Date: 2022-11-18Category: Extra OrdinaryState: Union GovernmentCountry: India
In exercise of the powers conferred by clause t of sub section 2 of section 61, read with clauses a and e of section 11 and section 22 of the Petroleum and Natural Gas Regulatory Board Act, 2006 (19 of 2006) and paragraph 14 of the Policy for Development of Natural Gas Pipeline
## Report on Petroleum and Natural Gas Regulatory Board (PNGRB) Amendment
**1. Executive Summary:**
This report analyzes the "Petroleum and Natural Gas Regulatory Board Determination of Natural Gas Pipeline Tariff Second Amendment Regulations, 2022" based on the provided official gazette notification. This amendment modifies the 2008 regulations concerning natural gas pipeline tariffs. The core purpose of these amendments is to refine the tariff structure for natural gas pipelines, specifically by introducing a third tariff zone and updating related definitions and schedules. Key findings include the redefinition of tariff zones, adjustments to tariff calculations, and the inclusion of additional pipeline systems under specific regulations.
**2. Introduction:**
This report provides an informative analysis of the Petroleum and Natural Gas Regulatory Board (PNGRB) Determination of Natural Gas Pipeline Tariff Second Amendment Regulations, 2022 (hereafter referred to as "the Amendment"). The analysis is based solely on the text provided in the official gazette notification and aims to inform the affected industry about the key changes introduced.
**3. Policy Overview:**
* **Original Policy Being Amended:** Petroleum and Natural Gas Regulatory Board Determination of Natural Gas Pipeline Tariff Regulations, 2008.
* **Core Objective(s) (Inferred from Text):** The core objective of the original policy, and by extension the Amendment, is to regulate and determine the tariffs for natural gas pipelines in India, likely to ensure fair pricing and promote the development of a National Gas Grid. The amendment focuses on refining the existing tariff structure to potentially optimize gas distribution and pricing across the country.
**4. Background and Rationale:**
The provided text suggests that the rationale for this amendment is to further refine the existing tariff structure for natural gas pipelines. The introduction of a "third tariff zone" implies a need to account for the varying distances and associated costs of gas transmission across the national gas grid. This suggests the PNGRB aims to create a more nuanced and potentially equitable tariff system that considers the length of pipelines beyond the initial and second tariff zones. The inclusion of additional pipeline systems into Schedule C also suggests an ongoing effort to expand regulatory oversight.
**5. Key Provisions / Changes:**
This Amendment introduces several key changes to the 2008 regulations:
* **Regulation 2(a):** Modifies the definition of tariff zones by:
* Omitting "or" from the first clause.
* Substituting the definition of the second tariff zone. The new definition now explicitly refers to a "unified tariff" zone with a length of "more than three hundred kilometers and upto twelve hundred kilometers on either side of the first tariff zone of national gas grid system".
* Inserting a new "third tariff zone" definition, which covers "the remaining length of the national gas grid system on either side of second tariff zone for unified tariff."
* **Effect:** This change creates a more granular tariff structure, differentiating pipeline segments based on distance from the first tariff zone. It introduces a specific unified tariff structure for the second zone and clarifies that the third zone encompasses everything beyond.
* **Regulation 5A(4)(i):** Substitutes the phrase "commencement of...Amendment Regulations, 2020" with "notification of this para."
* **Effect:** This change likely simplifies the referencing of the effective date of a specific paragraph, aligning it with the date of the notification.
* **Schedule B:**
* Subpara 5(A)(1)(iii): Substitutes the phrase "commencement of...Amendment Regulations, 2020" with "notification of this para." Similar to Regulation 5A(4)(i), likely simplifies referencing the effective date.
* Para 6 (Notes): Changes “two” to “three” and “40” to “45”. Introduces a clause stating "of tariff of second tariff zone, and tariff for the second tariff zone shall be 75 of the tariff for third tariff zone".
* **Effect:** The numerical changes to "two" and "40" lack immediate context in the provided excerpt and their effects are unknown. The inserted clause dictates the tariff relationship between the second and third zones. It establishes that the tariff for the second zone is 75% of the tariff for the third zone.
