MUMBAI – GAIL Gas Ltd has entered into an agreement with Energy Efficiency Services Ltd to develop natural gas based co-generation and tri-generation projects in commercial and industrial sectors in India, parent GAIL (India) Ltd said in a press release.
Co-generation is the use of a heat engine or power station to generate electricity and tri-generation is production of electricity, heat, and cooling in one process.
The two companies signed the pact at the INSPIRE 2018 conference. The projects set up by the two will benefit industries such as hotels, hospitals, airports, commercial malls, residential complexes, educational institutions with the advantages of combined heat and power technology.
Energy Efficiency Services will manage equipment at customer locations and GAIL Gas will supply natural gas within the authorised geographical areas, said the document.
GAIL Gas is a city gas distribution company with operations in Dewas, Madhya Pradesh, Kota in Rajasthan, Sonipatin Haryana, Meerut in Uttar Pradesh, Taj Trapezium Zone in Uttar Pradesh and Bengaluru in Karnataka.
The efforts at co-generation will help achieve the target set by government to raise the share of natural gas in the energy mix from current level of 6.5% to 15% by 2020.
The projects will also help GAIL Gas cut down its financial cost and reduce carbon print.
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