THEBUSINESSBYTES BUREAU
ROURKELA, MAY 23, 2026
The Steel Authority of India Limited-run Rourkela Steel Plant (RSP) has
signed a Memorandum of Understanding (MoU) with GAIL (India) Limited for the
supply of Piped Natural Gas (PNG) to the steel plant, marking a significant
step towards strengthening energy security, operational efficiency and
sustainable manufacturing practices. The agreement will remain valid for a
period of five years, with provision for further extension.
The MoU signing ceremony, held on May 19, 2026, at the ED (MM) Conference
Room of RSP, was attended by Anil Kumar, ED (MM); T. Vinod, CGM (Marketing); Asha
Kartha, CGM (Utilities & Environment); C. V. Apparao, GM (MM-Purchase);
along with several senior officials of the Plant. The agreement documents were
formally signed by Md. Zafar Khan, CGM (Marketing-Head) of GAIL (India) Limited
and U. K. Bhujabal, GM (Oxygen Plant) of Rourkela Steel Plant. Representatives
from the Energy Management Department and Oxygen Plant were also present during
the occasion.
The agreement is expected to play a crucial role in enhancing the Plant’s
energy resilience by ensuring uninterrupted availability of an alternate and
cleaner fuel source. The introduction of PNG will significantly reduce RSP’s
dependence on propane gas while improving operational reliability and
efficiency in critical production processes.
As part of the initiative, GAIL (India) Limited will also facilitate the
laying of the required pipeline infrastructure for uninterrupted PNG supply to
the Plant. The transition to PNG is expected to deliver several long-term
benefits to RSP, including cleaner fuel utilisation, improved energy
efficiency, reduced carbon emissions and better cost optimisation.
The move towards natural gas is also aligned with the Plant’s broader sustainability goals and green manufacturing initiatives. It will help ensure a stable, reliable and environment-friendly fuel supply for operations, particularly in the Oxygen Plant and other utility areas.
The initiative assumes greater significance in the backdrop of prevailing geo-political uncertainties and the increasing need to reduce dependence on conventional and imported energy sources.