* **Schedule C:** Adds new pipeline systems to the list of those covered under the regulations:
* Includes "KG Basin Natural Gas Pipeline, Baroda Sub Network of Gujarat Regional, Mumbai Regional a Uran Thal Usar Sub Network, b Trombay Sub Network" after "DabholBangalore Natural Gas Pipeline".
* Includes "GSPLs Low Pressure Gujarat Gas Grid" after "GSPLs High Pressure Gujarat Gas Grid".
* Adds new entries for "Oil and Natural Gas Corporation Uran Trombay Natural Gas Pipeline System Limited" and "Gujarat Gas Limited Hazira Ankleshwar Natural Gas Pipeline System".
* **Effect:** Expands the scope of the regulations to encompass these newly listed pipelines and entities.
**6. Target Audience and Stakeholders:**
Based on the provided text, the primary target audience and stakeholders include:
* **Petroleum and Natural Gas Regulatory Board (PNGRB):** The implementing and regulatory body.
* **Natural Gas Pipeline Operators:** Companies involved in the transmission of natural gas through pipelines, especially those operating pipelines that fall within the defined tariff zones (e.g., GAIL, GSPL, ONGC, Gujarat Gas Limited).
* **Natural Gas Consumers:** Indirectly affected by changes in pipeline tariffs.
* **Gas Distribution Companies:** Companies purchasing gas from pipelines for distribution.
**7. Implementation Aspects (Inferred):**
* **Responsible Agency:** The Petroleum and Natural Gas Regulatory Board (PNGRB) is responsible for implementing and enforcing these regulations.
* **Timelines:** The Amendment comes into force on a date to be notified by the Board in the Official Gazette (as per clause 2). No other specific timelines are mentioned in the provided excerpt.
* The amendment requires pipeline operators to adapt their tariff structures and billing practices in accordance with the new tariff zone definitions and the specified tariff relationship between the second and third zones.
**8. Expected Outcomes / Impact of Changes:**
The likely intended outcomes of these amendments include:
* **More refined tariff structure:** The introduction of a third tariff zone and the redefinition of existing zones are intended to create a more precise and equitable tariff system.
* **Wider Regulatory Scope:** The inclusion of additional pipeline systems under Schedule C indicates a broader scope of regulatory oversight by the PNGRB.
* **Potentially More Accurate Pricing:** By differentiating tariffs based on distance, the amendment may lead to more accurate pricing that reflects the actual cost of gas transmission.
* The new tariff ratios between the second and third zones are aimed at balancing the cost burden and promoting fair pricing throughout the gas grid.
**9. Conclusion:**
The Petroleum and Natural Gas Regulatory Board Determination of Natural Gas Pipeline Tariff Second Amendment Regulations, 2022, represents a refinement of the existing regulatory framework for natural gas pipelines in India. The introduction of a third tariff zone, along with the redefined second tariff zone and the inclusion of new pipeline systems, suggests a move towards a more granular and comprehensive approach to tariff determination. These changes are likely to impact pipeline operators by requiring adjustments to their tariff structures. This amendment is significant as it reflects the ongoing development and regulation of the National Gas Grid, aiming to ensure fair pricing and efficient gas distribution across the country.
Key Entities Referenced
Petroleum and Natural Gas Regulatory Board: A regulatory body in India responsible for regulating the petroleum and natural gas sector.
Petroleum and Natural Gas Regulatory Board Act, 2006: The act of the Indian Parliament that established the Petroleum and Natural Gas Regulatory Board.
Policy for Development of Natural Gas Pipelines and City or Local Natural Gas Distribution Networks: A policy of the Government of India related to the development of natural gas infrastructure.
Gazette of India: The official gazette of the Government of India, where government notifications and regulations are published.
National Gas Grid: A planned network of natural gas pipelines across India.
Petroleum and Natural Gas Regulatory Board Determination of Natural Gas Pipeline Tariff Regulations, 2008: Regulations established by the Petroleum and Natural Gas Regulatory Board concerning the determination of tariffs for natural gas pipelines.
Petroleum and Natural Gas Regulatory Board Determination of Natural Gas Pipeline Tariff Second Amendment Regulations, 2022: Amendments to the existing tariff regulations for natural gas pipelines.
DabholBangalore Natural Gas Pipeline: A natural gas pipeline between Dabhol, Maharashtra and Bangalore, Karnataka.
