ay ta we 7 16 teres rT cere ag fecef-noo66, $far GAIL BHAWAN 1BBHIKALIICAMA PLACE (ue ee a oP rh) bey TK sgt Bide GAIL (India) Limited €8a/E mal: infoegai.cain (AGoveramentfladaUnderatng-AMbaat09 Company) GAIL/HV4J/Pinal Tariff/352283/2018/ 2246 29.11.2018 To The Secretary Petroleum and Natural Gas Regulatory Board 1" Floor, World Trade Centre Babar Road, New Delhi-110001 Respected Madam, Sub: Final Tariff Determination of HVJ-GREP-DVPL and. a Upgradation Natural Gas Pipeline Network of GAIL (India) Li This has reference to Record Notes of Open House Meeting held at PNGRB on 26.11.2018 in respect of the subject pipeline network, 2. Imaccordance with the Record Notes the following are submitted (Note on Integrated Tariff of HVJ and HVJ Upgradation pipeline ~ Already submitted vide letter dated 27.11.2018. (ii) Updated list of pipelines including spurlines of HVJ / HVJ Upgradation pipeline network (Annexure-A). Gi) GAIL views regarding consideration of economic life of Pipeline as 30 years instead of current 25 years (Annexure-B). (iv) Note on modification for enhancing Operational Lfficicncy and Improving Flexibility of Operations in the HVJ Natural Gas Pipeline System (Annexure-C) Submitted please. ‘Thanking you, ‘Yours sincerely, 0. Keron (Kumar Shanker) Chief General Manager (Mktg.-RA) E-mail: kumarshanker@geAnnexure A HYJ and HV Upgradation Pipeline Network Updated List of Pipelines including Spurlines , Diameter | Length | Year of SNo. Pipeline Segment Name of Pipeline Section pene ees el neh) | (km) _| Commissioning (aaa WAR InAzRATHAGRDIA 36 [a v3 ZAZA VATU IHAGADIA-VAGHODTA oo 137 ST Iazia “via IVAGHODIA-D-RARIA 36 | i387 2 Jax -vnArR pnaRia- ast 3s | na 157 SAA VIATOR TEARUA BARODA 3 [as 157 eNAZIRA“WOAIPOR Re ARODA- KER 3 [sto 1387 3 Juana“ OAT ISHERA- GORAKHPUR 3 [es ier Saino ORARIPORA VIATOR 3 [ase 137 [DAE WuATPoR-T A. Vea [a 08 1D [DANE WuATPORT [eMan-SiERPURA [meas 07 TI JDARET-VDATPOR-1 ISHERPORA- HARD a [sae Soe ‘2 —JDAIIET-WDAIPUOR=1 TARUA-K-RARODA 2 [aa 2008 TB [DARET-WDAIPUR=1 BARODA-KHTRA [ana 2008 Ta [DATE -VDAUR-1 IEHERA”CORARIPUES eae 2008 15 JOANES=VDATUR=1 IGORARAPORA- DAUR es 2208 ie JOAHES- WUABUR AE VEMAR 76 Bot TAH: WAPUR=I ReMAR-SiERPORA ap 2a TE [DABS VAPOR EERPURL HAUS se Sar 1s [pais VAPOR TABU RARODA obser 3B 20 paVes-VOAIrOR-= IE BARODA: RNA ep Eo 31 ARES VOAIPUR- ERA” GORAKHPUR as [26 port 32 palte-VoApuR [GORAKHPUR ATOR sat Soir 55 NAZI RAWAS RADIA AWAS 15 137 Sion Aca oxo siAaIRAT oT 3 25 JoNGe-HAZIA loNGe-HAZIRAT 3} 2000 26_feerau. sue sori) unorRa force. mecune@or.uspera | 16 | s002 2008 3 [WAGHOBIA-RIL VADOBARA IVAGHODIA-RIL VADODARA Zaz oa 28 fiavactiooia.crcr vacnooin —_[ravactioninarervactioninnvi] 20 | 33 193 > frevacnonin-onervacnoor —_[oaer vacnioiaiw2vacnooiaav;] 30 | 33 8 30 |LSv-s VAGHODIA.GREP VaGHODIA—_|ESW'S VAGHODIA-GREP VAGHODIA 36 33 2004 11 fisvsvacnonaansevacnoom_[OREPVAOHODIRISTSVAGHODI: [oy amo 32 fimesanonavironone lmc-sanonavi FORGING < ut 201 sp” IL TERMINAL TO GIRCL TERNAL HTP TERMINAL TOG TERMINAL |, ——] apa oo runuine hiv son UNE 7 SH POL GPCL TRING peti ENG aps aE 3s fuaveswanitrr -praxwrmate —fsapeswaniter -pieakwrmmare | «| 207 2008 )VAGHODIA RIL DASRATIFTAP OFF) |VAGHODIA RI DASRATIVTAPOFH se race 2 [08 2003 San [BARSADA GHAR RASTA = v7 _[oarsaba cua rasta -ruonocnen [PARSADR GH ‘ 5 2005 58 [raciooin comer -arouLoTyRE —_|vaconia cone -arouoryRe | + 7 208 3» [vartoon. lovrur toon. 7 2 me 0 fovmstoosn loveus woos 2 | 00s nove a1 fruarexen lavarex pa 5 32 ia Paget BNDiameter | Length Year of SINo. Pipeline Segment Name of Pipeline Section S Ss inch) | Chm) | Commissioning 42 Semana) wre, araRuct }vewanat) THC TERMINAL | ane 2000 : ne lbviL-1 DANE TAP OFF TOGACL 8 [ovnpanertocact pvntoar 6 1 2004 oman Joact TAP ORF ONE NCHTO “4 foxcu to uspatco exc. Tar orton 4 73 2x08 4s fsanivor-pewas amex -Dewas 2 | 196s 2007 46 fos.,prHawPuRADS2,erAMPUR fips:,rMiaMPuRIOs2,erraampur] 12 fas 2007 Sp ROPROW IE LNENS BRIDGESTONE [FOP FROM TP UNE MS BRIDGE 7 os a vers tone TyReS _frormom THEME CPLA TOP FROM 12" [NEMS GRA 5 2 [NE EXTENDED FROM CIPLAS [LINE EXTENDED FROM PEAS 49 Isymaionc [SYMBIOTIC 2 025 2010 TOP FROM 1D" NEMS PRATIANA ror FROM IF UNE WS RATIONS S 50 kywrex’ lsvatex 4 928 = 31 fos2 wis SVANGTSTER, fos-2-ws SIVAN TER Z a SF 52 [TOP ROM #FLNEMS Sr TOP FROM A LINENS SRF z ae 22 53° [TOP FROM 4" LINE-MIS MITTAL CorP.1 [TOP FROM 4° LINE-M/S MITTAL CORP. 4 144 2012 e_ [ENEERTENDED FROM MGI ]UNEEXTENDED ROW NOTTS 7 a coo IaerrAL conn2 irra cox. $= _ftorrRow eas aNawri sen. [FOP FEOM # UNEMIS ANANTH + [oan 707 s6_frormomsruneawsKesansteet ror roms" uNeavsxesarstae | a on em 3 (DSE-MS NATIONAL STE [DS-NIS NATIONAL STEEL Zz ie 307 st JeaTiOnaL stews auc stip NATIONAL STEEL.WS RUCHISTRIP | 4 02 2001 Gy [TAPPING FROM NATIONAT STEEL ENE [APNG FROM NATIONAL STEP 7 = con hws JA1DCEP sear LINE-WS JAIDEEP isPa Go” TAPPING FROM NATIONAL STEEL UNE TAPPING FROM NATIONAL STEEL 7 oe co Js wari ikon [Nes Rar RON Gr [TAPPING FROM NATIONAT STEEL LINE” [TAPPING FROW NATIONAL STEEL 7 va = his BANSIIALE Lines BANSAL 4g. [PAPPING FROM NATIONAL STEEL LINE. [TAPPING FROM NATIONAL STEEL \ im sow JMSAHD NDIA SHIREVAM POWER) [LINEAHS MIDINDIA TAPPING FROM TOS-13-018 PORWAT—[TAPAING FROM IDS-T MOS FORWAT 5 " 8 lauto |AuTO. 4 044 2007 JrAPPING FROM IDS-13 WS FICHER [TAPPING FROM TDS 1S-N0S OEE $4 Motors: [MOTORS az st = TOP FROM FICHER LINENS FORCE Tor TRO EICTER NENTS FORCE 2 $5 Motors. IMOTORS | = ow 2007) Gp [TOP FROM ECHER UNENIS RANATAN [TOP FROM HCHLRTNENS 7 - cor LOBAL leaiRATAN GLORAL 7 Gp [raPonG FROM DEWASNOS TR TAPPING FROM DE WASMIS TR 7 te = HONSON Liioxson &_foerowkionson uns roca [OR OWMRTOSONTRENS |, [9 7 FOP FROM 16 IA nPeL-WS AVANTIKA froP FROM 16" DIA HPL-MiS ; = iAS. JAVANTIKA GAS ” am -— wo PAPPRGERTENDED ROW RISARMIS [TAPPING EXTENDED FROM KESAR |, a oe [ravesa statis IMs TANEIA STEELS 2 Page 2 NEDiameter | Length | Year of ‘S.No. Pipeline Segment Name of Pipeline Section psec rs Goch) | Gam) | Commissioning 11 hacon-pmiaweun oer.) Lacon raweur ant) | son oor 7a [PSPNGRROM TORT OFTAL-Nas —_TAPPRNG FROMTORTOPIPRL-NIS | —y ms = ct, UA est 73 fuocsrevan rower) r0 exo ra,_oDestevamroweRTocwowa| 9 | o2e nots 7 ARTA hark ro [a Ta 25 AUR AURA Pakow- RAKSHA ES Tam 7 WAP AURA RAKSHAKER? ss is 7 AU: AAL IER -AURAIA aC To 2 WAPORNIT VOAIpoR co 1a 7» _unipur-cot cxastaTon luaiuR-act exa STATION 4 2s 2o10 [AURA “TACT INURATA- SCENT [as ar $1 [RuRa-sAcNSTPE SACHENDI- MAURWAT | es7 13 #2 ]AURNA-TAGDSTPUT INAURWAN=TAGDISTOR [98 TSE 19 faurain-sacuenoi van [AURAIA-sacHENDISY.2 a | sais 2o1s i [OTAPOR-PaTA [DBIVAPURCPATA [as ca 15 Pata BTV APC PATA-DIBIVAPUR [ss ca $6 [DIaVarURN The DBITAPOR iavaruRnTrC DBTTAPOR [38 7 37 [DIIVAPURGAT- GAS DDuIVAPURSUATL GAS — ort i [SACHEND RCL IsxcnENDT- cL apo 20 15 SACHENDT-KANPTR EXcHENDT-RANPOR +s 2006 S0_—MAURAWATETOERROW INAUIEAWAWE LUCKNOW oe aot 1 LENE TOLPOR FRULENDEsTOLPU wer Soot 22 pacosnue ime loe.