisaged to
cater to the CNG demand of the comparatively smaller towns and cities located
away from the steel network. For the reason that CNG Mother stations are
proposed only at major and strategic locations, additional number of DBSs have
been envisaged and as a result, the number of dispensers considered end up with
a very healthy Dispensing capacity to gas demand ratio over the 25 year period.
The design parameters for the above CNG facilities and number of CNG
cascades are as follows:
 Inlet pressure : 19 Kg/cm2(g) for MS
 Outlet pressure : 255 Kg/cm2(g)

 Cascade capacity
- Mother Station : 19 Nos x 4500 lit/cascade
- Mother Station : 5 Nos x 3000 lit/cascade

(OMC RO)
Daughter Booster Stations : 26 nos. x 2200 lit/cascade
LCV Mounted (Mobile) : 39 nos. x 2200 litres of water/cascade
- Average Filling Capacity :
Bus : 80 kg
Car : 8 kg
Auto : 3.5 kg
- Average Filling Time/Vehicle:
Bus : 8 minutes
Car : 4 minutes
Auto : 2 minutes
- No. of Arms per Dispenser :
Bus Dispenser : 1 no.

Car Dispenser : 2 nos.
Auto Dispenser : 2 nos.
Following total CNG facilities along with associated infrastructure shall be in

place by 5th year and every 5 years thereafter:
Table: 05.07
Quantity (Nos.)
By 5th Year from 6th to from 16th to 25th
Sl. Facility 15th Year Year
No.
1. Compressors:
1200 SCMH 7 7 7
650 SCMH - 3 -
250 SCMH 20 6 -
2. Dispensers:
For Bus 12 7 4
For Cars/Auto 52 19 4
3. Cascades:
4500 WL cap. 5 9 5
3000 WL cap. 2 1 2
2200 WL cap. 20 6 -
05.07 Design Parameters for PNG Distribution Network
The pressure regimes that shall be followed for the system design are:
 Distribution/ Service Line (Medium Pressure System): 6 - 1.5 bar,

MDPE
 Domestic Connection (Low Pressure System): 21 m bar,
GI/ Copper Installation
 Supply pressure large commercial consumer: 2 bar *
 Supply pressure small commercial consumer: 300 / 500 mbar *
 Industrial Consumers: 2 bar- as per requirement*
 Supply pressure to commercial consumers shall be need based
05.07.01 PNG Distribution for Industrial Consumers
Out of the total area of TTZ industrial activity is substantial only at three major
locations, with the lions share being that of Firozabad and the other two being
Bharatpur and Hathras. The following major industrial areas have been targeted
for Industrial PNG distribution:
Firozabad
 Industrial Estate near Dholpur

 Raja Ka Taal
 Rehana Road
 Karbala Road and Suhag Nagar
 Purani Mandi
 Pameshwar Gate
 Saraswati Nagar
 Kotla Road
 Hanuman Garh
 Makhanpur
Bhartpur
 Brij Industrial Area (RIICO)
 Purana Industrial Area
Hathras
 Industrial Area
It is envisaged that the industrial units in different areas would be catered

through the PRSs/ MRSs meant for the area. Individual industrial units shall be
supplied through Steel pipeline or MDPE network originating from the DRSs,
depending on the load requirements.
05.07.02 PNG Distribution for Commercial Consumers
The commercial consumers comprise Hotels, Restaurants, Food Joints, Hostels

and Hospitals. The supply of PNG shall be made available to these consumers
through MDPE network which shall be through PRSs/ DRSs jointly catering to
the needs of domestic as well as commercial consumers.
05.07.03 PNG Distribution for Domestic Consumers
The domestic connections would be provided with uninterrupted gas supply at a

pressure of 21 mbar to all the locations in TTZ for which PNG distribution has
been envisaged. Following is the proposed number of domestic connections to
be provided in different years:
Table: 05.08
No. of Domestic Connections (cumulative)
5th Year 10th Year 15th Year 20th Year 25th Year
63600 74600 88000 107000 117200
05.08 Pressure/District Regulating Stations (PRS/DRS)
It is planned to have common PRSs/DRSs (as the case may be) for all domestic
and commercial connections and for some of the industrial connections.
Considering the large area coverage of the TTZ and the requirement to feed to
gas to comparatively much smaller towns and cities, smaller capacity DRSs
have been envisaged and multiple locations. In this connection DRSs of 400
SCMH, 600 SCMH, 1250 SCMH and 2500 SCMH capacities have been
envisaged.
Period DRS (Capacity in SCMH)

400 SCMH 600 SCMH 1250 SCMH 2500 SCMH
st th
1 – 5 Year 3 nos. 7 Nos 3 Nos 2 nos.
6th – 10th Year - - - -
11th – 25th Year - - - -
05.09 MDPE Network
It is planned to install MDPE network of following sizes:
dia. 180mm, PE 100, SDR 11

dia. 125mm, PE 100, SDR 11
The Network would begin from MRS/DRS and enter upto premises of industrial,
domestic and commercial units.
05.10 Codes, Specifications & Guidelines
Steel Pipes
 ANSI/ ASME B31.8

 OISD 141
 API 5L
 New Pipeline Policy
MDPE Pipelines for U/G Gas Services
 ANSI/ ASME B31.8

 IS 14885 / ISO: 4431
 OISD 220
CNG System
 OISD: 179, 132, 110, 137 & 220

 NZS – 5425
 NFPA – 37, 52, 70
 ANSI B31.3 & B31.8
 IS-2148
 API – 11P, API – 618
 Indian Electricity Rules
 Indian Explosives Act
 ASTM, NEMA, NGV, NEC
 CCOE & Latest Regulations of PNGRB
CHAPTER – 6
SYSTEM DESCRIPTION
06.00 SYSTEM DESCRIPTION
06.01 General
To meet the projected gas demand of the entire Taj Trapezium Zone
Geographical Area, it is envisaged to lay a Distribution Network of Natural Gas
pipelines in the cities and other areas. The steel main grid would be laid initially
and installation of equipments would be done in a phased manner as described
in Chapter-07.00 (Implementation Schedule).
The technical details of the equipments & infrastructure proposed to be installed

to meet the requirement of Natural Gas Demand in the Domestic, Commercial,
Industrial & Automobile sectors is elaborated below.
06.02 City Gate Stations
As already stated in the previous chapter, in view of the large area coverage the
gas distribution network in the TTZ area has been conceived in a way that the
entire network in effect comprises of separate gas supply systems for areas of
major gas demand potential. These systems are for all practical purposes
independent of each other and have separate gas off-take points as well. In all
five nos of City Gate Stations have been envisaged out of which three nos., the
ones for Chhata, Govardhan and Bharatpur are on the GREP pipeline and the
other two, for Achnera and Firozabad lie on the bhajera-Agra-Firozabad
pipeline. So to summarise the above arrangement,
CGS near SV10 of GREP – Gas for Barsana, Nandgaon, Vrindavan, Raya,
Hathras area
CGS near SV 9 of GREP - Gas for Govardhan area
CGS near SV 8 of GREP - Gas for Bhajer, Bhartpur area
CGS near Achnera - Gas for Achnera, Kiraoli, Fatehpur sikri area
CGS near Firozabad - Gas for Firozabad area

H:\rajesh\Market Survey\TTZ\Final\Chapter - 06 - System Description.doc 06-1/20 © 2010 MECON Limited. All Rights Reserved
The City Gate Stations envisaged are to be a skid type having filtration,
pressure reduction and flow measurement facilities with following major items:
i) Isolation valves
ii) Cartridge filters
iii) Pressure regulators
iv) Slam shut valves
v) Turbine/ultrasonic flow meters
vi) Cold venting facilities
vii) Pressure Safety valves
viii) Instrumentation
A typical schematic layout of facilities / equipment installed at CGS is given in

Annexure-III-A.
Odorising Facilities
Odourising system shall be provided at the city gate stations to detect any
accidental leakage of gas. It is envisaged to have 1 no. of Odourising unit
installed along with the Metering Skid. The odourisation injection rate shall be
based on the flow rate of the gas. The odourant proposed to be used is Ethyl
Mercaptan.
The odorant, ethyl mercaptan provides a good odour impact and is commonly
available in India. The odorant sulphur compounds do not harm the natural gas
transmission or steel pipeline system because highly elevated temperatures are
required to convert these compounds into acidic substances.
06.03 Steel Pipeline Grid
The steel grid line has been designed to cater to pressure upto 49 Kg/cm2, as
per the recent guidelines of PNGRB. The main grid line has been designed
based on the following design parameters:
 Design pressure : 49 Kg/cm2(g)

 Specific Gravity of natural gas : 0.687
 Density of Gas : 0. 83 kg/scm
 Design Temperature
- Buried : -29 to 60 °C
- Above Ground : - 29 to 65°C

 Joint Factor : 1
 Temperature Factor : 1
 Population Density Factor-Gridline : Class-IV
 Design Life : 30 Yrs
 Pipe Line Specification
- Pipeline Material
For 10” size P/L : API5LGr.X42, 6.4mm WT
For 8”, 6”, 4” size P/L : API5LGr.B, 6.4mm WT
- Corrosion Allowance : 0.5 mm

- Pipeline Efficiency : 0.9
The layout of the steel grid line along with equipments is shown in Annexure-III -
B.
06.03.01 Sectionalising Valve Station (SV Station)
Sectionalising valve station shall be provided to facilitate maintenance of system

and to allow for speedy isolation in the event of accident. The location of the SV
station shall be at every 3.0 Km distance in the city areas to facilitate
maintenance, repair, modification, testing and commissioning etc. However for
the cross country portion of the pipeline the same shall be 15 km. The
Sectionalising Valve station shall have following features:
 Sectionalising valve
 Tap-Off on upstream (future provision)
 Cold venting facility
SV station shall have full bore gas actuated ball valve with extended stem.
6” /4” dia. Tap-offs (for 10”/8”/6” grid lines) shall be provided for future use.
Provision shall be made for safe blow down of gas into the atmosphere through
Vent. A vent pipe of minimum 3m height above ground and located at a suitable
safe distance from the valve assembly shall be provided.
To install the facilities a plot size of 5m x 8m shall be required.
06.03.02 Cathodic Protection (CP) System
For efficient and satisfactory functioning of the main grid line system, both from
safety and economic point of view, the steel pipeline must be protected against
corrosion.
External protection shall be provided for prevention of pipeline corrosion. This

external protection shall be a combination of corrosion coating and cathodic
protection techniques. Conventional coating of pipelines by 3-layer Polyethylene
(PE)/ FBE coating shall be used as “passive” protection.
Complete corrosion protection cannot be achieved practically by external

coating, as it is impossible to fully avoid minor defects such as pores or cracks
in the coating. Welded pipelines are particularly prone to corrosion at coating
holidays because of their low longitudinal resistance, i.e., they practically do not
resist the flow of current through the pipeline. At these holidays, dangerous
pitting corrosion is initiated. Because of the high corrosion current density, this
phenomenon often causes rapid corrosion failure.
Cathodic protection is a method for protecting the pipe reliably even at

undetected coating holidays. The protective current supplies electrons to the
structure to be protected.
Based on the experience and other relevant data as well as indigenous

availability, PE/ FBE coating shall be provided as external corrosion coating for
the pipeline.
Salient features of the CP system proposed for Grid Line are described as
follows:
i) The steel pipeline system shall be cathodically protected by an

impressed current CP system as a permanent facility.
ii) Necessary measures shall be adopted to mitigate stray current

interference due to the interference along the proposed line and the
existing lines (protected and unprotected that may exist in and around
the ROW).
iii) Temporary Cathodic Protection (TCP) shall be provided during

construction phase of the proposed line by suitable means.
iv) All the cased road/ rail crossings shall be provided with proper insulating
spacers, end seals, drain and vent pipes. The casing pipes shall be
independently protected by sacrificial anodes, wherever necessary.
v) Minor crossings need not be isolated but extra care in their protection
shall be exercised.
iv) For monitoring purposes in normal cases test stations shall be installed
at intervals not exceeding 1 km but in congested area test station shall
be installed at intervals of 250 metre. In addition, test points shall be
provided at all crossings and near insulating joints.
v) Interference effects, wherever suspected or observed shall be duly

investigated and remedial measures provided, wherever necessary.
vi) Insulating joints shall be provided on the proposed line at all necessary
locations where electrical isolation is desirable such as at CNG Stations
and DRS. The grounding cells/ spark gap arresters will also be installed
across insulating joints.
06.04 SCADA System
For the subject project, it is proposed to have SCADA System to ensure

effective and reliable control, management and supervision of the pipeline from
a centralized location using remote terminal units (RTUs) located along the
pipeline at suitable locations.
A SCADA system typically either controls the infrastructure, by way of adjusting

set points and opening/ closing valves, or monitors the system by way of data
acquisition. Where a SCADA system only monitors, the system control
functions shall still need to be performed by field operations staff. The SCADA &
APPS system shall meet the requirements of Open architecture.
For voice and data communication between stations and Master Control Station,
dedicated Optical Fibre Cables (OFC)/ Satellite Link/ Leased Line/ GSM/ CDMA
Network can be used. This will be implemented based on the criticality and the
capacity of the end user. The locations where dedicated OFC network is not
considered with pipeline, to meet the voice and data communication
requirement of these locations Leased Line/ GSM of other service provider /
operators available at city can be used for the limited SCADA (dedicated time
polling not a real time polling).
Master Control station (MS) is proposed at Firozabad and RTU at each CGS will
be provided. All large consumers will be connected with respective RTU of CGS
through GSM. The RTU will be connected to MS with existing GAIL telecom
network / leased line of other service provider / operators available between
each CGS location and Firozabad. This will cater telecom requirements of the
pipelines network.
06.05 CNG Distribution Network
Natural Gas shall be transported from CGS to Compressed Natural Gas (CNG)
Station through main grid pipeline described above.
06.05.01 CNG Stations
The following types of CNG stations are planned in TTZ area for catering to the
demand of automobile sector:
06.05.01.01 Mother Stations
The following units have been envisaged in Mother Station:
A. Main Equipment
i) Gas Driven Mother Compressor of 1200 / 650 SCMH capacity

