The Union Government has authorized the amount of Rs 5559 crore for 1656 Km long Indradhanush Natural Gas Pipeline Grid project. The amount will be provided as Viability Gap Funding (VGF). The amount will be used to set up Natural Gas Pipeline Grid connecting 8 North Eastern states. The 8 North Eastern states includes: Assam, Arunachal Pradesh, Meghalaya, Manipur, Mizoram, Nagaland, Tripura and Sikkim. The total expenditure of the project is estimated as Rs 9,256 crore and the above sanctioned amount is expected to cover 60% of the project.
The Indradhanush Gas Grid project is expected to provide natural gas to different types of customers and will also reduce the dependence on liquid fuels.