Out of overall investment of Rs 10,000 crore, the company proposes to invest about Rs 1,400 crore in the state in the coming three years, GAIL chairman and managing director CR Prasad told reporters here. The public sector company unveiled its proposed programme in the state. Mr Prasad said the company proposes to create a gas grid on the Krishna-Godavari basin, facilitating it to supply piped LPG to the households in association with the state-owned APIIC.

The supply of gas through pipes will cover about 10 towns in East and West godavari districts including, Rajamundary, Amalapuram, Kakinada, Eluru, Bhimavaram, Prasad said.

For the proposed Vizag-Vijayawada pipeline, the company has completed all the formalities and has also submitted tariffs to the ministry of petroleum and the decision is expected in about 15 days time. Termed `vision pipeline', the project is estimated to cost Rs 600 crore and targeted to be complete by mid-2002, he said.

Mr Prasad said the company has proposed to support the `deepam' scheme implemented by the AP government, supplying LP gas to the economically-backward in villages.

Explaining the projects under implementation, Mr Prasad said the company is setting up its seventh LPG recovery plant at Gandhar in Gujarat costing Rs 361 crore. The project is expected to be operational by end-February 2002.Besides, the company is commissioning the world's second longest LPG pipeline from Jamnagar to Loni covering 1,269 kms. The project is estimated to cost Rs 1,230 crore and scheduled to commence operations by end of February, 2001, Mr Prasad added.

GAIL also proposes a LPG pipeline connecting Mangalore-Bangalore-Coimbatore covering about 671kms costing Rs 600 crore. Another pipeline connecting Cochin-Mangalore-Bangalore to evacuate LNG from Cochin LNG terminal is also under consideration, he said.