-om 2 | in ams 3_ hese ion =a Pr BE Sa fAcDISHPUR EME IPE RL TOPTOFARED 1-0 301s 5 JPROLA KS PirnorA esr [05s 195 96 [5-1 CHOURARERRRETLY CoS BV1 CHOURARTDARETEY COS ¢ 2008 97 ]WURTUR- DADRI (GREP) [WOATUR-cnTTaRA VT ir 2 |VUAIPUR-DaDw GRE fora - BORDA ar ir 25 AWPU: DADRICGRER URDIA-SoNF A GERI se 197 100 ]WIATUR: ADH GRE SONFRAGUUA“nAIIERR zee 137 ToT [ATOR DADE a HERA JATAULL oT 1397 Ta [WOAIPOR-DADRT( GREP iRTAUIT- BADR el 1387 T1[WUATPOR DADRT{VDPLt UAWUR-KULVARR ae 2am Tot VoAIPUR-DADHTVDPLY IRULVARARATARAS ae [an 10 165 WOAIPOR-DADATWDPL} IEATARAS- WATT a] sa9 0 ios |WATPUR= ADRTTVDPLY fata cis apse at ToT [VORIPUR-DADRTVDRCT eTAINSA = DADRY ae 2210 iOS JEAIARAS- MALANPUR ID) ———KATLARAS- MAL ANDO [mss ioe Top [BAIR Ac [EAITRA GR [87 ToT 110 foams acra pastrncien wn | as mn TI [RGR ROEABAD SGRAROAARAD 735 aa Ta JRGRATROZABAD Inoka razanaD. 7s 1ST Ta JALSUR MATRA favroR wari es i Tie RAT DOL POR [aATNPOR DHOLROR i 207 is faanmone-owauior [baNMORE-GwALIOR we [us ot 116 foanworr-owation OR GRMOREGWALION- AGL || 9g oi 1 RCARPOR CAD IMALANSURCCRORURY 7 05 THE NALANFUR-CADBURY IExDAURY TOP TOURER H oF anDiameter | Length | Year of S.No. Pipeline Segment Name of Pipeline Section eee a (inch) (km) Commissioning 119_Juatanun-cabauny lcaooury rt ror ro 30 AOR STORED IRARANPUR-KASFUR (RRR) eae 2 a1 bvaa-simreNeRoy MURADABAD —|svata-srrienenay wurapasap | 8 2site 2o12 TE RASTIPUR- RUDRAPOR IRASHPUR-RUDRAPOR 7a Fan IRASHIPUR RT-SURYA ROSIN leasine ; 5 213 WURPIPELINE NETWORK [RASHTPUR RTS 2 | 6002 2012 ae pas , ISURYA ROSHINI PLTOFTO 7 JKASIPURMPELINEWETWoRK —__ RURYA ROSHNI PL TOR a 2012 215 |KASHIPUR PIPELINE NETWORK. ————— ae 8 0274 2012 howe 216 |KASHIPUR PIPELINE NETWORK. _—— 2 0817 2012 owen 217 |RUDRAPUR PIPELINE NETWORK Ror UR BAIAI AUTO S'S 5Km & 8 9047 2014 JRUDRAPURPIPELINENETWORK [BAIALAUTOPLTOP ToPRL-puxts| 4 | oa 2018 7 _|RUDRAPUR PPELINE NETWORK [BAJA AUTO METAL MAN i ral if 220 JRUDRAPURIPELINENETWORK [METAL MANTOPPLTOENDURANCE] —¢—o17T 2o1e 721 fRUDRAPURPIPELINENETWORK METAL MAN TOP PL NEEL AUTO + [oon ou IETAL WAN TOP MANDA 222 [RUDRAPURPIPELINENETWoRK METAL NANT. a | eas er 223 |RUDRAPUR PIPELINE NETWORK eee 4 0.031 2014 ADVE PUR PIPGLING NETWORK TOF (RT RUDRAPUR-EAIATAUTON” |p 5 “as fauorarun rs roe cer RUDRA 056 018 225 |KOTACHMTTAURGARHINETWORK —[KOTA(IAVANOHIRA)-BUAULIVA | 16 0 2017 5 IRUAULIVA~RANDARGTA 226. |xoracurrraurcaRnNerwonk PAULA. KA v6 8 207 2a7_|eoracuurraunaanu network |kanDA-biLiva cHITTaURGaRty | 12 ® 2017 Page 6Annexure B Consideration of Economic Life of Natural Gas Pipelines as 30 years from the current 25 years At present, under the extant provisions of PNGRB (Determination of Natural Gas Pipeline Tariff) Regulations, 2008, Economic Life of a Natural Gas Pipeline is being considered as 25 years from the date of commissioning of the pipeline for computation of transportation tariffs However, Schedule II of Companies Act, 2013, provides for considering the Useful Life of Pipelines as 30 years. In line with the same, GAIL is already following the depreciation rate considering the usefull life of pipelines as 30 years in the books of accounts. There is an emerging view that, for the purpose of computation of tariff