The CGD Project in West Bengal marks a major step in India’s clean energy transition. As part of this initiative, the Hon’ble Prime Minister laid the foundation stone for a ₹1,950 crore City Gas Distribution (CGD) project in the Bankura and Purulia districts of West Bengal on 18 July 2025.

The project aims to improve access to clean, reliable, and affordable energy while supporting environmental sustainability and regional economic growth.

The project aims to improve access to clean, reliable, and affordable energy while supporting environmental sustainability and regional economic growth. As per the Press Information Bureau (PIB), Government of India, the City Gas Distribution project in Alipurduar aims to expand access to clean and affordable natural gas across the region.

Overview of the Bankura & Purulia CGD Project

The CGD project will be implemented by Bharat Petroleum Corporation Limited (BPCL) and covers two key districts of West Bengal—Bankura and Purulia.

Key Project Highlights:

• Total project cost: ₹1,950 crore

• Household PNG connections: 555,999

• Commercial customers: 250+

• Industrial customers: 35+

• CNG stations: 29

• Project completion target: 15 March 2030

The project is being developed in line with the Minimum Work Programme (MWP) authorised by the Petroleum and Natural Gas Regulatory Board (PNGRB).

Infrastructure Development and Scope

The CGD project will involve:

• Laying of steel pipelines to create a robust gas distribution network

• Supplying Piped Natural Gas (PNG) to households, commercial, and industrial consumers

• Establishing CNG stations to promote cleaner vehicular fuel

Once completed, the project will provide a reliable natural gas supply to more than 65 lakh people in the Bankura and Purulia districts.

Environmental and Sustainability Impact

The project aligns strongly with India’s net-zero emission goals and promotes natural gas as a cleaner alternative to conventional fuels such as coal, diesel, and LPG.

Environmental Benefits:

• Estimated 27% reduction in greenhouse gas emissions

• Total emission reduction of 191 thousand metric tonnes (TMT) over 25 years

• Equivalent to planting:

  • 3.46 lakh trees per year

  • 86.8 lakh trees over 25 years

This shift to natural gas will significantly reduce air pollution and improve local air quality in the region.

Employment and Economic Growth

Apart from environmental benefits, the CGD project is expected to:

• Generate over 15 lakh man-days of direct and indirect employment

• Boost local economic activity and skill development

• Support long-term industrial and commercial growth in the region

The availability of clean and cost-effective fuel will also benefit small industries and businesses.

Statement from BPCL Leadership

Speaking on the occasion, Shri Sanjay Khanna, Director (Refineries) and Additional Charge of Chairman & Managing Director, BPCL, stated:

“This project marks a major step forward in our mission to make clean and affordable energy accessible to every corner of India. With the Hon’ble Prime Minister laying the foundation stone today, we are proud to begin this transformative journey in Bankura and Purulia — empowering lives, driving economic development, and contributing to India’s vision of energy independence and environmental stewardship.”

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About Bharat Petroleum Corporation Limited (BPCL)

Bharat Petroleum Corporation Limited is a Fortune Global 500 company and India’s second-largest oil marketing company. BPCL operates across the upstream and downstream oil and gas sectors and holds Maharatna status.

BPCL at a Glance:

• Total refining capacity: 35.3 MMTPA

• Fuel stations: 23,500+

• LPG distributors: 6,200+

• LPG bottling plants: 54

• Aviation service stations: 79

• EV charging stations: 6,500+

BPCL has committed to becoming a Net Zero Energy Company by 2040 (Scope 1 and Scope 2 emissions) and continues to invest in sustainable energy solutions.

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To understand how LNG and LCNG support city gas distribution, check out our detailed coverage on LNG vs CNG vs PNG   

The CGD Project in West Bengal will significantly strengthen PNG and CNG infrastructure while supporting long-term environmental and economic growth

Conclusion

The ₹1,950 crore CGD project in Bankura and Purulia marks a significant milestone in India’s clean energy journey. By expanding access to PNG and CNG, strengthening gas infrastructure, and supporting environmental sustainability, the project will play a key role in improving quality of life and driving regional development in West Bengal.

As India accelerates its transition toward cleaner fuels, such CGD projects underline the importance of natural gas in achieving long-term energy security and climate goals.