Dharmendra Pradhan pushes PSUs to double sourcing of domestic steel pipes

May 22,2020

Dharmendra Pradhan Oil minister on Thursday asked Public Sector Undertaking companies under his ministry to double sourcing of domestic steel pipes to about four lakh tonne, worth an estimated Rs 4,000 crore, for their pipeline projects by the end of the current financial year.

According to Pradhan, Gas utility Gas Authority India Limited (GAIL) is processing line pipe tenders worth more than Rs 1,000 crore needing one lakh tonne of steel by September for domestic bidders to produce 800 km of pipes.

This quantity is projected to double by the end of the current financial year in order to support the campaign 'Made in India' and also to fuel the push towards self-reliance.

Indradhanush Gas Grid Ltd, which is developing city gas networks in the north-east, is handling domestic bidders' tender of more than Rs 950 crore for 73,000 tonnes of steel by July to produce 550 Km of pipes. It is projected to double the quantity by March 2021.

In the southern area, Indian Oil is constructing a 1,450-km long natural gas pipeline project at an approximate cost of Rs 6,025 crore. This project has the capacity to sustain domestic output of about 1.6 lakh tonnes of steel pipes worth Rs 2.060 crore.

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