The first gas works was built in 1817 by the Manchester Police Commissioners and was situated on Water Street. The gas works was built to supply gas for street lamps and police offices. Official arrangements were created in 1824 with the introduction of the Manchester Gas Act, when Gas Directors were appointed to oversee the work. Other gas works were duly opened, and other privately owned undertakings were also purchased.

On the 24th June 1843 the entire Manchester Gas Undertaking was transferred from the control of the Police Commissioners to Manchester Corporation. The Corporation continued to govern the gas undertaking until 1949 when it became part of North West Gas Board.