A strong backing

Incorporated in 1998 through a joint venture between GAIL, Bharat Petroleum and the Delhi Government, Indraprastha Gas Limited (IGL) is engaged in retail gas distribution business for supply of CNG to transport sector and PNG to domestic, industrial and commercial sectors in Delhi and National Capital Region. It is also engaged in the manufacture of CNG. Currently, IGL has 290 CNG stations, over 3,90,000 residential customers, 922 commercial customers and 401 industrial customers. Strengths A gas purchase agreement with its promoter, GAIL, ensures a constant supply of gas at competitive prices that is essential for the growth of the company. This agreement also ensures priority supply of gas in case of any disruption in supply. * Firm allocation of gas for the region allows IGL to sell CNG at one of the lowest retail price in the country and still protect its margins * The company does not have any competition and enjoys a premium position in the region

This article was originally published on September 06, 2013.