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Giving a fillip to the development of clean fuel ecosystem in Bengaluru, GAIL Gas Limited, and Confidence Petroleum India Limited (CPIL) signed an agreement on Thursday for setting up 100 CNG Stations in Bengaluru.

As part of the agreement, CPIL will set up and operate 100 CNG Stations and associated facilities of GAIL Gas Limited in Bengaluru. The Dealership Agreement is for setting up 100 CNG stations over next three years. The new CNG stations will be located in core areas of city or at CPIL's auto LPG retail outlet sites.

To optimise uptake of CNG and improve accessibility of CNG fuel for Bengalureans, GAIL Gas has been adopting various models of CNG dispensing in the city. GAIL Gas has extended its network through Company Owned Company Operated CNG Station model and CNG Stations at Retail outlets of Oil Marketing Companies. With this agreement, GAIL Gas will increase CNG Stations in the city on Dealership model.

In the current scenario, CNG presents an affordable and environment friendly alternative. The present price of CNG in Bengaluru is Rs. 51.50 per kg. Currently GAIL Gas has installed 55 CNG Stations in the city. Addition of another 100 CNG Stations through this Agreement will develop a strong and convenient network of availability of CNG in the Bengaluru urban and rural district and CNG Sale is expected to increase considerably.

GAIL Gas Limited is a City Gas Distribution company and is wholly owned subsidiary of GAIL (India) Limited. It is implementing City Gas Distribution network in 52 cities and towns across the nation.