Gujarat Gas Limited has officially confirmed that the GSPC Group's Composite Scheme of Arrangement became effective on May 1, 2026, following the filing of e-Form INC-28 with the Registrar of Companies, Ahmedabad. The scheme involves the amalgamation of Gujarat State Petroleum Corporation (GSPC), Gujarat State Petronet Limited (GSPL), and GSPC Energy Limited into Gujarat Gas Limited, alongside the demerger of the gas transmission business into GSPL Transmission Limited (GTL).

Official Regulatory Filing and Compliance

The company has fulfilled all regulatory requirements under Regulation 30 of SEBI Listing Obligations and Disclosure Requirements Regulations, 2015. All companies involved in the composite scheme filed certified copies of the MCA Order along with the scheme documentation through e-Form INC-28 on the effective date. The scheme was sanctioned by the Ministry of Corporate Affairs on April 17, 2026, and received shareholder approval with overwhelming majority support in October 2025.

Corporate Restructuring Framework

Under the approved scheme, three transferor companies have been dissolved without winding up and amalgamated with Gujarat Gas Limited. The Gas Transmission Business Undertaking has been demerged into GSPL Transmission Limited as the resulting company. This restructuring creates a streamlined group holding structure within the GSPC Group while ensuring compliance with regulatory requirements for gas transmission business independence.

Share Exchange and Allotment Details

Gujarat Gas will issue an aggregate of 62,27,14,719 equity shares of ₹2 each to shareholders of GSPC and GSPL. The Record Date for share allotment has been fixed as May 12, 2026, as approved by the board of directors during their meeting on April 29, 2026. GSPC shareholders will receive 10 equity shares of GGL for every 305 equity shares held, while GSPL shareholders will receive 10 equity shares of GGL for every 13 equity shares held.

Business Transformation and Strategic Vision

With the scheme implementation, GGL transforms into a strengthened integrated energy company encompassing Gas Trading, Exploration & Production, and Wind Power Generation businesses alongside its core City Gas Distribution operations. The company will maintain investments in diversified energy businesses including gas-based power generation, LNG Terminal operations, and information technology services. Given the expanded business scope, Gujarat Gas Limited will be renamed Gujarat Energy Limited.

Simultaneously, GTL will operate as a pure-play gas transmission entity with approximately 2800 KMs of gas pipeline network in Gujarat and investments in cross-country pipelines. The Government of Gujarat will hold approximately 38.80% direct shareholding, with total GoG-controlled entities maintaining around 56% holding in both listed entities, while public shareholders will hold the remaining stake.

Gujarat Gas Limited has announced comprehensive support measures to revive Morbi's ceramic industry through assured gas supply and price stability amid recent geopolitical disruptions. The company's strategic intervention addresses critical infrastructure requirements for one of India's key ceramic manufacturing hubs.

Crisis Response and Recovery Initiative

The recent geopolitical crisis led to surge in raw material costs, restrictions on industrial propane usage, and increased freight expenses. These challenges prompted several ceramic units in Morbi to voluntarily suspend operations starting mid-March 2026, affecting the livelihood of more than 2 lakh workers.

Gujarat Gas responded by proactively sourcing natural gas from non-Middle East markets at spot rates to maintain continuous supply in line with Government of India directives. The company's Geographical Area and Corporate teams engaged extensively with industry stakeholders, including the Morbi Ceramic Association, to facilitate restart of operations.

Operational Recovery Metrics

The revival efforts have shown significant positive results. Industrial activity in Morbi has gradually resumed, with substantial improvements in gas consumption and active units.

Future Projections and Support Measures

Gujarat Gas has addressed key industry concerns related to gas availability, pricing, and supply volumes. The company has initiated execution of gas supply agreements with ceramic units, providing operational certainty to manufacturers.

The number of active gas consumers is expected to increase from the current approximately 290 units to approximately 675-700 units. Total gas consumption is projected to reach 6-7 mmscmd in May 2026.

Strategic Commitment

Leveraging its diversified sourcing strategy, Gujarat Gas has assured customers of uninterrupted gas supply along with price certainty for the entire month of May 2026. This commitment has boosted confidence among manufacturers and is expected to accelerate the revival of production across the cluster.

The company is also facilitating PNG connections for employee canteen facilities within manufacturing units, further strengthening the overall ecosystem. The resumption of operations is set to benefit nearly 2 lakh workers who were impacted by the temporary shutdown during the crisis.