along with auxiliaries
ii) Dispensers for buses
iii) Dispensers for cars and three-wheelers (autos)
iv) Loading Facility for Mobile Cascades
v) Stationary Cascades of 4500 WL capacity
vi) DG Set, UPS & Battery Bank, AVR, Electrical Control Panel
vii) Instrument Air and Water Facilities
viii) Fire Fighting equipment and safety sign
B. Other Facilities as per requirement of the station
i) Office-cum-Control Room
ii) RCC forecourt, canopy over dispenser island and signages
iii) Stainless steel tube connecting compressor, dispenser &
cascades laid in U/G trenches
iv) U/G drainage and sewerage network
v) Approach/ exit road, boundary wall etc.
The above facilities shall vary as per requirement for the Mothers Stations
located on OMC ROs.
Process flow diagram for CNG Mother Station and typical plan for proposed
CNG Mother Station are shown in Annexure-III - C.
06.05.01.02 Daughter Booster Station
The following units have been envisaged in each Daughter Booster station:
A. Main Equipment
i) Booster Compressor along with auxiliaries

ii) Dispensers for cars and three-wheelers (autos)
iii) Stationary Cascades
iv) DG Set, UPS & Battery Bank, AVR, Electrical Control Panel
v) Instrument Air and Water Facilities
vi) Fire Fighting equipment and safety sign
vii) Unloading facility from mobile cascades
B. Other Facilities
i) Office-cum-Control Room
ii) RCC forecourt, canopy over dispenser island and signages
iii) Stainless steel tube connecting compressor, dispenser &
cascades laid in U/G trenches
iv) U/G drainage and sewerage network
v) Approach/ exit road, boundary wall etc.
06.05.01.03 Equipment Description
A) Mother Compressor (1200 SCMH / 650 SCMH)
Reciprocating type compressors, each of capacity 1200 sm3/hr at suction

pressure 14-19 kg/cm2(g) and discharge pressure 255 kg/cm2(g) shall be
installed at mother stations. The compressor will be gas driven with a
gas load of about 50 sm3/hr for 1200 SCMH compressor and 30 sm3/hr
for 650SCMH compressor. The compressor will start automatically in
case cascade pressure falls less than 210 kg/cm2(g) and will unload at
pressure 255 kg/cm2(g).
Main Specification/ Features
 2-Stage/3-stage reciprocating type compressor with console type

air cooling and safety relief valve at each stage, after cooler at
final discharge along with all services lines, tubing, valves,
instrument and auxiliaries.
 All mother compressors shall have mass flow meters both at
suction and discharge to avoid separate metering skids for the
stations. These will have both the advantages of lesser cost and
saving in space.
 Engine with gas flow meter with electronic volume corrector,
totalizer and associated equipment.
 Control system will ensure unattended safe operation in
automatic mode. The priority fill system will ensure maximum
flow rate by filling of vehicle, storage cascade and mobile
cascade in assigned order.
 Entire compressor equipment shall be mounted on one skid and
packaged in an acoustically insulated housing
 The engine and compressor will be housed in the same package
unit. The housing will be flame & fire proof and provided with
forced ventilation, flame arrestor, infra-red flame detection &
alarm system, automatic shutoff, automatic CO2 flooding and
other fire retardant features.
 The compressor will be provided with the required control system
using PLC; instrumentation and controls; emergency shut down
device and electric supply system.
 The entire compressor system shall be earthed.
B) Booster Compressor
To increase the dispensing speed & reduce waiting time for filling at
daughter station and better utilisation of cascade capacity, one
hydraulic/reciprocating type electric motor driven compressor with 22 kW
load and of capacity 250 sm3/hr at suction pressure of 30 kg/cm2(g) has
been envisaged at daughter station. This booster compressor shall
operate at mobile cascade pressure/suction pressure from 30 to 200

kg/cm2(g) with discharge pressure of about 255 kg/cm2(g).
C) Dispensers
Compressed natural gas from compressor/cascade shall be dispensed

to NGVs (Natural Gas Vehicles) such as cars, three wheelers, buses,
etc, through dispensers. Following two types of dispensers have been
envisaged:
- Bus Dispenser
To meet the requirement of bus filling at mother stations, single

arm bus dispenser, each of capacity 80 Kg/min has been
envisaged. The system shall be designed in such a way that
when compressors are in operation, the bus dispenser will take
about 65 Kg/min gas from cascade and about 15 Kg/min gas
from compressor.
- Car Dispenser
To meet the requirement of car and three wheeler filling at

mother, on-line and daughter stations, double arm type car/ auto
dispensers, each with a capacity of 15 Kg/min have been
envisaged.
 The car dispenser shall have two arms and bus dispenser shall
have one arm for dispensing the gas.
 `Coriolis’ true mass flow metering system or equivalent with
necessary sensor & electronics shall be provided with provision
of liquid crystal backlit display for night viewing which will show
unit price of CNG in Rs./ Kg, quantity of gas sold in Kg & total
sale in Rupees. A tamper proof totaliser shall be provided.
 PLC based sequencing software and controller including
hardware alongwith ball valves associated with pneumatic
actuation for dispensing of gas shall be provided.
 Two CNG flexible electrically conductive twin fill and vent hoses
with two NGV-1 Type-2, Class – A fill nozzle with captive vent
including 3-Way vent shall be provided.
 All dispensers shall be earthed.
E) Stationary Cascades
Cascades are used to store the CNG at high pressure, to absorb the
surge of reciprocating compressor, frequent start and stop of compressor
and to supply additional gas when dispensing rate is more than
compressor capacity. Compressor will start if pressure in cascade falls
below 210 kg/cm2(g) and stop at pressure 255 kg/cm2(g). For a pressure
range of 220 kg/cm2(g) to 255 kg/cm2(g), in cascades of 4500 litre, 3000
litre and 2200 litre capacity, approx. 750 kg, 500 Kg & 350 Kg
respectively, of CNG can be stored. The cascade shall supply gas to bus
as well as car/ auto dispensers.
 Cascade shall be made of group of cylinders fixed with structural

steel frame having facility of lifting and placement.
 The cylinder and their neck threading shall be designed as per
latest editions of IS:7285 & IS:3224, respectively, and approved
by Chief Controller of Explosives (CCOE), Government of India.
 The cylinder shutoff valve shall be with fusible disc confirming to
requirements of latest edition of IS:3224 or CCOE approved.
 All end connections for quick release couplings, PG, valves and
fittings of cascade shall be within tamper proof enclosure. These
shall be on one side of cascade for ease of operation.
F) Mobile cascade
2200 litre water capacity cascade shall be fitted in light commercial

vehicle (LCV). The mobile cascades will be filled at Mother Station upto
255 kg/cm2(g) pressure . Mobile cascade at pressure 255 kg/cm2(g) will
be sent to daughter station for filling of the stationery cascade with the
help of Booster Compressor. Empty mobile cascade at pressure lower
than 30 kg/cm2(g) shall come to Mother Station for refilling.
Approximately 350 Kg of gas can be transported from this cascade. The
entire assembly shall be CCOE approved.
Suitable loading facility at Mother Station and unloading facility at

Daughter Station has been envisaged along with sun/rain protection
shed.
G) DG Set, UPS & Battery Back-up & AVR
DG Set
To meet the requirement of emergency power in case of grid power

failure, one DG set of capacity 15 KVA has been envisaged at MS. The
DG set shall start automatically in case of grid power failure. Emergency
loads shall be connected to DG set.
UPS & Battery Back-up – a one-hour UPS and battery back-up system
shall be provided at each station.
AVR – A suitable automatic voltage stabilizer based on local supply has

been envisaged.
Electrical System (Refer 06.07.06) – The electrical system shall

comprise of conduit work including junction boxes, wiring for lighting and
power; fittings & accessories; cables, mains and sub-mains; LT panel,
main & sub-distribution panels, capacitor panels; cable trays, GI
conduits; earthing system; area lighting, canopy lighting, signage lighting
& control room illumination etc.
H) SS Tubing
Shall run in underground concrete/ masonry trenches for conveying of

compressed gas from compressor to priority panel to dispenser and
priority panel to stationary cascade to dispenser.
I) Water Supply & Underground Services
To meet the water requirement at mother stations, water supply network

consisting of bore well, vertical pumps, submersible pumps and
interconnecting piping has been envisaged.
Two nos. underground RCC water tanks shall be constructed. These

tanks shall receive water from municipality and bore well. Water from
these tanks shall be pumped to overhead tanks placed at building roof.
Two nos. vertical pumps of capacity 2000 to 2500 l/hr, head 19 to 26 M,

0.5 HP shall be installed in these RCC tanks.
One bore well of suitable depth and size will be constructed. One
submersible pump of capacity 3,000-5,000 l/hr, head 50-60 meter,
approx. 2 H.P. shall be installed in the bore well.
Underground drainage, sewerage network comprising of drain pits,

drainage pipe, septic tank and soak pit shall be installed apart from
municipal connections.
J) Control Room-cum-Office & Other Facilities
This shall be an RCC framed structure of suitable size to house office,

control room, electrical room, cash box and toilet. The front side shall
have glazed partition for viewing dispensing operation. The floor will
have ceramic tiled finish and synthetic emulsion paint on walls and
ceiling have been considered.
 The station shall be enclosed with 2.1m high boundary wall on

three sides.
 The forecourt shall be made of high riding quality RCC pavement
with wearing resistant surface.
 The SS tube trenches and drainage shall be covered with heavy
duty precast SFRC covers of suitable design and manufacture.
 GI conduits shall be laid for cabling work.
 Properly designed dispenser island with safety guards shall be
provided.
 Structural steel canopy shall be provided over the dispensing
area for providing sun and rain protection. The canopy shall
have provision of roof drainage, illumination and signages.
 The station shall be provided with approach roads, entry and exit
ways, parking bay, operation area fence, safety barbs, road
signs, station drainage system etc.
 The station shall be provided with corporate traffic and safety
signages using state of art techniques and landscaping.
 The station shall be provided with safety & fire fighting
equipment, earthing pits and safety instructions.
06.06 MDPE Distribution System
The downstream gas distribution network shall receive gas from DRS at a
pressure of 7 bar for onward distribution to domestic, commercial & Industrial
consumers. The distribution system shall comprise of –
 District Regulatory Station (DRS)

 MDPE pipe network
 GI / Cu pipe network
 Office-cum-Control Room for operation & maintenance.
A typical Natural Gas Distribution System is given in Annexure-III-D.
06.06.01 District Regulatory Stations (DRS)
In a DRS the pressure reduction and metering equipment is fitted in a single

self-contained skid-mounted cabinet. This regulator will bring down the pressure
from 14 – 19 kg/cm2(g) (max) to 7 kg/cm2(g). The capacities of DRSs proposed
are 5000 SCMH and 1000 SCMH @ 7 kg/cm2(g).
The DRS shall work as pressure reducing and gas metering facility. The DRS
shall comprise of pressure reduction, metering system, condensate removing
facility and cold venting facility. Filter Separator shall be provided at the inlet of
each run of the pressure reduction metering assembly. Filtration efficiency shall
be 99.9% for the removal of all particles from 3 micron size onwards. The flow
measurement meter shall be of Turbine type. The error limits shall be ± 2% in
the range between Qmin and 0.2Qmax and ± 1% in the range between 0.2Qmax
and Qmax. The regulating assembly shall be a dual run assembly with each run
designed for the full flow capacity required for the station and manual isolating
valves provided to facilitate servicing of each run without shutdown of the
station.
A typical schematic arrangement of the DRS / Pressure Regulating Installation

is shown in Annexure-III-F.
06.06.02 MDPE pipe network
For commercial and domestic consumers it is proposed that low pressure (7

kg/cm2(g)) underground network be provided for safety reasons, as it is safe for
inhabited areas, easy to lay and economical. Further Industries having less gas
requirement can also be supplied through MDPE network provided it is

conveniently located.
It is recommended that the distribution system be constructed from MDPE at 7

bar pressure. The polyethylene fused joints are as strong as the parent pipe,
ensuring the integrity of the pipe system. The polyethylene compound used in
the manufacture of pipes shall be free from cadmium & visible water and shall
conform to the weathering requirements for thermal stability and hydrostatic
strength. The pipeline shall have 180 mm, 125 mm, 63 mm, 32 mm and 20 mm
diameter pipes to form the complete distribution reticulation system. The
system is divided in two broad categories, namely:
 Distribution Mains
 Distribution Service
A) Distribution Mains
Distribution Mains shall primarily be responsible for carrying the gas to

the colonies for further distribution by Distribution Services.
To standardise the distribution system, it is proposed to install only four

sizes of pipes – 32mm, 63mm, 125mm and 180mm (OD). MDPE pipes
shall be fused by electrofusion coupling. The distribution pipe is
proposed to be of SDR11, PE100 Grade (SDR is defined as the normal
outside diameter (DN) divided by the minimum wall thickness.)
All MDPE pipes shall have minimum cover of one meter and shall be
back filled with sand around it to protect the plastic material. Emphasis
shall be placed on utilizing modern construction techniques to install the
distribution system. This shall include, wherever possible, avoiding
disruption/ damage to road and footpaths, by boring and drilling. Large
crossings, such as canals, major roads, etc., shall be carried out using
Horizontal Directional Drilling (HDD).
It is proposed to have valves on the distribution and transmission

