Indian Oil Corporation will conduct a techno-economical survey to know areas that need natural gas but the state will have to wait for compressed natural gas (CNG) and piped natural gas (PNG).
The survey, which is expected to start by this week, will be carried out in anticipation of natural gas availability after completion of the Jagdishpur-Haldia gas pipeline project. But the Rs 7,600-crore project awarded to GAIL in 2007 is likely to be commissioned by 2018 after which bids would be placed to lay secondary pipelines.
"Though natural gas will help Bihar in many ways, the wait is long," said A.K. Singh, an industrialist in Patna. "The pipeline project has been delayed for years. Even after its completion, the bidding process and laying of more pipelines, connecting the industrial areas and cities, will take a long time."
The Indian Oil Corporation signed a memorandum of understanding (MoU) with the industries department on Tuesday to carry out the survey. "The Jagdishpur-Haldia pipeline project is on track," R.K. Tiku, executive director (gas infrastructure), IOCL, told The Telegraph. "It is expected to be complete by early 2018. Once it is done, IOCL will set up pipelines connected to the main line to provide people natural gas."
He added: "The MoU has been signed to get access to information about the government's focus areas and industrial hubs so that natural gas can be supplied to these places."
Tiku and Ravindra Prasad, director (technical development), industries, signed the document on behalf of IOCL and the state government respectively.
The IOCL official said once the pipeline is ready, the company will place a bid to set up spur lines (a network of secondary pipelines) which will pass through different areas of Bihar, including Patna, supplying people with compressed natural gas and piped natural gas.
The Jagdishpur-Haldia pipeline is 2,050km long. Of it, 621km will pass through Gaya, Rohtas, Aurangabad and Kaimur districts.
Industries minister Jai Kumar Singh said apart from providing piped natural gas to households in Patna, Muzaffarpur, Gaya and other major cities, the focus was to provide natural gas to the state's industrial hubs.
"This will take some time but the government is focused on providing natural gas in the industrial areas of the state," Singh said. "With natural gas coming to industrial hubs, investments will increase."
The industries department had signed a similar MoU with GAIL in 2013 for use of the pipeline in Bihar for natural gas.
Naveen Verma, the then principal secretary of the department, had said a branch would be used for piped gas distribution in towns, connecting Patna and some other districts based on economic utility and feasibility.