Key Insights: City Gas Distribution
Q1. You’ve worked across CGD projects, industrial PNG/CNG marketing, and now entrepreneurship—could you briefly outline the core responsibilities that have defined your career journey so far?
During my 14 years of employment journey in leading City Gas Distribution company, I have handled roles of PNG pipelines projects execution, Operation & Maintenance, Liaisoning with local urban bodies & state government departments, business development & customer acquisition in Industrial, Transport, Commercial & household segments, and contract management, which covers wider aspects of PNG & CNG business.
Q2. When industries evaluate switching from FO, Diesel, or LPG to Natural Gas, what are the real decision drivers that close the deal—cost, reliability, compliance, or operational simplicity?
All four aspects play a role in the customer's mind when deciding to switch to Natural Gas:
Cost - In comparison with FO/HSD/LPG, Natural Gas is competitively priced for the Industrial sector.
Reliability - Pipeline mode of transport is widely accepted as the most efficient & reliable compared to road transport. It also largely reduces the risk of pilferage & contamination.
Compliance - Natural Gas, the cleanest available hydrocarbon fuel, is widely promoted by Pollution Control Bodies at the State & Central Government levels, thereby drastically reducing additional statutory compliance-related requirements for Industrial customers.
Operational simplicity - PNG transported via pipeline is the most convenient way for an Industrial customer to handle fuel on the Industrial premises, as it eliminates the need for loading/unloading, pre-heating & on-site storage.
Q3. From your CGD rollout experience, where do projects most often slow down—statutory clearances, last-mile infrastructure, customer readiness, or internal coordination?
Obtaining statutory clearance and creating last-mile infrastructure are the biggest hurdles slowing the rollout of CGD projects.
Q4. What mistakes do CGD players commonly make when structuring commercial offers for industrial and commercial customers, especially in price-sensitive clusters?
Charging high upfront security deposit costs for PNG connections at times acts as a deterrent for Industrial & Commercial customers from opting for PNG supply.
Q5. In gas infrastructure projects, safety is non-negotiable—but how do operators practically balance speed of execution with long-term safety and customer trust?
Unidentified gas leaks are the biggest hazard for the CGD Industry, and the best way to prevent them is to use materials supplied by reputable companies known for quality rather than selecting solely on lower cost, which many industry experts refer to as the L1 syndrome.
Another is to put in place the right checks & balances during execution to monitor the quality of workmanship provided by your vendors.
After installation, regular preventive maintenance plays a vital role in ensuring reliable & safe operations, which, in turn, helps win customers' trust as a reliable partner for energy needs.
Q6. Having moved from large CGD organizations to building Kaveris Enterprise, what operational or commercial blind spots become visible only when you’re on the execution side as an entrepreneur?
CGD being a manpower-intensive industry, having the right set of trained manpower is crucial for the timely completion of project milestones. Finding the right set of manpower for on-ground execution work is not easy, as there are no formal job portals offering candidates with these skill sets.
Manpower required for on-ground execution work is still largely limited to the unorganised sector and highly dependent on personnel references for finding new jobs/work. Making it even harder for companies to find them when they need them.
Q7. If you were advising an investor or strategic partner evaluating CGD-linked infrastructure or gas-based industrial solutions, what indicators would you prioritize to assess scalability, risk, and long-term returns?
In order to assess scalability, risk & long-term return of gas-based industrial solutions, the following aspects need attention:
The cost of the product, ease of use & adaptability within the existing setup of an Industrial Complex, reliability & shorter maintenance cycles, and fuel efficiency are some of the key factors that will determine the long-term success & wider acceptance.
I hope the above responses will be helpful to anyone interested in learning about the City Gas Distribution Industry.
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