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World’s first CNG terminal at Bhavnagar, Gujarat

Published: 6th Oct, 2022


Prime Minister Narendra Modi laid the foundation stone for the “world’s first CNG (Compressed Natural Gas) terminal” at Bhavnagar in Gujarat recently.


About the Project:

  • This is a three-year-old project that is expected to infuse Rs 4,000 crore into developing the existing port infrastructure at Bhavnagar
  • The idea for the project materialized during the January 2019 Vibrant Gujarat summit when a consortium of London-based Foresight GroupMumbai-based Padmanabh Mafatlal Group, and Rotterdam-based Boskalis signed a Memorandum of Understanding (MoU) with Gujarat Maritime Board (GMB) for development of the CNG terminal.
  • The consortium will invest in developing the north side of the Bhavnagar port under the BOOT (Build, Own, Operate and Transfer) policy of the state government, and state-run GMB will continue to operate the berths on the south side of the port.

About CNG:

  • CNG, also known as compressed natural gas, is an eco-friendly alternative to gasoline.
  • Made by compressing natural gas (methane) down to less than 1% of its volume, CNG fuel is safer than gasoline and diesel because it is non-toxic and does not contaminate groundwater.
  • This natural gas is the same gas that you use daily to heat your home and water, cook on the stove, and even to dry your clothes in a dryer.
  • The use of CNG fuel is becoming more popular with both commercial and non-commercial vehicles.

 Difference between CNG and LPG:



Its primary use is as an alternative for fuel in automobiles.

It has various uses such as heating and cooking in homes. LPG also has industrial and agricultural uses.

The primary component in CNG is methane.

The primary component in LPG is propane and butane.

It produces relatively lower quantities of greenhouse gases (in comparison with LPG).

It produces relatively large amounts of carbon dioxide, a greenhouse gas.

It is relatively safe as it disperses rapidly into the air.

It is highly flammable as it is much heavier than air.

The primary source of obtaining CNG is from oil wells, bed methane wells, coal wells, and even natural gas wells.

The main source of obtaining LPG is from the process of extracting natural gas from reservoirs.

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