KG Basin Natural Gas Pipeline: A natural gas pipeline in the Krishna Godavari Basin region.
Gujarat Regional: Refers to a region in Gujarat, India related to sub-networks.
Baroda Sub Network: A sub-network within the Gujarat Regional gas distribution network, located in Baroda (Vadodara), Gujarat.
Mumbai Regional: Refers to a region in Mumbai, Maharashtra, India related to sub-networks.
Uran Thal Usar Sub Network: A sub-network in the Mumbai region, specifically in Uran, Thal, and Usar.
Trombay Sub Network: A sub-network in the Mumbai region, specifically in Trombay.
GSPLs High Pressure Gujarat Gas Grid: A high-pressure gas grid operated by Gujarat State Petronet Limited (GSPL) in Gujarat.
GSPLs Low Pressure Gujarat Gas Grid: A low-pressure gas grid operated by Gujarat State Petronet Limited (GSPL) in Gujarat.
Oil and Natural Gas Corporation: A Public Sector Undertaking (PSU) of the Government of India.
Uran Trombay Natural Gas Pipeline System Limited: A company operating a natural gas pipeline system between Uran and Trombay.
Gujarat Gas Limited: A gas distribution company operating in Gujarat.
Hazira Ankleshwar Natural Gas Pipeline System: A natural gas pipeline system between Hazira and Ankleshwar in Gujarat.
Anil Kumar Garg: Jt. Adviser Admin
New Delhi: The capital of India.
रजजस्ट्री स.ं डी.एल.- 33004/99 REGD. No. D. L.-33004/99
xxxGIDHxxx
सी.जी.-डी.एxलxx.-GअID.-E1x9xx1 12022-240430
CG-DL-E-19112022-240430
असाधारण
EXTRAORDINARY
भाग III—खण् ड 4
PART III—Section 4
प्राजधकार स ेप्रकाजित
PUBLISHED BY AUTHORITY
स.ं 594] नई ददल्ली, िुक्रिार, निम्ब र 18, 2022/कार्ततक 27, 1944
No. 594] NEW DELHI, FRIDAY, NOVEMBER 18, 2022/KARTIKA 27, 1944
परे ोजलयम और प्राकृजतक गसै जिजनयामक बोडड
अजधसचू ना
नई ददल्ली, 18 निम् बर, 2022
फा.स.ं पीएनजीआरबी/िाजण./2-एनजीपीएल/टैररफ (3)/2019 खडं -IV (पी-4121).—पेरोजलयम और
प्राकृजतक गैस जनयामक बोड ड अजधजनयम, 2006 (2006 का 19) की धारा 11 और धारा 22 के खडं (क) और (ड़) और
भारत के राजपत्र, असाधारण, भाग-I खंड 1 म ें फा.सं. एल-12022/1/03-जीपी (भाग II) में ददनांक 20.12.2006 को
अजधसूजचत भारत सरकार के प्राकृजतक गैस पाइपलाइनों और नगर या स्ट्थानीय प्राकृजतक गैस जितरण नेटिकड के जिकास के
जलए नीजत के अनच्ु छेद14 के साथ परठत धारा 61 की उप-धारा (2) के खंड (न) द्वारा प्रदत्त िजियों का प्रयोग करत े हुए
राष्ट्रीय गैस जिड के जनमाडण को सुजिधाजनक बनाने के जलए, पेरोजलयम और प्राकृजतक गसै जिजनयामक बोडड एतद्द्वारा
पेरोजलयम और प्राकृजतक गैस जनयामक बोडड (प्राकृजतक गैस पाइपलाइन टैररफ का जनधाडरण) जिजनयम, 2008 में संिोधन