networks at strategic locations to ensure security of supply (a minimum
of one valve for every kilometre of MDPE distribution mains).
It is proposed to install plastic protection strips (warning tapes) 300mm

above the MDPE pipe, to warn any agencies digging the area well ahead
of reaching depth of MDPE pipe.
To ensure system integrity and safety, prior to commissioning, the MDPE

pipes shall be pneumatically tested.
B) Distribution Services
Distribution Service lines are laid underground to connect customers

from the Distribution Mains upto the customer premises, then laid vertical
to rise above the ground level just below the proposed regulator point.
The few centimetre of the MDPE pipeline that rises above ground shall
be protected by GI pipe sleeve. Since most services must cross roads/
footpaths to reach the customers, they are usually installed by boring to
reduce restoration costs. Open excavation is required only at the
connection to the main as well as at the service. Warning tapes shall be
installed all along the route where open cut is used for pipe laying.
A typical service diagram for 20mm  MDPE service pipeline is shown

below:
C) Meter/ Regulator Assemblies
a) Domestic Consumer Services

The MDPE pipe shall be connected to GI network inside the
consumer premises through a transition joint. A pressure
regulator shall reduce pressure from 7 bar to 21 millibar. This GI
pipe shall be laid upto the meter from where Cu pipe would be
laid to reach the hose of the burners through the shortest
possible route with minimum bends.
A typical domestic consumer service pipe/ meter/ regulator

arrangement is shown below:
In apartment-type premises, a number of households can be

supplied with gas from a single service line. A single regulator
shall supply gas to a block of three households with individual
metering for each. Each service line shall include a main
isolation valve and a regulator, reducing the pressure to 21 mbar.
Schematic diagram for GI / Cu system (domestic) in Annexure-VI.
b) Commercial Meter/ Regulator Assemblies
The service pipeline to commercial consumers shall depend on

the load required. For large commercial user, pipe sizes shall be
considerably larger than domestic & small commercial premises
and a higher gas supply pressure shall be required.
Commercial Meters shall be of two different categories catering

to small and large consumers with output pressure in the range of
300 / 500 mbar to 2 bar.
Some typical small commercial meter/ regulator service

arrangements are shown below:
300/500 mbar min. outlet pressure
Refer Schematic diagram of terminal at large commercial consumer end in

Annexure-III-G.
06.07 Instrumentation and Control
Control Philosophy
Instrumentation and control system has been envisaged for smooth, efficient
and trouble free transportation of natural gas from CGSs to the distribution
networks. This will be achieved through measurement of inlet/outlet gas
pressure and temperature, metering and control of gas flow through pipeline at
CGS.
All the instruments shall be microprocessor based electronic type with 4-20mA
DC isolated output. Final control element shall be gas-actuated type. Instrument
power supply shall be based on 230V, 50Hz AC through UPS. For instruments
in the CGS, apart from local gauges all indications, control, recording and valve
status indications shall be provided in a control panel in the local control room at
the CGS. Gas flow metering and control shall be skid based. For SV stations,
the line pressure and temperature indications shall be local only.
06.08 Electrical
The electrical load shall comprise of mainly lighting load, instrumentation power
requirements, at all locations and air conditioning, UPS, Electric Compressors,
Submersible Pump and Dispensers at CGS, mother & daughter stations.
The design and selection of electrical equipment for power distribution, drive
motors, their controls and illumination system for buildings and other process
areas has been envisaged to ensure high reliability & safety in operation.
Equipment available indigenously and incorporating required features with
proven reference in similar fields of application shall be used.
06.09 Disaster Management Plan
Though all precautions shall be planned for safe operation of the unit,
possibilities of accidental situations arising cannot be ruled out. In view of this, it
is imperative to prepare a Disaster Management Plan to serve as a guideline at
the time of emergency to help all concerned to handle the same as quickly as
possible in order to prevent or reduce suffering of consumers as well as damage
to property & equipment of the Company. This shall also help in imparting
knowledge of potential hazards and facilities available for controlling the same in
a well co-ordinated manner to all the employees and also train them before
hand.
06.09.01 Objective of Plan
The main objectives of the plan are to take immediate actions to meet any
emergency situation by making maximum use of combined resources for the
most effective, speedy and efficient rescue and relief operations. These are
briefly enumerated below:
i) Cordon and isolate the affected area for smooth rescue operations.
ii) Ensure restoration of gas supply/ services at the earliest possible time.
iii) Rescue and treat causalities and safeguard the rest.
iv) Minimise damage to person, property and surroundings.
v) Contain and ultimately bring the situation under control.
vi) Secure and safe rehabilitation of the affected area.
vii) Provide necessary information to statutory agencies.
viii) Provide authoritative information to the news media.
ix) Ward off anti-social elements and prying onlookers.
x) Counter rumour mongering and panic by providing relevant accurate
information.
xi) Protect the Company from adverse publicity.
06.09.02 Emergency Plan
For effective and easy communication, it is recommended that the Company

establish a “One Call” telephone number at the commencement of operations.
This “Toll Free” number should be easy to remember and widely advertised as
the “Dial before dig” “point of contact” with the Company when reporting a
suspected gas leak, gas escape, service difficulty, or when making a safety
inquiry. All construction companies and public authorities should use this facility
when making inquiries about the location of gas mains and buried apparatus
which may be present near any proposed construction site.
The telephone call to the Company, supplemented by on site assistance to
locate mains will allow general construction activity to proceed safely and avoid
the risk of accidental damage to gas assets. In addition, this telephone number
can be used by consumers for reporting accidents or during emergency.
06.09.03 Emergency Alert Levels
The Disaster Management Plan shall consist of Emergency response plans.

The Emergency Response Plan consists of three levels of incremental response
to incidents depending on the seriousness of the incident, its possible impact

and the level of resources and expertise necessary to overcome the event.
Alarm Level 1
The incident can be capably dealt with by local site resources without further
support. The incident has not resulted in personal injury and agencies outside
the company are not involved. No adverse publicity will be attracted by the
company.
This level of Alarm will be managed by the relevant Assistant Manager as within
normal operational duties.
Alarm Level 2
The incident may have environmental consequences, result in some local loss
of supply until repaired, may have some business continuity impact and may
attract some adverse publicity for the company.
This Level requires the appointment of a Site Controller. The Manager is

responsible to declare a Level 2 Alarm and to either declare himself Emergency
Manager or nominate another.
Alarm Level 3
The incident has already caused injury, or there is a substantial risk of personal
injury or death occurring. There is a high potential for adverse publicity for the
company or significant environmental impact may occur. A significant loss of
supply may result with a serious impact on business continuity, telephone or
cable loss may impact on information transfer or other utilities or electrical
supply may be at risk.
An incident of this severity requires the Manager to declare a Level 3 Alert. The
concerned General Manager must be advised and the Management Response
and Site Emergency Response Teams mobilised.
06.09.04 General Emergency declared by State Emergency Services (SES)
The development of a Disaster Plan by State Authorities in preparation for

serious incidents (eg. crash of an airliner in the city, earthquake), will require the
company to co-operate with all other bodies brought together by SES to achieve
the best collective outcome.
If such a Plan is already in place, the company shall take steps to have the
effects of a reticulated gas system on the planned response actions
incorporated so that the best possible response can be undertaken.
The company will co-operate with State Authorities to prepare, or contribute to,
a State Disaster Response Plan that will provide the maximum possible degree
of human safety and protect public and Company assets in view of the possible
threats.
06. 10 Bill of Materials (BOM)
A broad bill of materials for all piping, mechanical, instrumentation & electrical
items described earlier in this chapter is listed as Annexure - II
CHAPTER – 7
IMPLEMENTATION SCHEDULE
07.00 IMPLEMENTATION SCHEDULE
07.01 General
The overall project comprising the CNG & PNG facilities including laying of main
grid and MDPE Network in Taj Trapezium Zone area is envisaged to be
implemented over a period of 25 years in a phased manner taking into account
year-wise planning of infrastructure development in line with growth in demand
for PNG and CNG in various segments. Following are the salient points of the
Implementation Schedule:
 The development of MDPE network has been taken as an activity to

continue during entire period of 25 years. Further, in order to achieve the
target of providing maximum possible number of domestic connections
right from 1st year, the simultaneous working for development of MDPE
Network and Main Grid line has been envisaged.
 Adequate infrastructure for catering to CNG requirement is planned

considering peak load demand and installation of sufficient number of
compressors, dispensers, cascades etc. to ensure no interruption in
CNG dispensing.
 The Steel grid line of 10”/8”/ 6”/4” to connect CNG station along with
required number of DRSs, has been planned to be completed mostly in
first year itself.
 Most of the industrial units in and around Firozabad area shall be fed
from steel pipeline however in some of the cases the same shall be done
with DRSs, thereafter with MDPE pipeline to individual industrial units.
Even the comparatively larger industrial units may also be connected
through MDPE. Consumers in the major industrial areas located in
Firozabad, Hathras, Bharatpur etc. shall be taken up for connection.
 The implementation plan envisages achieving following targets in

first five years that is the period of exclusivity as per PNGRB
guidelines:
 The 10”/8”/ 6” dia Steel Pipe Line of length 142.8 Km (1065 Inch-
KM).
 Approx. 63600 nos. of Domestic connections through MDPE Network
H:\rajesh\Market Survey\TTZ\Final\Chapter - 07 -Implementation.doc 07-1/7 © 2009 MECON Limited. All Rights Reserved
 Infrastructure to provide 0.0023 MMSCMD of PNG to different

commercial consumers located in charge areas of TTZ through
MDPE Network.
 Infrastructure to compress and dispense 0.05 MMSCMD of CNG.
 Infrastructure to provide 0.87 MMSCMD of PNG to different industrial

units located at Firozabad, Hathras, Bharatpur etc.
 Following are the targets to be achieved in first ten years:
 Approx. 88000 nos. of Domestic connections through MDPE

Network. Thus by the end of 10th year the MDPE/GI pipe network
shall be developed to cater about 75% of total projected domestic
demand for the 25th year.
 MDPE Network to provide 0.0027 MMSCMD of PNG to different

commercial consumers located in TTZ. This will constitute about 64%
of total projected commercial demand for the 25th year.
 CNG related Infrastructure to compress and dispense 0.187

MMSCMD of CNG. By 10th year, about 57% of total projected CNG
demand for the 25th year.
 Network (MDPE) to provide 1.27 MMSCMD of PNG to different

industrial units located at Firozabad, Hathras, Bharatpur etc which is
about 63% of the total proposed infrastructure for 25 years.
The period beyond 10 years is too long for judging accurate scenario of natural
gas demand, as this period may witness presence of different modes of Public
transport and other technological developments. The period may also have
presence of other players with access to the developed infrastructure and as
competitors sharing the present natural gas market. Thus the period beyond 10
years involves a considerable degree of uncertainty and as such the
implementation schedule under this Period may need updating in future.
Indicative implementation schedules as proposed for different activities have

been given in Figure 07.01 for the 25 years. Activities for all the above areas
shall commence from zero date after appointment of project consultant.
Following are the set of activities involved in development of City Grid line, CNG
Stations and City Gas Distribution:
a). Construction of City Gate Station & City Grid line:
i) Route survey of Pipeline

ii) ROU acquisition for the gridline
iii) Design of facilities at City Gate Station proposed at Tap-off point
location
iv) Basic & detailed engineering
v) Procurement of free issue items for gridline
vi) Award of works contract for Grid line
vii) Construction of Grid line
viii) Commissioning of grid line
b). Construction of CNG stations:
i) Survey the plots / existing OMC ROs

ii) Basic & detailed engineering
iii) Procurement of compressors & other free issue items
iv) Statutory approvals & land acquisition
v) Award of works contract for CNG Stations
vi) Construction of boundary wall, building, canopy
vii) Dispenser erection
viii) Compressor erection
ix) Unloading platform erection
x) Cascade erection
xi) Electrical works
xii) Commissioning
c) City Gas Distribution:
As mentioned in earlier chapters, the City gas Distribution work in

different phases shall primarily comprise installation of required numbers
of DRSs and development of MDPE Network. The construction of city
gas distribution network shall include following activities:
i) Survey & land acquisition

ii) Basic & detailed engineering
iii) Award of work contract
iv) Procurement of free issue items

v) DRS erection
vi) Laying of PE pipeline
vii) Laying of GI/Copper pipe
viii) Testing & commissioning
The procurement of free issue items in different years shall tentatively be

taken up in different years namely 1st year to 3rd year, 6th year to 9th year,
11th to 14th year,16th,17th,20th to 23rd year to augment the infrastructure in
line with increase in demand. The steel grid line development shall be
completed in first year itself.
07.02 Assumptions
a) It is assumed that all the required statutory approvals shall be obtained

as per schedule
b) It is assumed that the ROU for laying City grid pipeline route and land
acquisition for CNG station, DRS & SV Stations etc. shall be taken as
per given schedule.
c) Finalization of engineering consultant shall be considered as the ‘ZERO’

date.
d) All statutory approvals shall be taken in time as per schedule.
e) Agreement for installation of CNG Daughter Booster Stations at retail

outlets of the oil companies will be executed in time.
07.03 Recommendations
The proposed project shall be implemented under the overall responsibility of

the owner who shall obtain necessary technical services from an engineering
consultant in the areas of basic design, detailed engineering, procurement of
major equipment and materials, selection of suitable vendors and contractors,
construction supervision, commissioning assistance and project management.
The city grid line construction along with erection of free issue items, erection of
CNG stations and City Gas Distribution system shall be given to competent
contractors, preferably an EPC agency, who shall complete the works as per
project schedule. All major/ critical equipment and materials will be procured by
the owners directly, as this shall ensure the quality of equipment / material as
well as their availability in time
CHAPTER – 8
ORGANISATION STRUCTURE & MANPOWER

