Odisha Unveils CGD Policy 2026 to Boost Clean Energy Infrastructure Across State

Bhubaneswar: The Odisha government has rolled out the Odisha City Gas Distribution (CGD) Policy, 2026, paving the way for large-scale expansion of Piped Natural Gas (PNG) and City Gas Distribution infrastructure across all districts of the state.

The policy, notified by the Housing and Urban Development Department, seeks to accelerate the adoption of natural gas as a cleaner and environment-friendly fuel across domestic, commercial, industrial and transport sectors.

Officials said the initiative is aligned with the state’s “Viksit Odisha” vision and India’s broader clean energy transition goals. The policy aims to ensure faster rollout of PNG household connections, CNG stations and allied infrastructure through simplified approvals and coordinated implementation mechanisms.

Under the proposed expansion plan, Odisha has already authorised five CGD entities to implement projects covering all 30 districts. Nearly nine lakh domestic PNG connections and 271 CNG stations are planned under the committed work programme, with an estimated investment potential of around ₹5,100 crore.

To streamline implementation, the Housing and Urban Development Department has been designated as the nodal department. A State Level Apex Committee headed by the Chief Secretary and District Level Monitoring Committees chaired by district collectors will oversee project clearances, coordination among departments and progress monitoring.

The policy introduces several reform measures to support rapid infrastructure growth, including single-window clearances, standardised permission charges, GIS-based underground utility mapping and priority land allotment for CNG stations and City Gate Stations.

It also mandates the inclusion of PNG pipeline provisions in building plans and urban master plans to ensure future-ready urban development.

In a major incentive for CGD operators, the state government has waived permission and supervision charges for pipeline laying works till March 31, 2027.

The policy further lays emphasis on safety standards, emergency response systems and uninterrupted supply of PNG and CNG services, which have been categorised as essential services. It also encourages the promotion of Compressed Biogas (CBG) projects in collaboration with urban local bodies.

Officials said the new policy is expected to strengthen Odisha’s clean energy ecosystem, improve urban infrastructure, reduce pollution levels and create substantial employment and investment opportunities across the state.