Question

Explain the role of oil and gas pipelines in the economic development of the country.

Answer 1

Oil and gas pipelines serve as the “energy highways” of the country, playing a pivotal role in its economic development through:

1. Cost-Efficiency and Reliability: Pipelines are the most economical and safe method to transfer petroleum in large quantities. Once built, they have low operating costs and reduce transhipment losses or delays common to road and rail.
2. Industrial Powerhouse: They ensure a continuous supply of raw materials for refineries, fertiliser industries, and thermal power plants. This stability is critical for manufacturing competitiveness and attracting large-scale industrial investment.
3. Energy Security and Transition: As of 2025, India's operational natural gas network will exceed 25,400 kilometres. This infrastructure contributes to the “One Nation, One Gas Grid” concept by lowering imports and facilitating the transition to a gas-based economy.
4. Widespread Access: Pipelines provide 100% City Gas Distribution (CGD) coverage, bringing clean and affordable energy to millions of households while also promoting cleaner mobility.