GAIL plans joint venture for Vadodara city gas

Chennai: Gail India Ltd has announced that it will form a joint venture company for city gas projects in Vadodara.

The board of directors of the company approved the formation of a joint venture with Vadodara Mahanagar Seva Sadan (VMSS) at a meeting in New Delhi on October 17.

The company will have 25 per cent equity in the proposed venture, while VMSS will have 26 per cent equity.

The remaining 50 per cent equity will be held by strategic investors and the public.

The company's contribution to the joint venture shall be by way of management and technical skills, signing gas sale/purchase agreement and expanding CNG outlets network.

VMSS already supplies gas to domestic and commercial establishments in Vadodara and has an allocation of one lakh SCMD.