PLANNING
8.00 ORGANISATION STRUCTURE & MANPOWER PLANNING
8.01 Introduction
The organization structure detailed in the following paragraphs defines the

overall responsibilities for successful implementation of the project, which entails
execution of Pipeline Grid along with PNG and CNG facilities at various
locations like Firozabad, Bharatpur, Hathras, Vrindavan etc. within the
Geographical Area of Taj Trapezium Zone and smooth functions of the complete
set of facilities.
8.02 Organization and Functions
The organization’s primary objective shall be safe, profitable and reliable supply
of natural gas to consumers of different segments.
A suitable organisation structure, both for project implementation and operation

& maintenance, has been worked out and shown in Figures 8.01 & 8.02
respectively, detailing the number of personnel required and their respective
organisational functions.
Initially, the organization shall need to focus on construction and installation of

the Steel grid pipeline, CNG dispensing facilities and provide PNG distribution
system for domestic, commercial and industrial units in the city. Therefore,
planning, laying of steel grid and MDPE network, erection of Metering Skids,
DRS and compressors along with other associated construction/erection work
shall be the main activities. As the providing PNG connections to households,
commercial and industries shall continue during entire period of 25 years, the
proposed organisational structure shall more or less be same during entire
period with addition of manpower as per requirement. Further, there shall be a
need for operation & maintenance of pipelines, meters, regulator sets, CNG
stations and associated facilities. Additional resources shall also be required in
the areas of meter reading, billing and general customer services.
The proposed structure also caters for the work change requirements
anticipated as the organization grows.
H:\rajesh\Market Survey\TTZ\Final\Chapter - 08 - Manpower.doc 08-1/5 © 2010 MECON Limited. All Rights Reserved
8.03 Manpower Requirement
8.03.01 For Project Implementation
Keeping in view the vast area covered by TTZ Geographical Area, the project
work has to be taken up in various locations simultaneously. This will require at
least three dedicated teams for Grid line as well as for CNG & City Gas. The
organisational set-up for project implementation for the Project shall be headed
by a Dy. General Manager (Projects) who shall be assisted by six Managers
dedicated for Grid line and CNG & City Gas. They inturn shall be assisted by
adequate number of Assistant Managers and staff members having the required
skills to look after the distinct functions assigned to them (Refer Figure 8.01),
namely,
 Grid pipeline and associated facilities

 Contracts & Procurement
 CNG & City Gas Distribution
 Administration & Finance
 Safety
 Stores
The total project shall be taken up as comprising following two distinct areas:
 Grid Pipeline and PNG networks
 CNG and associated facilities
Hence, there shall be dedicated project implementation teams for these two
areas which shall report to Dy. General Manager (Projects).
The project implementation group will function under an organisational set-up

located at Firozabad. Services of an Engineering & Project Management
Consultant and a Third Party Inspection Agency are also envisaged during
project implementation period. There shall also be manpower for common areas
like contracts & procurement, finance and administration etc.
8.03.02 For Operation and Maintenance
The Organisational Set-up for Operation and Maintenance is planned as

detailed in Figure 8.02.
The requirement of manpower has been worked out keeping in view the
proposed locations of CNG dispensing facilities (Mother Stations, On-line
Stations) and Grid Pipeline at various cities inside TTZ. It is proposed that a
unified O & M mechanism headed by a Dy. General Manager and supported by
Managers, Assistant Managers for Operation and Maintenance, Safety, Stores
and Logistics, Administration & Finance. Further, adequate number of
supervisors, Assistants and Attendants would look after Operations &
Maintenance of following distinct areas, namely:
 Grid Pipeline and PNG networks

 CNG and associated facilities
The officers upto managerial level shall be from GAIL Gas Ltd. and manpower
requirement from Supervisors and below ranks may be taken on contract basis.
 The officers working for project implementation shall subsequently be

engaged in overall operations of CNG and PNG distribution facilities.
It is further proposed that the services be out-sourced where ever possible, i.e.
services be contracted as required rather than employed as permanent staff,
particularly in the field of O&M, meter reading and account remittance, etc.
However, there shall be a requirement for a small permanent core group with
expertise to carry out work, supervise and ensure quality control on work
performed by contractors.
Such an arrangement shall provide flexibility to the organisation to contract

appropriately skilled personnel, as the skill requirement changes as the
organization expands and customer base grows.
The number of contract crews for CNG installation, mainline laying, services
laying and customer connections & conversions shall be proportional to the rate
of new connections.
8.04 Training
Appropriate training, both classroom and on-the-job, shall be required to ensure

that construction technicians, installers and appliance converters are competent
and able to perform the required work safely.
Instructors experienced in specific areas of the gas industry shall be used to

train personnel.
The resources required shall depend on the rate of natural gas connections and
the consequent number of gas conversion staff.
FIGURE - 08.01
ORGANISATION SET-UP FOR PROJECT IMPLEMENTATION
Dy. General Manager
Manager Asst. Manager Assistant Manager Manager

CNG-3 (C & P)-1 (F & A)-1 (Steel Grid & City Gas
and Safety)-3
Assistant-1 Assistant
Assistant-1 (Safety)-3
Assistant-3
Supervisor-3 Supervisor
(Stores, Inventory & (Steel Grid)-3
Logistics)
Note:
Attendant-3 Attendant-3
During Project Implementation, services of the following is
envisaged
1) Engineering & Project Management Consultant
• Third Party Inspection Agency
• Outsourcing of services for CNG Stations, PNG
Services & Stores
FIGURE - 08.02
ORGANISATION SET-UP FOR OPERATION & MAINTENANCE
Dy. General Manager
Manager Asstt. Mgr. Manager

Manager Asstt. Mgr.
(Contracts & Procurement ) - (Finance)-2 (Steel Grd. & PNG
(CNG)-6 nos. (Admin)-2
2 and Safety)-4
Assistant
Assistant (Finance)-2
Asstt. (Admin)-1
(C&P)-2
Supervisor
(Stores,
Supervisor Supervisor
Inventory &
(Operation)-3 (Maintenance)-3
Supervisor Supervisor Logistics)-2
(DRS & PNG)-4 (Steel Grid)-3
Assistant Attendant-2
Assistant
(Operations)-3
(Maintenance)-3
Assistant Assistant
Note:
(Projects)-4 (Projects)-3
During Project Implementation, services of the following is
envisaged
1) Engineering & Project Management Consultant
• Third Party Inspection Agency
• Outsourcing of services for CNG Stations, PNG
Services & Stores
CHAPTER – 9
CAPITAL COST ESTIMATE

09.00 CAPITAL COST ESTIMATE
09.01 General
Capital cost based on the facilities envisaged for steel gridline, online stations
and city gas distribution network including charges for domestic, commercial
and industrial connections are estimated as Rs.465.34 crores. The total cost of
project is summarised in Table -09.01.
09.02 Major Facilities
Major facilities included in the capital cost estimates are given below:
Sl. Description Details

No.
I) Grid Line in metres
10” x 6.4 mm Steel Pipeline 47700 m
8 x 6.4mm Steel Pipeline 49000 m
6” x 6.4mm Steel Pipeline 800m
4”x 6.4mm Steel Pipeline 45300m
II) CNG Compressors in Nos.
Mother Compressors 1200 SCMH – Gas driven 21
Mother Compressors 650 SCMH – Gas driven 3
Daughter Booster Stn. –250 SCMH Electric Driven 26
Cascades-4500, 3000 & 2200 WL 89
Car/Auto dispensers 72
Bus dispensers 23
III) City Gas Distribution
MDPE Pipe in Kilometres
180 mm dia. 71.9
125 mm dia. 143.9
63 mm dia. 323.7
32 mm dia. 719.3
20 mm dia. 599.4
Costs toward technological equipment, associated electrics, spares, erection,

civil engineering works, land and ROU are included in the estimate. The
estimates are based on the prices for different cost elements prevailing during
2nd quarter of 2010 and do not include any provision for future escalation.
H:\rajesh\Market Survey\TTZ\Final\Chapter - 09-Capital Cost.doc 09-1/8 © 2010 MECON Limited. All Rights Reserved
The break up of capital costs under major heads such as equipment, spares,
civil engineering works, erection, duties & taxes, transportation and engineering,
supervision, project management etc., for CGS, City Gas Distribution and CNG
Stations are furnished in Table - 09.02 to 09.04.
09.03 Assumptions
Following assumptions have been made for working out the capital costs.
09.03.01 Land and ROW/ ROU Compensation
The cost of land for citing SV stations has been considered at a rate of Rs.
10000 per sqm. The cost towards Right of Way (ROW) has been considered as
Rs. 3 lakhs per km for required width for the entire length of steel pipeline.
09.03.02 Equipment
The costs of equipment, in some areas, are based on LOA/ budgetary offers.
However, generally, in house information for equipment installed in other
projects has been used. The cost of equipment under this head is on ex-works
basis.
09.03.03 Spares
Provision for spares required for 2 years normal operation has been made
equivalent to 5% of equipment cost excluding steel grid pipeline.
09.03.04 Civil engineering works
Cost estimates for civil engineering works have been worked out based on
preliminary layout and design of grid line and route survey and rates generally
prevailing for similar work in the area.
09.03.05 Erection
Provision towards erection of equipment has been made on the basis of erection
rates as prevailing in the region.
09.03.06 Freight, insurance, duties and taxes
For equipment provision for excise duty @10.3%, Central sales tax @10%,
inland freight & transit insurance @2% has been made. Service tax @10.3%
has also been considered on cost of Engineering, Supervision etc.
09.03.07 Engineering, Supervision and Project Management
A provision has been made towards engineering, supervision and project

management services etc., at the rate of 5% for grid line, city gas distribution
and CNG Stations. This includes detailed engineering including preparation of
drawings, technical specifications, preparation of tender documents and
assistance for award of contracts, designer’s supervision, project management
services and temporary power and water facilities, etc.
09.03.08 Owner’s Management Expenses
Provision towards owner’s management expenses have been kept at the rate of
3%. This includes preliminary and pre-operative expenses.
09.03.09 Contingencies
A provision of 5% of the project cost has been made towards contingencies to

take care of the unforeseen aspects of the estimate.
09.03.10 Time Schedule
The Time Schedule for construction of various facilities for the proposed project
would be as per implementation schedule given in earlier chapter.
09.03.11 Financing
It has been assumed that the project cost would be financed in the debt: equity
ratio of 60:40. Interest rate on long term loan has been considered 10.5% per
annum.
09.03.12 Connection Charges
Provision for connection charges has been made in the Capex @ Rs 8000 per
connection for total 117200 domestic connections. In case of commercial and
industrial connections it has been assumed that full expenses towards
connection shall be realised from the consumers. Therefore, no provision for
these charges has been kept in the estimates. Interest free deposit of Rs. 5000
per connection for domestic connections has been considered as refundable
advance. This amount has to be refunded at the end of project life as shown in
the Cash Flow Statement.
09.04 Phasing of Expenditure
Phasing of capital expenditure before interest during construction for the project
as Rs.43756.3 Lakhs has been worked out on the basis of implementation
schedule. The same is shown year-wise and given below.
Cost in 15007.8 3858.1 3628.2 3838.1 3045.5

Lakh Rs
Cost in 269.9 635.6 1439.8 575.6 2151.7

Lakh Rs
Cost in 449.8 575.6 567.6 695.5 419.8

Lakh Rs
Cost in 725.5 509.8 935.4 809.6 1122.7

Lakh Rs
Cost in 913.4 643.9 359.8 389.8 187.9

Lakh Rs
CHAPTER – 10
OPERATING COST
10.00 OPERATING COST
10.01 General
The annual operating costs for the project at 100% capacity is given below
Annual Operating Cost

(Rs. in Lakhs)
Sl. Item CGS & Online City gas Total
No. Grid Line Station Distribution
A. Variable Cost
1. Electric Power 0.00 217.25 0.00 217.25
2. Diesel 0.00 47.51 0.00 47.51
3. Gas for compressors 0.00 815.56 0.00 815.56
4. Consumables 99.35 0.00 0.00 99.35
Sub-Total (A) 99.35 1080.32 0.00 1179.67
B. Fixed Cost
1 Manpower 96.79 152.10 110.62 359.51
2 Overheads 16.00 128.00 128.10 272.00
3 Repair & 125.95 631.28 185.35 942.58
Maintenance
4 Insurance 15.11 15.15 22.24 52.50
5. Wet lease for LCV’ s 0.00 234.00 0.00 234.00
6. AMC for 0.00 366.00 0.00 366.00
compressors
Sub-Total (B) 253.85 1526.53 446.21 2226.59
Total (A+B) 353.19 2606.85 446.21 3406.26
The various parameters considered for computing the operating costs are
described in the following paragraphs.
Year wise operating cost have been furnished in table no. 10.01
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10.02 Cost of Energy
Electric energy has been considered for CNG Stations and for operation of
Electric Motor driven CNG Compressors. The energy cost @ Rs.5/KWH has
been considered. In case of Gas Engine driven CNG Compressors, the gas cost
has been taken @ Rs.12.25 per SCM. Further, Diesel for Gen. Sets has been
considered @ Rs 32.54/litre.
10.03 Water
Since the water requirement of the project would be negligible, no separate cost
towards same has been considered in the operating cost estimate.
10.04 Manpower
Based on salary structure and number of personnel required, direct cost on

account of manpower has been taken as Rs. 6.91 lakh per person on average
basis. It has been assumed that out of total man power of 52 personnel around
17 would be permanent with average annual salary of Rs 16 lacs and rest will
be contract employees. Indirect cost towards overheads has been considered
equivalent to 100% of permanent employee’s salaries. Following salary & wage
structure (including fringe benefits) has been considered for different category of
personnel. In addition, wages for contract labour has also been taken as shown
in the operating cost estimate.
Sl. Category Number Annual Salary

