Nagaland Opens First CNG Station to Cut Fuel Costs

Kohima: Nagaland has officially entered the gas economy. Minister for Power and Parliamentary Affairs KG Kenye opened the state's first Compressed Natural Gas station on October 30. The facility sits on Dimapur Bypass Road at The Niathu Zone in Chümoukedima.

HPOIL Gas Private Limited developed the site. This firm is a joint venture between Hindustan Petroleum Corporation Limited and Oil India Limited. They secured authorization from the Petroleum and Natural Gas Regulatory Board on April 19, 2024, to build the network statewide.

S Theiva, project head for HPOIL Gas, says the station provides a needed boost. "CNG offers consumers a cleaner and cheaper fuel alternative, with running costs potentially reduced by around 40%." Theiva expects taxi and auto-rickshaw drivers to benefit most from these savings.

Conversion costs remain a factor. Retrofitting an auto-rickshaw runs about INR 20,000, while cars cost between INR 70,000 and INR 80,000. Drivers should recover these costs in six to seven months. Theiva recommends buying factory-fitted models like the Tata Punch, Maruti Suzuki Victoris, or Toyota Urban Cruiser Taisor.

Supply is coming from Assam. HPOIL Gas and Indradhanush Gas Grid Limited signed a transmission agreement to pipe gas into Dimapur. The company plans to expand the grid into Kohima and other districts soon. While loading has started for a few vehicles, sales remain slow due to a small number of CNG-ready cars on the road. The company also intends to build a City Gate Station to support the wider distribution network.

Updated at 3rd November 2026 at 2:04am

The station launch went down during the North East Energy Summit, Nagaland Energy Chapter. Officials framed the site as a move to spark regional development and create local jobs while pushing the national goal of a gas based economy.

HPOIL Gas aims to push beyond just vehicle fuel. The company intends to roll out Piped Natural Gas for homes, businesses, and industrial sites across the state.

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