also, there are merits in considering the Economic Life of Natural Gas Pipelines as 30 years, in alignment with the said Useful Life of Pipelines. Earlier, in pre-PNGRB period also, Tariff Commission had considered the Economic Life for the purpose of arriving at net fixed assets of pipelines as 30 years. In this regard, a wider stakeholder consultation process may be necessary, and accordingly, if deemed fit to change the economic life as 30 years for the purpose of tariff computation of all pipelines coming under PNGRB regulatory purview, then suitable amendments may have to be introduced in the extant PNGRB regulatory framework. Till then, in accordance with the extant notified regulatory provisions, let the transportation tariff be determined for all the natural gas pipelines by considering the economic life as 25 years, with the provision that, at the end of 25 years, PNGRB may suitably extend it as the Board may deem it fit at that point in time. ieee 3Annexure-C Modification For Enhancing Operational Efficiency _and Improving Flexibility _of Operations in the HVJ Natural Gas Pipeline System HVJ Pipeline system transports natural gas from Hazira to Vijaipur, and thereafter, to various units downstream of Vijaipur, viz., Auraiya, Dadri etc. In the Hazira to Vijaipur section, the HVJ pipeline system has compressor stations at Hazira, Vaghodia, Jhabua, Khera and Vijaipur for boosting / re-boosting the gas pressure at various points to transport the gas up to Vijaipur and beyond. Also, between Haziara and Vijaipur, the system comprises three trunk lines, i.e., 36” dia Hazira-Vijaipur section and the two DVPL. pipelines (i.e., 42”DVPL-I and the 48°DVPL-II which run in parallel to the 36”H1VJ from Vemar to Vijaipur) for carrying the gas available from Hazira, Dahej and Ankot to Vijaipur. At present, in the normal course of operation, all the compressor stations on 36”HVI pipeline remain in operation to handle the available volume of natural gas from Hazira to Vajiapur and DVPL pipelines are not fully utilized and they can handle more gas flows through them up to Vijaipur. Hence it is found prudent to utilize the higher capacity in these DVPL pipelines so that the injected gas from Hazira, Dahej and Ankot can be more economically transported up to \Vijaipur without running some compressors in 36”HVJ pipeline at Shabua and Khera. ‘Therefore necessary modifications are being undertaken under the subject project to enhance operational flexibility between the HVJ and DVPL pipelines. The said modification project is undertaken to potentially save up to 0.34 MMSCMD of compressor fuel, by re-routing some gas through the said DVPL pipelines and by avoiding running of some compressors at Jhabua and Khera. Thus the subject modification project would lead to optimization of running compressors in the system. Also, the modification project would help in maintaining uninterrupted gas flow to customers during occasional downtime of any one of the pipelines. Extant PNGRB Tariff Regulations also provide for consideration of cost incurred in improvement/modifications. Keeping in view, the modification project is being undertaken for the benefit of all the gas suppliers, shippers and consumers of the HVJ pipeline system, it is submitted that the entailed capex in this regard may kindly be considered in the tariff determination. ayo