No. (Rs./ man
year)
1. Dy. General Manager 11 1600000
2. Manager 12 1600000
3. Asst Manager 4 1600000
4. Supervisors 15 250,000
5. Assistant 18 250,000
6. Attendants 2 250,000
Total 52
10.05 Repair & Maintenance
Provision for repair and maintenance has been kept at the rate of 1% of the
capital cost for Steel Grid Line and City Gas Distribution and 5% for CNG
stations. Since the useful life for compressors and dispensers has been
considered as 15 years, AMC has also been taken in addition to 5% of capital
cost taken for repair & maintenance for compressors and dispensers.
10.06 Insurance
Insurance cost at the rate of 0.12% of the capital cost has been considered in
the operating cost estimates
YEAR WISE OPERATING COSTS

Table-10.01
Item Unit Yr 1 Yr 2 Yr 3 Yr 4 Yr 5 Yr 6 Yr 7 Yr 8 Yr 9 Yr 10 Yr 11 Yr 12
Power Lakh Rs 87.6 87.6 87.6 87.6 162.1 162.1 162.1 170.8 170.8 212.9 212.9 212.9
Gas Lakh Rs 143.1 143.1 143.1 143.1 250.4 250.4 286.2 357.7 393.5 472.2 472.2 507.9
Fuel Requirement Diesel Lakh Rs 23.8 23.8 23.8 23.8 29.7 29.7 29.7 41.6 41.6 41.6 41.6 41.6
Consumables Lakh Rs 8.6 21.9 32.0 38.5 49.3 51.6 54.0 57.7 61.8 63.6 65.8 67.8
Manpower Lakh Rs 100.8 201.5 201.5 243.5 280.5 280.5 280.5 280.5 301.5 306.5 306.5 306.5
Manpower Overheads Lakh Rs 72 144 144 176 208 208 208 208 224 224 224 224
Repair & Maintenance & Lakh Rs 165.4 374.0 414.7 457.7 599.4 602.4 620.5 678.7 696.1 781.6 786.7 804.1
Insurance
AMC for compressors and wet Lakh Rs 84 168 168 168 324 324 336 360 372 480 480 492
lease for LCVs
Total Lakh Rs 685.2 1163.8 1214.6 1338.1 1903.3 1908.6 1977.0 2155.0 2261.3 2582.4 2589.5 2656.8
Item Unit Yr 13 Yr 14 Yr 15 Yr 16 Yr 17 Yr 18 Yr 19 Yr 20 Yr 21 Yr 22 Yr 23 Yr 24
Power Lakh Rs 212.9 212.9 212.9 212.9 212.9 212.9 212.9 212.9 217.2 217.2 217.2 217.2
Gas Lakh Rs 529.4 565.2 565.2 600.9 600.9 636.7 636.7 744.0 779.8 815.6 815.6 815.6
Fuel Requirement Diesel Lakh Rs 41.6 41.6 41.6 41.6 41.6 41.6 41.6 41.6 47.5 47.5 47.5 47.5
Consumables Lakh Rs 69.9 72.1 74.3 76.7 79.2 81.8 84.5 87.2 90.1 93.1 96.0 99.3
Manpower Lakh Rs 306.5 322.5 322.5 322.5 341.0 341.0 341.0 341.0 359.5 359.5 359.5 359.5
Manpower Overheads Lakh Rs 224 240 240 240 256 256 256 256 272 272 272 272
Repair & Maintenance & Lakh Rs 816.4 835.2 839.9 859.1 864.8 886.3 895.4 936.1 968.4 984.6 988.6 995.1
Insurance
AMC for compressors and Lakh Rs 504 516 516 528 528 540 540 576 588 600 600 600
wet lease for LCVs
Total Lakh Rs 2704.6 2805.4 2812.4 2881.7 2924.3 2996.2 3008.0 3194.7 3322.5 3389.5 3396.5 3406.3
CHAPTER – 11
FINANCIAL ANALYSIS
11.00 FINANCIAL ANALYSIS
11.01 General
The financial analysis of the project has been carried out based on the capital
cost and operating cost as elaborated in Chpaters-09 & 10 respectively and the
purchase price of the gas delivered at the tap-off and finally to consumers of the
gas for the project. Compression charges and Transportation Tariff with post tax
IRR of 10% has been calculated and given in Tables 11.01 and 11.02. Profit &
Loss Statement, Cash flow Statement and Balance Sheet have been projected
for the project life of 25 years and given in Table-11.03 to Table-11.05. Payback
period, Debt-service coverage ratio and Break-even capacity have been
calculated and given in Tables 11.06 to 11.08.
Salient financial indices for the project are given below.
Sl. Description Unit Amount

No.
1. Compression Charges Rs/ Kg 4.07
2. Transportation Tariff Rs/ MMBTU 27.14
3. Post-tax IRR on Capital employed % 23.6
4. Pre-tax IRR on Capital employed % 27.8
5. Payback period Years 8.8
6. Debt-service coverage ratio Times 2.54
7. Break-even capacity % 26.4
8. Cash break-even capacity % 15.6
9. NPV (post-tax) @10% discount for the project Rs.lakhs 40990.4
11.02 Assumptions
Major assumptions considered for financial analysis are given below:-

i) Year wise gas volume considered for sale is as follows:-
(In thousand SCM)

Annual gas (Construction 38161 194109 284025 342398

volume period)
Annual gas 437849 458255 479906 513303 548704

volume
H:\rajesh\Market Survey\TTZ\Final\Chapter - 11-Financial Evaluation.doc 11-1/22 © 2010 MECON Limited. All Rights Reserved
Annual gas 567349 584214 602288 621117 640392

volume
Annual gas 660646 681756 703743 726704 750446

volume
Annual gas 774867 800777 827019 854042 882714

volume
ii) Gas purchase cost as indicated by M/s GAIL Gas has been considered as Rs
12.50/SCM for automobile & domestic consumers and Rs.18.00/SCM for
industrial & commercial consumers.
iii) The following net selling prices have been considered for working out the profit
& loss and cash flow statements for the project:
Domestic consumers: Rs 18.00/SCM
Commercial consumers: Rs 23.00/SCM
Industrial consumers: Rs20.00/SCM
CNG consumers: Rs 23.00/SCM (Rs 28.61/Kg)
The above selling prices for different consumers have been arrived at on the basis of
equivalent selling prices of alternative fuels prevailing in the region.
iv) Working capital requirement for the project has been considered equivalent to 3
months’ operating expenses.
v) Implementation Schedule is as given in earlier Chapter.
vi) Project life has been considered as 25 years from the date of authorisation for
the project.
vii) Salvage value equivalent to 5% of the project cost has been considered at the
end of the economic life of the project.
viii) Corporate tax has been considered @33.99%.
ix) All estimates are based on the prices prevailing in 2nd quarter of 2010 and no
future escalation has been considered.
x) The project would be financed in the debt: equity ratio of 60:40.
xi) It has been considered that an interest free deposit of Rs 5000 per connection
from domestic consumers shall be taken. This amount shall be refunded at the
end of the project life and same is shown in the Cash Flow Statement.
xii) Regulated tariffs i.e. Compression charges and Transportation tariff have been
calculated with post tax IRR of 10% on regulated investments.
11.03 Comparison of price with other fuels
Selling prices of CNG and PNG as worked out above have been compared with
alternative fuels as given below.
Comparison of CNG/PNG Prices with Other Fuels
Fuels Unit Price, Equivalent NG Adopted NG price

Rs/Unit Price, incl. duties & taxes
Automobile CNG, RS/Kg CNG, Rs/Kg
Sector
Petrol Rs/litre 51.00 46.41 37.14
Diesel Rs/litre 39.20 39.20 37.14
Industrial PNG, Rs/SCM PNG, Rs/SCM

Sector
FO Rs/l 32.00 27.81 22.70
Domestic & PNG, Rs/SCM PNG, Rs/SCM

Comml. Sector
LPG-Domestic Rs/Kg 24.30 22.09 20.25
LPG- Rs/Kg 52.63 45.77 25.88

Commercial
To arrive at the equivalent CNG & PNG prices, following considerations have
been made.
i) 1 Litre of Petrol = 0.91 Kg of CNG
ii) 1 Litre of Diesel = 1.00 Kg of CNG
iii) 1 Litre of Furnace oil = 1.153 SCM of PNG
iv) 1 Litre of LPG = 1.30 SCM of PNG
v) Excise duty and VAT, for CNG; have been considered @ 10.3% and
13.5% respectively. In addition dealer’s commission including VAT has
also been added @ Rs 1.20 per kg of CNG.
vi) VAT @ 13.5% has been considered for PNG
11.04 Sensitivity Analysis
Sensitivity analysis for the project has been carried out for increase/decrease of
capital cost, operating cost, selling price, gas purchase price and gas volume by
10%. Compression charges, Transportation tariff and IRR (post tax) for the
project have been worked out with changed parameters to assess sensitivity of
the project under different scenarios and presented in Table-11.09.
COMPRESSION CHARGES
Table-11.01
Item \ Year Unit 1st 2nd 3rd 4th 5th 6th 7th 8th 9th 10th 11th 12th
Annual quantity of gas sold TSCM 0 1259 5037 7556 13432 16790 23506 30642 48691 68167 72197 73876
Capital investment Rs lakh 997 0 0 0 639 0 196 620 196 435 0 196
Annual gas cost Rs lakh 0 0 0 0 0 0 0 0 0 0 0 0
Annual operating cost Rs lakh 0 303 445 445 514 694 694 752 888 983 1120 1120
Annual working capital

Rs lakh 0 76 35 0 17 46 0 14 34 24 34 0
requirement
Total outflow Rs lakh 997 379 480 445 1170 740 890 1386 1118 1442 1154 1315
Annual revenue inflow Rs lakh 0 40 160 240 427 533 746 973 1546 2165 2293 2346
Net inflow Rs lakh -997 -339 -320 -205 -743 -207 -143 -413 429 723 1139 1031
Internal Rate of Return (IRR) -

15.15%
Pre-tax
Year-wise Comp. Charges
30.067 9.522 5.885 8.710 4.408 3.786 4.523 2.296 2.115 1.598 1.781
(Rs/SCM)
Year-wise Comp. Charges (Rs/Kg) 38.156 12.084 7.468 11.054 5.594 4.804 5.740 2.913 2.684 2.028 2.260
Cont….. Table-11.01
Item Unit 13th 14th 15th 16th 17th 18th 19th 20th 21st 22nd 23rd 24th 25th
Item \ Year Unit 76395 78913 81431 84279 87308 90666 94024 97382 101160 105777 109975 114172 119209
Annual quantity of gas sold TSCM 120 196 0 196 0 196 0 587 303 196 0 0 -254
Capital investment Rs lakh 0 0 0 0 0 0 0 0 0 0 0 0 0
Annual gas cost Rs lakh 1177 1217 1275 1275 1333 1333 1390 1390 1564 1631 1689 1689 1689
Annual operating cost Rs lakh 14 10 15 0 14 0 15 0 43 17 14 0 0

Rs lakh 1311 1423 1290 1471 1347 1528 1405 1978 1910 1844 1703 1689 1436
requirement
Total outflow Rs lakh 2426 2506 2586 2676 2773 2879 2986 3093 3213 3359 3492 3626 3786
Annual revenue inflow Rs lakh 1115 1083 1296 1206 1426 1351 1581 1115 1302 1515 1789 1936 2350
Net inflow Rs lakh
Internal Rate of Return

15.15% 1.716 1.803 1.584 1.745 1.542 1.686 1.495 2.031 1.888 1.744 1.549 1.480 1.204
(IRR) - Pre-tax
2.178 2.288 2.010 2.214 1.957 2.139 1.897 2.577 2.396 2.213 1.965 1.878 1.528
(Rs/SCM)
(Rs/Kg)
TRANSPORTATION TARIFF
Table-11.02
Item Unit 1st 2nd 3rd 4th 5th 6th 7th 8th 9th 10th 11th 12th
Annual quantity of gas

TSCM 0 38161 194109 284025 342398 437849 458255 479906 513303 548704 567349 584214
sold
Capital investment Rs lakh 10050 3858 3628 3838 356 270 360 390 300 617 450 300
Annual gas cost Rs lakh 0 0 0 0 0 0 0 0 0 0 0 0
Annual operating cost Rs lakh 0 148 344 395 450 533 539 545 553 561 574 582
Rs lakh 0 37 49 13 13 21 2 1 2 2 4 1
requirement
Total outflow Rs lakh 10050 4043 4021 4246 818 824 900 936 855 1180 1028 882
Annual revenue inflow Rs lakh 0 349 1777 2600 3134 4008 4195 4393 4699 5023 5194 5348
-
Net inflow Rs lakh -3694 -2245 -1646 2316 3184 3295 3457 3844 3843 4166 4466
10050
Internal Rate of Return
15.15%
(IRR) - Pre-tax
Year-wise Tariff (Rs/SCM) 10.595 2.072 1.495 0.239 0.188 0.196 0.195 0.167 0.215 0.181 0.151
Year-wise Tariff
0.357 0.070 0.050 0.008 0.006 0.007 0.007 0.006 0.007 0.006 0.005
(Rs/MMBTU)
Cont…….
Table-11.02
Item Unit 13th 14th 15th 16th 17th 18th 19th 20th 21st 22nd 23rd 24th 25th
Annual quantity of
TSCM 602288 621117 640392 660646 681756 703743 726704 750446 774867 800777 827019 854042 882714
gas sold
Capital
Rs lakh 420 420 420 450 510 660 810 420 360 420 360 390 -1315
investment
Annual gas cost Rs lakh 0 0 0 0 0 0 0 0 0 0 0 0 0

Annual operating
Rs lakh 587 594 633 640 647 690 700 711 719 760 768 775 785
cost
Annual working
capital Rs lakh 2 1 10 2 2 10 3 3 2 10 2 2 -95
requirement
Total outflow Rs lakh 1009 1014 1062 1091 1159 1359 1512 1134 1081 1190 1130 1167 -625
Annual revenue
Rs lakh 5513 5686 5862 6048 6241 6442 6652 6870 7093 7331 7571 7818 8081
inflow
Net inflow Rs lakh 4505 4671 4800 4956 5082 5083 5140 5736 6013 6141 6441 6651 8706
Internal Rate of
Return (IRR) - 15.15%
Pre-tax
Year-wise Tariff
0.167 0.163 0.166 0.165 0.170 0.193 0.208 0.151 0.139 0.149 0.137 0.137 -0.071
(Rs/SCM)
Year-wise Tariff
0.006 0.006 0.006 0.006 0.006 0.007 0.007 0.005 0.005 0.005 0.005 0.005 -0.002
(Rs/MMBTU)
PROFIT AND LOSS STATEMENT

Table-11.03
YEAR OF OPERATION -->
Sl. 1st 2nd 3rd 4th 5th 6th 7th 8th 9th 10th 11th 12th
ITEM
No.
1 ANNUAL GAS COST- CNG 154.3 617.0 925.5 1645.4 2056.8 2879.5 3753.6 5964.6 8350.5 8844.1 9049.8 9358.3
ANNUAL GAS COST- PNG 6610.9 33907.0 49384.7 58565.4 75123.3 77568.5 80156.1 82891.3 85736.9 88344.6 91046.5 93825.5
ANNUAL OPERATING COST
a Consumables & Chemicals 8.6 21.9 32.0 38.5 49.3 51.6 54.0 57.7 61.8 63.6 65.8 67.8
b Utilities -(Power & Fuel) 254.4 254.4 254.4 254.4 442.1 442.1 477.9 570.1 605.9 726.6 726.6 762.4
c Salaries 100.8 201.5 201.5 243.5 280.5 280.5 280.5 280.5 301.5 306.5 306.5 306.5
d Repair & Maintenance 165.4 374.0 414.7 457.7 599.4 602.4 620.5 678.7 696.1 781.6 786.7 804.1
e Gen. Administrative Expences 72.0 144.0 144.0 176.0 208.0 208.0 208.0 208.0 224.0 224.0 224.0 224.0
AMC for compressors & dispenses and

g 84.0 168.0 168.0 168.0 324.0 324.0 336.0 360.0 372.0 480.0 480.0 492.0
wet lease for LCV
2 TOTAL ANNUAL OPERATING COST 685.2 1163.8 1214.6 1338.1 1903.3 1908.6 1977.0 2155.0 2261.3 2582.4 2589.5 2656.8
3 TOTAL MANUFACTURING EXPENSES 7450.3 35687.9 51524.8 61549.0 79083.3 82356.6 85886.7 91011.0 96348.6 99771.1 102685.9 105840.7
4 EXPECTED SALES 7661.0 38937.8 56921.5 68678.9 87864.1 92141.5 96678.2 103889.5 111546.8 115389.8 118802.1 122485.2
Revenue from compression charge

289.6 1158.5 1737.8 3089.4 3861.7 5406.4 7047.6 11198.9 15678.5 16605.3 16991.5 17570.7
(based on PIRR)
Revenue from Network Tariff (based on
7371.3 37779.3 55183.7 65589.6 84002.4 86735.1 89630.6 92690.5 95868.3 98784.5 101810.6 104914.5
PIRR)
Domestic 98.6 394.2 1189.2 2030.1 2089.3 2148.4 2227.2 2312.6 2378.3 2450.6 2549.2 2614.9
Commercial 14.3 67.2 167.9 167.9 173.8 184.7 193.1 193.1 193.1 201.5 201.5 201.5
Industry 7258.5 37318.0 53826.6 63391.6 81739.3 84402.1 87210.3 90184.8 93296.9 96132.4 99060.0 102098.1
5 OTHER INCOME
6 GROSS PROFIT BEFORE INTT. 210.6 3250.0 5396.7 7130.0 8780.8 9785.0 10791.5 12878.5 15198.2 15618.7 16116.3 16644.5
7 INTT. ON LONG TERM LOAN 613.1 1393.0 1504.3 1520.2 1327.1 1140.6 1004.7 805.9 703.7 475.9 313.4 261.7
8 INTERST ON BANK BORROWINGS 19.7 33.5 34.9 38.5 54.7 54.9 56.8 62.0 65.0 74.2 74.4 76.4
FOR WORKING CAPITAL
9 INTEREST ON OVER DRAFT 0.0 48.6 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
10 TOTAL FINANCIAL EXPENSES 632.8 1475.1 1539.2 1558.7 1381.9 1195.5 1061.5 867.8 768.7 550.2 387.8 338.1
YEAR OF OPERATION -->

Sl. 1st 2nd 3rd 4th 5th 6th 7th 8th 9th 10th 11th 12th
ITEM
No.
11 DEPRECIATION 1059.3 1263.1 1478.6 1649.6 1664.8 1700.4 1781.3 1813.6 1934.4 1959.7 1992.0 2023.9
12 OPERATING PROFIT -1481.5 511.8 2378.9 3921.7 5734.1 6889.1 7948.7 10197.0 12495.1 13108.8 13736.4 14282.5
PRELIMINARY EXPENSES WRITTEN
13 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
OFF
14 PROFIT/LOSS BEFORE TAX -1481.5 511.8 2378.9 3921.7 5734.1 6889.1 7948.7 10197.0 12495.1 13108.8 13736.4 14282.5
15 PROVISION FOR TAXATION 0.0 0.0 143.7 399.9 1329.6 2039.5 2524.7 3339.2 4241.7 4441.6 4743.6 4999.2
16 PROFIT AFTER TAX -1481.5 511.8 2235.2 3521.8 4404.5 4849.5 5424.0 6857.8 8253.4 8667.2 8992.9 9283.3
17 DIVIDEND ON EQUITY 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
17 RETAINED PROFIT:
(i) CURRENT -1481.5 511.8 2235.2 3521.8 4404.5 4849.5 5424.0 6857.8 8253.4 8667.2 8992.9 9283.3
(ii) CUMULATIVE -1481.5 -969.7 1265.5 4787.3 9191.8 14041.3 19465.3 26323.1 34576.5 43243.7 52236.6 61519.9
YEAR OF OPERATION --> 13th 14th 15th 16th 17th 18th 19th 20th 21st 22nd 23rd 24th
Sl.
ITEM
No
1 ANNUAL GAS COST- CNG 9666.8 9975.4 10324.1 10695.2 11106.6 11517.9 11929.3 12392.1 12957.7 13471.9 13986.1 14603.1
ANNUAL GAS COST- PNG 96732.0 99718.9 102822.8 106045.6 109363.2 112845.6 116458.1 120144.4 123952.0 127890.7 131974.0 136201.0
ANNUAL OPERATING COST
a Consumables & Chemicals 69.9 72.1 74.3 76.7 79.2 81.8 84.5 87.2 90.1 93.1 96.0 99.3
b Utilities -(Power & Fuel) 783.8 819.6 819.6 855.4 855.4 891.1 891.1 998.5 1044.5 1080.3 1080.3 1080.3
c Salaries 306.5 322.5 322.5 322.5 341.0 341.0 341.0 341.0 359.5 359.5 359.5 359.5
d Repair & Maintenance 816.4 835.2 839.9 859.1 864.8 886.3 895.4 936.1 968.4 984.6 988.6 995.1
e Gen. Administrative Expences 224.0 240.0 240.0 240.0 256.0 256.0 256.0 256.0 272.0 272.0 272.0 272.0
AMC for compressors & dispenses and wet

g 504.0 516.0 516.0 528.0 528.0 540.0 540.0 576.0 588.0 600.0 600.0 600.0
lease for LCV
2 TOTAL ANNUAL OPERATING COST 2704.6 2805.4 2812.4 2881.7 2924.3 2996.2 3008.0 3194.7 3322.5 3389.5 3396.5 3406.3
3 TOTAL MANUFACTURING EXPENSES 109103.5 112499.6 115959.3 119622.5 123394.1 127359.8 131395.4 135731.2 140232.3 144752.0 149356.5 154210.4
4 EXPECTED SALES 126317.4 130238.9 134366.0 138668.9 143154.6 147832.7 152662.1 157650.4 162962.3 168327.5 173849.2 179725.2
Revenue from compression charge (based on

18150.0 18729.2 19384.1 20080.8 20853.2 21625.5 22397.9 23266.7 24328.7 25294.1 26259.6 27418.1
PIRR)
YEAR OF OPERATION --> 13th 14th 15th 16th 17th 18th 19th 20th 21st 22nd 23rd 24th
Sl.
ITEM
No
Revenue from Network Tariff (based on PIRR) 108167.4 111509.6 114982.0 118588.0 122301.4 126207.2 130264.3 134383.7 138633.6 143033.4 147589.6 152307.2
Domestic 2706.8 2798.8 2890.8 2989.4 3101.0 3245.6 3423.0 3515.0 3593.8 3685.8 3764.6 3850.0
Commercial 209.9 218.3 226.7 235.1 235.1 243.5 243.5 251.9 251.9 260.2 260.2 260.2
Industry 105250.7 108492.6 111864.5 115363.6 118965.3 122718.1 126597.8 130616.9 134788.0 139087.4 143564.8 148196.9
5 OTHER INCOME
6 GROSS PROFIT BEFORE INTT. 17213.9 17739.3 18406.7 19046.3 19760.5 20472.9 21266.8 21919.3 22730.0 23575.5 24492.7 25514.8
7 INTT. ON LONG TERM LOAN 237.9 207.6 195.9 172.0 177.7 176.7 211.0 229.7 225.2 201.2 178.9 152.6
8 INTERST ON BANK BORROWINGS 77.8 80.7 80.9 82.8 84.1 86.1 86.5 91.8 95.5 97.4 97.6 97.9
FOR WORKING CAPITAL
9 INTEREST ON OVER DRAFT 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
10 TOTAL FINANCIAL EXPENSES 315.6 288.2 276.7 254.9 261.8 262.9 297.5 321.5 320.7 298.6 276.6 250.5
11 DEPRECIATION 2062.9 2086.5 2127.2 2155.9 2208.4 2253.9 2316.9 2368.2 2404.3 2424.5 2446.4 2457.0
12 OPERATING PROFIT 14835.3 15364.5 16002.8 16635.6 17290.3 17956.2 18652.4 19229.6 20005.0 20852.4 21769.7 22807.4
13 PRELIMINARY EXPENSES WRITTEN OFF 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
14 PROFIT/LOSS BEFORE TAX 14835.3 15364.5 16002.8 16635.6 17290.3 17956.2 18652.4 19229.6 20005.0 20852.4 21769.7 22807.4
15 PROVISION FOR TAXATION 5251.1 5475.2 5751.6 5998.8 6269.8 6514.5 6781.9 6986.5 7266.0 7578.6 7928.3 8308.9
16 PROFIT AFTER TAX 9584.2 9889.4 10251.1 10636.9 11020.5 11441.7 11870.5 12243.1 12739.0 13273.7 13841.3 14498.5
17 DIVIDEND ON EQUITY 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 1.0 2.0
17 RETAINED PROFIT:
(i) CURRENT 9584.2 9889.4 10251.1 10636.9 11020.5 11441.7 11870.5 12243.1 12739.0 13273.7 13840.3 14496.5
(ii) CUMULATIVE 71104.1 80993.5 91244.6 101881.5 112902.0 124343.7 136214.1 148457.2 161196.2 174470.0 188310.3 202806.8
Table-11.04
CASHFLOW STATEMENT
Sl.No. CONSTN. PERIOD OF OPERATIONS
ITEM/YEAR 1st 1st 2nd 3rd 4th 5th 6th 7th 8th 9th 10th 11th 12th
SOURCES OF
A.
FUNDS
EQUITY - FIXED
1. 6264.1 1521.2 1059.4 1120.7 1259.5 78.8 222.4 560.5 204.8 871.3 131.3 204.8 185.5
CAPITAL
- MARGIN
0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
MONEY
PROFIT BEFORE
2. -848.7 1986.9 3918.1 5480.4 7116.0 8084.5 9010.2 11064.9 13263.7 13659.0 14124.3 14620.6
INTT.AND TAX
DEPRECIATION
3. AND 1059.3 1263.1 1478.6 1649.6 1664.8 1700.4 1781.3 1813.6 1934.4 1959.7 1992.0 2023.9
PRELIMINARY
EXPENSES
WRITTEN OFF
TERM LOAN -
4. 9396.2 2281.8 1589.1 1681.0 1889.3 118.2 333.5 840.7 307.3 1307.0 197.0 307.3 278.2
FIXED CAPITAL
- MARGIN
0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
MONEY
Connection
deposits from 300.0 300.0 1210.0 1280.0 90.0 90.0 120.0 130.0 100.0 110.0 150.0 100.0 140.0
customers
INCRE. IN BANK
5.
BORROWINGS
FOR WORKING
171.3 119.7 12.7 30.9 141.3 1.3 17.1 44.5 26.6 80.3 1.8 16.8
CAPITAL
6. OVER DRAFT 422.2 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
TOTAL CASH
15960.3 4907.1 7228.2 9491.1 10399.7 9209.0 10462.2 12339.8 13535.1 17513.0 16177.3 16730.2 17265.0
INFLOW (A)
DISPOSITION
B.
OF FUNDS
CAPITAL
1. 15960.3 4103.0 3858.5 4081.7 3238.8 287.0 675.9 1531.2 612.1 2288.3 478.3 612.1 603.6
EXPENDITURE
2. DECREASE IN 0.0 0.0 1658.4 1868.5 2104.7 2119.5 2161.1 2266.2 2304.6 2468.0 834.3 662.5
Sl.No. CONSTN. PERIOD OF OPERATIONS

LONG TERM
LOAN
INCREASE IN
3. WORKING 171.3 119.7 12.7 30.9 141.3 1.3 17.1 44.5 26.6 80.3 1.8 16.8
CAPITAL
TOTAL INTT.ON
4. LONG TERM 613.1 1393.0 1504.3 1520.2 1327.1 1140.6 1004.7 805.9 703.7 475.9 313.4 261.7
LOAN
INTT.ON BANK
5. 19.7 33.5 34.9 38.5 54.7 54.9 56.8 62.0 65.0 74.2 74.4 76.4
BORROWING
FOR WORKING
CAPITAL
REPAYMENT OF
6. 0.0 422.2 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
OVER DRAFT
INTEREST ON
7. 0.0 48.6 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
OVER DRAFT
PROVISION FOR
8. 0.0 0.0 143.7 399.9 1329.6 2039.5 2524.7 3339.2 4241.7 4441.6 4743.6 4999.2
TAXATION
DIVIDEND ON
9. 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
EQUITY
TOTAL CASH
15960.3 4907.1 5875.4 7435.7 7096.8 5244.5 6031.7 7295.7 7129.9 9629.8 8018.4 6579.6 6620.3
OUTFLOW (B)
NET CASH
0.0 0.0 1352.7 2055.4 3302.9 3964.6 4430.5 5044.1 6405.2 7883.2 8158.9 10150.6 10644.7
ACCRUALS (A-B)
OPENING
0.0 0.0 0.0 1352.7 3408.1 6711.0 10675.6 15106.1 20150.2 26555.4 34438.6 42597.5 52748.1
BALANCE
CUMULATIVE
0.0 0.0 1352.7 3408.1 6711.0 10675.6 15106.1 20150.2 26555.4 34438.6 42597.5 52748.1 63392.7
CASH SURPLUS
Post-tax IRR on
Capital 23.6
Employed, %
Pre-tax IRR on
Capital 27.8
Employed, %
NPV @10%
40990.4
discount factor
Cont……..
Table-11.04
PERIOD OF OPERATIONS
Sl.No.
ITEM/YEAR 13th 14th 15th 16th 17th 18th 19th 20th 21st 22nd 23rd 24th
SOURCES OF
A.
FUNDS
EQUITY - FIXED 239.9 122.6 248.6 148.8 309.9 236.4 421.6 340.5 217.9 105.1 113.8 79.9
1.
CAPITAL
- MARGIN 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
MONEY
PROFIT BEFORE 15151.0 15652.8 16279.5 16890.5 17552.1 18219.1 18949.9 19551.1 20325.7 21151.0 22046.2 23057.9
2.
INTT.AND TAX
DEPRECIATION 2062.9 2086.5 2127.2 2155.9 2208.4 2253.9 2316.9 2368.2 2404.3 2424.5 2446.4 2457.0
3. AND
PRELIMINARY
EXPENSES
WRITTEN OFF
TERM LOAN - 359.8 183.9 372.9 223.3 464.9 354.6 632.4 510.8 326.8 157.6 170.7 119.9
4.
FIXED CAPITAL
- MARGIN 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
MONEY
Connection 140.0 140.0 150.0 170.0 220.0 270.0 140.0 120.0 140.0 120.0 130.0 0.0
deposits from
customers
INCRE. IN BANK
5.
BORROWINGS
FOR WORKING 12.0 25.2 1.7 17.3 10.7 18.0 2.9 46.7 32.0 16.7 1.8 2.4
CAPITAL
6. OVER DRAFT 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
TOTAL CASH
17965.5 18210.9 19180.0 19605.8 20765.9 21351.9 22463.7 22937.3
INFLOW (A) 23447 23975 24909 25717.1
DISPOSITION OF
B.
FUNDS
CAPITAL 739.7 446.4 771.6 542.1 994.8 861.0 1194.0 971.4 684.7 382.7 414.6 199.8
1.
EXPENDITURE
DECREASE IN 461.1 491.3 472.6 414.2 403.7 298.4 318.1 358.7 387.8 383.7 380.4 355.1
2.
LONG TERM LOAN
Sl.No.
INCREASE IN 12.0 25.2 1.7 17.3 10.7 18.0 2.9 46.7 32.0 16.7 1.8 2.4
3. WORKING
CAPITAL
TOTAL INTT.ON 237.9 207.6 195.9 172.0 177.7 176.7 211.0 229.7 225.2 201.2 178.9 152.6
4.
LONG TERM LOAN
INTT.ON BANK 77.8 80.7 80.9 82.8 84.1 86.1 86.5 91.8 95.5 97.4 97.6 97.9
5.
BORROWING
FOR WORKING
CAPITAL
REPAYMENT OF 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
6.
OVER DRAFT
INTEREST ON 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
7.
OVER DRAFT
PROVISION FOR 5251.1 5475.2 5751.6 5998.8 6269.8 6514.5 6781.9 6986.5 7266.0 7578.6 7928.3 8308.9
8.
TAXATION
DIVIDEND ON 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 1.0 2.0
9.
EQUITY
TOTAL CASH
6779.5 6726.4 7274.3 7227.2 7940.7 7954.7 8594.4 8684.8
OUTFLOW (B) 8691.2 8660.3 9002.6 9118.8
NET CASH 11186.0 11484.5 11905.7 12378.6 12825.3 13397.1 13869.3 14252.5 14755.5 15314.6 15906.3 16598.3
ACCRUALS (A-B)
OPENING 63392.7 74578.7 86063.3 97969.0 110347.5 123172.8 136569.9 150439.2 164691.7 179447.2 194761.8 210668.1
BALANCE
CUMULATIVE 74578.7 86063.3 97969.0 110347.5 123172.8 136569.9 150439.2 164691.7 179447.2 194761.8 210668.1 227266.5
CASH SURPLUS
Post-tax IRR on
Capital Employed,
%
Pre-tax IRR on
Capital Employed,
%
NPV @10%
discount factor
Table-11.05
ESTIMATED BALANCE SHEET
(In Rs Lakhs)
CONSTN. PERIOD OF OPERATIONS
ASSETS
Gross Fixed Assets 15960.3 20063.3 23921.8 28003.6 31242.4 31529.4 32205.3 33736.5 34348.6 36636.9 37115.3 37727.4
Less: Accumulated Depreciation 1059.3 2322.4 3801.0 5450.6 7115.4 8815.8 10597.1 12410.7 14345.1 16304.8 18296.8 20320.7
Net Fixed Assets 0.0 14901.0 17740.9 20120.8 22553.0 24127.0 22713.6 21608.2 21325.8 20003.5 20332.1 18818.5 17406.7
Net Current Assets 171.3 291.0 303.6 334.5 475.8 477.1 494.2 538.7 565.3 645.6 647.4 664.2
Cash & Bank 0.0 -422.2 1352.7 3408.1 6711.0 10675.6 15106.1 20150.2 26555.4 34438.6 42597.5 52748.1 63392.7
Investments 15960.3 4103.0 3858.5 4081.7 3238.8 287.0 675.9 1531.2 612.1 2288.3 478.3 612.1 603.6
Misc. Fixed Assets
Deferred Revenue Exp.
Others
TOTAL ASSETS 15960.3 18753.1 23243.1 27914.4 32837.3 35565.4 38972.7 43783.9 49032.1 57295.7 64053.5 72826.0 82067.3
LIABILITIES
Net Worth
Equity Capital 6264.1 7785.3 8844.7 9965.4 11225.0 11303.8 11526.1 12086.6 12291.5 13162.8 13294.1 13499.0 13684.4
Preference Share Capital
Reserves 0.0 -1481.5 -969.7 1265.5 4787.3 9191.8 14041.3 19465.3 26323.1 34576.5 43243.7 52236.6 61519.9
Net Worth 6264.1 6303.8 7875.1 11231.0 16012.3 20495.6 25567.5 31551.9 38614.6 47739.3 56537.8 65735.5 75204.3
Debt
Rupee Term Loan 9696.2 12278.0 15077.1 16379.8 16490.5 14594.0 12928.1 11737.7 9878.8 8991.1 6870.1 6443.1 6198.7
FC Term Loan
Bank Borrowings for Working Capital 171.3 291.0 303.6 334.5 475.8 477.1 494.2 538.7 565.3 645.6 647.4 664.2
Others
TOTAL LIABILITIES 15960.3 18753.1 23243.1 27914.4 32837.3 35565.4 38972.7 43783.9 49032.1 57295.7 64053.5 72826.0 82067.3
Cont…….
Table-11.05
ASSETS
Gross Fixed Assets 38331.0 39070.7 39517.1 40288.7 40830.8 41825.6 42686.6 43880.5
44851.9 45536.6 45919.3 46333.8
Less: Accumulated Depreciation 22383.6 24470.1 26597.4 28753.2 30961.6 33215.5 35532.4 37900.5 40304.9 42729.4 45175.8 47632.8
Net Fixed Assets 15947.4 14600.6 12919.8 11535.5 9869.2 8610.1 7154.2 5980.0 4547.0 2807.2 743.4 -1299.0
Net Current Assets 676.2 701.3 703.1 720.4 731.1 749.0 752.0 798.7 830.6 847.4 849.1 851.6
Cash & Bank 74578.7 86063.3 97969.0 110347.5 123172.8 136569.9 150439.2 164691.7 179447.2 194761.8 210668.1 227266.5
Investments 739.7 446.4 771.6 542.1 994.8 861.0 1194.0 971.4 684.7 382.7 414.6 199.8
Misc. Fixed Assets
Deferred Revenue Exp.
Others
TOTAL ASSETS 91942.0 101811.6 112363.4 123145.5 134767.8 146790.0 159539.3 172441.7 185509.6 198799.0 212675.2 227018.8
LIABILITIES
Net Worth
Equity Capital 13924.3 14046.9 14295.5 14444.3 14754.2 14990.6 15412.2 15752.8 15970.6 16075.7 16189.5 16269.5
Preference Share Capital
Reserves 71104.1 80993.5 91244.6 101881.5 112902.0 124343.7 136214.1 148457.2 161196.2 174470.0 188310.3 202806.8
Net Worth 85028.4 95040.4 105540.1 116325.8 127656.2 139334.3 151626.4 164210.0 177166.9 190545.7 204499.8 219076.2
Debt
Rupee Term Loan 6237.4 6069.9 6120.2 6099.3 6380.5 6706.7 7161.0 7433.1 7512.1 7406.0 7326.3 7091.1
FC Term Loan
Bank Borrowings for Working Capital 676.2 701.3 703.1 720.4 731.1 749.0 752.0 798.7 830.6 847.4 849.1 851.6
Others
TOTAL LIABILITIES 91942.0 101811.6 112363.4 123145.5 134767.8 146790.0 159539.3 172441.7 185509.6 198799.0 212675.2 227018.8
PAY BACK PERIOD CALCULATION

Table-11.06
Year of Financial
Gross profit Tax Net cash accruals
operation expenses
1 210.6 632.8 0.0 (422.2)
2 3,250.0 1,475.1 0.0 1,774.9
3 5,396.7 1,539.2 143.7 3,713.8
4 7,130.0 1,558.7 399.9 5,171.4
5 8,780.8 1,381.9 1,329.6 6,069.3
6 9,785.0 1,195.5 2,039.5 6,550.0
7 10,791.5 1,061.5 2,524.7 7,205.3
8 12,878.5 867.8 3,339.2 8,671.4
9 15,198.2 768.7 4,241.7 10,187.8
10 15,618.7 550.2 4,441.6 10,626.9
FIXED CAPITAL COST = 46533.6 Lakhs
PAY - BACK PERIOD = 8.8 Years
DEBT - SERVICE COVERAGE RATIO

Table-11.07
Inflow Out flow Debt -

service
Year of Profit Deprn.
Interest Total Repaymen Interest Total coverage
operation after & Prel.
on LTL inflow t of LTL on LTL outflow ratio,
tax Exp. (DSCR)
1st (1,482) 1,059 613 191 0 613 613 0.31
2nd 512 1,263 1,393 3,168 0 1,393 1,393 2.27
3rd 2,235 1,479 1,504 5,218 1,658 1,504 3,163 1.65
4th 3,522 1,650 1,520 6,692 1,869 1,520 3,389 1.97
5th 4,405 1,665 1,327 7,396 2,105 1,327 3,432 2.16
6th 4,850 1,700 1,141 7,691 2,119 1,141 3,260 2.36
7th 5,424 1,781 1,005 8,210 2,161 1,005 3,166 2.59
8th 6,858 1,781 806 9,445 2,266 806 3,072 3.07
9th 8,253 1,781 704 10,738 2,305 704 3,008 3.57
10th 8,667 1,814 476 10,957 2,468 476 2,944 3.72
AVERAGE 43,244 15,973 10,489 69,706 16,951 10,489 27,440 2.54
BREAK-EVEN CAPACITY CALCULATION

(At 100 % capacity Utilisation)
Table-11.08
(In Rs Lakhs)
Sl. No. Item Amount
1. Net sales realisation 118,802

2. Variable expenses 100,459
3. Contribution 18,343
4. Fixed expenses-Mfg.expenses 2,227
-Depreciation 1,985
-Interest 633
Sub total (4) 4,845
5. Break-even capacity (%) 26.4
6. Cash break-even capacity (%) 15.6
Note: Interest and depreciation charges have been considered average during the
project life.
SENSITIVITY ANALYSIS
Table-11.09
IRR on
Compres
Capital Transportati
Sl. sion
Description Employ on Tariff,
No Charges,
ed, Rs/MMBTU
Rs/Kg
(%)
1 Base Case 23.6 4.07 27.14
2 With increase in Capital cost by 10% 22.2 4.19 29.50
3 With decrease in Capital cost by 10% 25.4 3.95 24.78

With increase in Operating cost by
4 23.3 4.36 27.50
10%
With decrease in Operating cost by
5 23.9 3.78 26.78
10%
6 With increase in Gas volume by 10% 25.6 3.70 24.67
7 With decrease in Gas volume by 10% 21.6 4.52 30.16
With increase in gas purchase price
8 6.6 4.19 27.14
by 10%
With decrease in gas purchase price
9 35.4 3.96 27.14
by 10%
10 With increase in Sales price by 10% 37.0 4.07 27.14
11 With decrease in Sales price by 5% 15.4 4.07 27.14
ANNEXURES & DRAWINGS
Sl. Description Unit Quantity

Upto 5th 6th to 15th 16th to 25th
No.
Year Year Year
A CITY GATE STATIONS FOR TTZ

A 1.1 CGS for Ferozabad Lot 1 0 0
A 1.2 CGS Near Chhata Sugar Mill (SV 10 of GREP) Lot 1 0 0
A 1.3 CGS at Bhajera for Bharatpur (SV 7 of GREP) Lot 1 0 0
A 1.4 CGS for Achhnera (Agra Bajera P/L)) Lot 1 0 0
A 1.5 CGS for Govardhan (SV 9 of GREP) Lot 1 0 0
A2 Lot 5 0 0
Odorising System
A3 Mechanical Erection Lot 5 0 0
A4 Plot Lot 5 0 0
B. STEEL PIPELINE GRID IN TTZ
B1 ROU Acquisition (Total)

B 1.1 ROU Acquisition (City Conditions) Lot 42800 0 0
B 1.2 ROU Acquisition (Cross Country) Lot 100000 0 0
B2 Steel Pipeline Supply

B 2.1 FIrozabad P/L System
i Steel Pipe ( 4" x 6.4mm- API 5L GrB, 3L PE Coated) M 7300 0 0
ii Steel Pipe ( 6" x 6.4mm- API 5L GrB, 3L PE Coated) M 800 0 0
iii Steel Pipe (8" x 6.4mm- API 5L Gr B, 3L PE M 4000 0 0
Coated)
iv Steel Pipe (10" x 6.4mm- API 5L Gr B, 3L PE M 26700 0 0
Coated)
B 2.2 Chhata-Vrindavan-Hathras P/L System

B Chhata-Barsana-Nandgaon
2.2.1
iii Steel Pipe ( 8" x 6.4mm- API 5L Gr B, 3L PE M 0 0 0

Coated)
B Chhata-Vrindavan-Raya-Hathras
2.2.1

Coated)
B 2.3 Govardhan
Steel Pipe ( 4" x 6.4mm- API 5L GrB, 3L PE Coated) M 5000 0 0
Steel Pipe ( 8" x 6.4mm- API 5L Gr B, 3L PE M 0 0 0
Coated)
H:\rajesh\Market Survey\TTZ\Final\BOM.doc Ann II-BOM - 1/5 © 2010 MECON Limited. All Rights Reserved

No.
Year Year Year
Coated)
B 2.4 Acchnera-Kiraoli-Fatehpursikri P/L System


Coated)
Coated)
B 2.5 Bhajera-Bharatpur P/L System


Coated)
B3 Supply of
B 3.1 Warning Grid : 1 mm thk M 142800 0 0
B 3.2 50mm dia HDPE M 142800 0 0
B 3.3 33 mm dia OFC M 142800 0 0
B4 Cathodic Protection of Grid Line

2 10" x 26.7 0 0
i) TCP & PCP : 10" x 26.7 km M
km
ii) TCP & PCP : 8" x 25 km M2 8" x 25 km 0 0
ii) TCP & PCP : 6" x 45.8 km M2 6" x 45.8 km 0 0
ii) TCP & PCP : 4" x 45.3 km M2 4" x 45.3 0 0
km
B5 SV Stations on City Grid

i) SV Stations on 4" Dia Pipe line Lot 8 0 0
ii) SV Stations on 6" Dia Pipe line Lot 8 0 0
iii) SV Stations on 8" Dia Pipe line Lot 9 0 0
iv) SV Stations on 10" Dia Pipe line Lot 10 0 0
B6 Laying Installation & Testing of :

B 6.1 Steel Pipe ( 4" x 6.4mm- API 5L GrB, 3L PE Coated) M 45300 0 0
B 6.2 Steel Pipe ( 6" x 6.4mm- API 5L GrB, 3L PE Coated) M 800 0 0
B 6.3 Steel Pipe ( 8" x 6.4mm- API 5L Gr B, 3L PE M 49000 0 0
Coated)
B 6.4 Steel Pipe ( 10" x 6.4mm- API 5L Gr B, 3L PE M 47700 0
Coated)
B 6.4 50mm dia HDPE M 0 0 0

B 6.5 50mm dia OFC M 0 0 0

No.
Year Year Year
C. CNG FACILITIES IN TTZ
C1 MOTHER STATION Nos. 5 2 1
C Land : Plot size, 40m x 60m with plot Lot 5 2 1

1.1 development
C Compressors
1.2
- 1200 SCM/ Hr, Pr. : 19 to 255 kg/cm2(g) (GAS) Nos. 1x5 1x6 1x5
- 650 SCM/ Hr, Pr. : 19 to 255 kg/cm2(g) (GAS) Nos. - 1x3
C Cascades
1.3
- Capacity : 4500 WL Nos. 1x5 1x9 1x5
C Dispenser*
1.4
a) Car/Auto Nos. 2x5 1x6 1x4
b) Bus Nos. 2x5 1x6 1x4
C DG Set & Control Panel, AVR

1.5
a) 15 kVA Nos. 1x5 1x2 1x1
C Bore Well Nos. 1x5 1x2 1x1

1.6
- Depth - 100m, - Power - 3 HP
C Interconnecting Pipe (up to 2" dia.) & SS Tubes Lot 1x5 1x2 1x1
1.7
SS Fittings
C Civil Works: Foundations, Building, Control Room & Lot 1x5 1x2 1x1
1.8 Cascade Filling Area
C3 MOTHER STNS (In OMC ROs) Nos. 2 1
C Compressor
3.1
-1200 SCM/ Hr, Pr. : 19 to 255 kg/cm2(g) Nos. 1x2 1x1 1x2
(Gas)
C Dispenser
3.2
a) Car Nos. 1x2 1x1
b) Bus Nos. 1x2 1x1
C Cascade (3000 WL) Nos. 1x2 1x1 1x2

3.4

No.
Year Year Year
C Civil Works: Foundations, Disp. Island & Lot 1x2 1x1
1.8
Cascade Filling Area - - -
C Interconnecting SS Tubes, Valves, lot 1x2 1x1

3.5
Fittings
C Fire Fighting System Lot 1x2 1x1

3.6
DCP & CO2 type (70kg, 10kg, 4.5kg)
C5 DAUGHTER BOOSTER STATIONS (in OMC Ros) Nos. 20 6

C Compressor (Electric Driven)
5.1
- Capacity : 250 SCM/ Hr Nos. 1 x 20 1x6
C Dispenser*
5.2
- Car / Auto Nos. 2 x 20 2x6
C Cascade (2200 WL) Nos. 1 x 20 1x6

5.3
C Civil Works: Foundations, Disp. Island &

5.3
C Interconnecting SS tubes, Valves, lot 1 x 20 1x6

5.4
Fittings
C Fire Fighting System Lot 1 x 20 1x6

5.5
DCP & CO2 type (70kg, 10kg, 4.5kg)
C LCV - Tata/ DCM, with Mobile 2200 WL Cascade Nos. 30 9

5.6
D MDPE NETWORK IN TTZ

D Pipe MDPE
1.1
i) - dia. 180mm M 38160 14640 19132
ii) - dia. 125mm M 76320 29280 38264
iii) - dia. 63mm M 171720 65880 86095
iv) - dia. 32mm M 381600 146400 191322
v) - dia. 20mm M 318000 122000 159435
D HDPE PIPE FOR CROSSINGS LOT

1.2
1 1 1

No.
Year Year Year
D Warning Grid
1.3
- 1mm Thick M 985800 378200 494249
D MDPE Fittings Incl. Couplers LOT

1.4
1 1 1
D MDPE Ball Valves LOT

1.5
1 1 1
D District Regulating Stations

1.6
i) DRS, 2.500 SCM/hr Nos. 2 0
ii) DRS, 1250 SCM/hr Nos. 3 0
iii) DRS, 600 SCM/hr Nos. 7 0
iv) DRS, 400 SCM/hr Nos. 3 0
D Laying Installation & Testing of

1.7
i) - dia. 180mm M 38160 14640 19132
ii) - dia. 125mm M 76320 29280 38264
iii) - dia. 63mm M 171720 65880 86095
iv) - dia. 32mm M 381600 146400 191322
v) - dia. 20mm M 318000 122000 159435
E Domestic Consumers Nos. 63600 24400 31887
F SCADA
SCADA with RTU for Gas Actuator valves
open/close position, Flow data Inlet pressure, Lot 1 0 0
Temperature, Cathodic Protection parameters etc.

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GAIL GAS LIMITED

Detailed Feasibility Report

TAJ TRAPEZIUM ZONE

Detailed Feasibility Report

TAJ TRAPEZIUM ZONE

01.00 EXECUTIVE SUMMARY 17

03.00 METHODOLOGY OF STUDY 03

04.00 DEMAND PROJECTION 07

05.00 SYSTEM DESIGN 17

06.00 SYSTEM DESCRIPTION 20

07.00 IMPLEMENTATION SCHEDULE 07

08.00 ORGANISATION STRUCTURE & MANPOWER PLANNING 05

09.00 CAPITAL COST ESTIMATE 08

10.00 OPERATING COST 05

11.00 FINANCIAL ANALYSIS 22

ANNEXURES & DRAWINGS

LIST OF ANNEXURES & DRAWINGS

1. Annexure – I Computer Simulation Output for Pipeline System

2. Annexure – II Bill of Materials

Annexure – III Drawings

A MEC/23LW/05/25/M/001/0001 Typical Layout of City Gate Station

B MEC/23LW/05/25/M/001/0002 Layout of Steel Pipeline and CNG Network in TTZ

C MEC/23LW/05/25/M/001/0003 Process Flow Diagram For CNG Mother Station

D MEC/23LW/05/25/M/001/0004 Typical PNG Distribution System

E MEC/23LW/05/25/M/001/0005 Typical Layout of Pressure Regulating Installation

F MEC/23LW/05/25/M/001/0006 Schematic Diagram for GI System (Domestic)

G MEC/23LW/05/25/M/001/0007 Schematic Diagram for Terminal at large Commercial

01.00 EXECUTIVE SUMMARY

01.01.02 About Taj Trapezium Zone

01.02 Methodology of Study

Following steps have been adopted for DFR preparation.

 Demand Projections for 25 years provided by GAIL Gas as an input for

01.03 Projected Demand

Sector PROJECTED DEMAND, in MMSCMD

COMMERCIAL 0.0004 0.0028 0.0033 0.0036 0.0040 0.0043

INDUSTRIAL 0.4398 4.8062 5.5888 6.0240 6.4931 6.9984

AUTOMOBILE 0.0069 0.0368 0.1868 0.2231 0.2668 0.3266

Total 0.4507 4.8843 5.8239 6.3039 6.8295 7.4030

01.04 System Design

01.04.01 Gas Demand Considered for Distribution

In the case of Domestic and Commercial segments the projected demand is

As is discernible from the demand projections table, major share of the

Sector 25th Year REALISABLE Peak load (25th Year)

Domestic 0.0586 0.1758

01.04.02 Source of Gas

 Chhata-Chaumuhan-Vrindavan-Raya-Hathras Area – from SV 10 of GREP

01.04.02 Steel Grid, CNG and PNG facilities

a) Automobile, domestic, commercial and industrial consumers in Taj

STATIONS Cap. of compressor No. of installations Year of

C) Mother Stations (OMC ROs)

D) Daughter Booster Stations

Following total CNG facilities along with associated infrastructure shall be in

At DRS the pressure reduction shall be done from 14-19 Kg/cm2(g) to 7

It is planned to install MDPE network of following sizes:

dia. 180mm, PE 100, SDR 11

01.05 System Description

01.05.01 City Gate Stations

CGS near SV 10 of GREP – Gas for Barsana, Nandgaon, Vrindavan, Raya,

CGS near SV 9 of GREP - Gas for Govardhan area

CGS near SV 8 of GREP - Gas for Bhajera, Bhartpur area

CGS near Firozabad - Gas for Firozabad area

01.06.02 Steel Grid Line

 Sectionalising valves shall be provided to facilitate maintenance of system