करने के जलए जनम्नजलजखत जिजनयम बनाता ह,ै अथाडत्: –
1.लघ ुिीर्कड और प्रारंभ
(1) इन जिजनयमों को पेरोजलयम और प्राकृजतक गैस जिजनयामक बोडड (प्राकृजतक गैस पाइपलाइन टैररफ का जनधाडरण) दसू रा
संिोधन जिजनयम, 2022 कहा जाएगा।
(2) ये जिजनयम बोड डद्वारा राजपत्र में अजधसूचना द्वारा जनयत दकए गए ददन से लाग ुहोंग े।
2. पेरोजलयम और प्राकृजतक गसै जिजनयामक बोडड (प्राकृजतक गैस पाइपलाइन टैररफ का जनधाडरण) जिजनयम, 2008 म,ें -
क. जिजनयम 2 म,ें उप-जिजनयम (1) म,ें -
(i) खंड (ञ) के जलए-
(क) उपखडं (i) म,ें 'और' िब्द का लोप दकया जाएगा;
(ख) उपखडं (ii) को जनम्न जलजखत से प्रजतस्ट् थाजपत दकया जाएगा, अथातड ् :-
"राष्ट्रीय गैस जिड प्रणाली के पहले टैररफ जोन के दोनों ओर तीन सौ दकलोमीटर से अजधक और बारह सौ दकलोमीटर तक
की लंबाई के एकीकृत टैररफ के जलए दसू रा टैररफ जोन, या"
7699 GI/2022 (1)2 THE GAZETTE OF INDIA : EXTRAORDINARY [PART III—SEC.4]
(ग) उपखण्ड (ii) के पश्चात् जनम्नजलजखत खण्ड जोड़ा जाएगा, अथाडत-् -
“(iii) एकीकृत टैररफ के दसू रे टैररफ जोन के दोनों ओर राष्ट्रीय गसै जिड जसस्ट् टम की िर्े लंबाई एकीकृत टैररफ का तीसरा
टैररफ जोन ह;ै”
ख. जिजनयम 5क के उप-जिजनयमन (4) म,ें -
(i) "के प्रारंभ ..." स ेिुरू होने िाले िब्दों और "..... संिोधन जिजनयम, 2020" से समाप् त होने िाल ेिब् दों को जनम्नजलजखत
से प्रजतस्ट् थाजपत दकया जाएगा अथाडत ् : –
"इस परै ा की अजधसूचना".
ग. अनुसूची ख म,ें -
(i) भाग क के परै ा 5 के उप-पैरा (1) में प्ि ाइंट (i) और (iii) में " का प्रारंभ " से प्रारंभ होने और "संिोधन जिजनयम,
2020" के साथ समाप्त होन े िाले िब्दों को जनम्नजलजखत से प्रजतस्ट् थाजपत दकया जाएगा : -
"इस परै ा की अजधसूचना".
(ii) पैरा 6 म ें "नोट्स" के िीर्ड के तहत प् िांइट (ii) के जलए,
(घ) िब्द "दो" को िब्द "तीन" से प्रजतस्ट् थाजपत दकया जाएगा;
(ड़) "40%" िब्द को "45%" िब्द से प्रजतस्ट्थाजपत दकया जाएगा
(च) अंत म,ें “दसू रे प्रिल्ु क जोन के जलए टैररफ तीसरे टैररफ जोन के जलए टैररफ का 75% होगा” िब्दों को जोड़ा जाएगा ।
(iii) भाग ख म,ें "के प्रारंभ..." से िुरू होने िाल ेऔर "संिोधन जिजनयम, 2020" के साथ समाप्त होने िाल ेिब्दों को
जनम्नजलजखत िब्दों स ेप्रजतस्ट्थ ाजपत दकया जाएगा , अथाडत ् :-
"इस परै ा की अजधसूचना".
घ. अनुसूची ग म,ें -
(iv) क्रम संख्या 1 म ें पाइपलाइन नाम के िीर् ड के तहत दाभोल-बंगलौर प्राकृजतक गैस
पाइपलाइन िब्दों के पश्चात ्जनम्नजलजखत िब्द जोड़े जाएंगे-
"केजी बेजसन प्राकृजतक गैस पाइपलाइन, गुजरात ररजनल का बड़ौदा उप नेटिकड, मुंबई ररजनल
ग) उरणथल उसर उप नेटिकड,
घ) रॉम्बे उप नेटिकड, "
(v) क्रम संख्या 4 में पाइपलाइन नाम के िीर् ड के तहत ‘’जीएसपीएल के उच् च दाब गुजरात
गैस जिड’’ के पश्चात ्‘’जीएसपीएल का जनम्न दाब गुजरात गैस जिड’’ िब्द जोड़े जाएग ें;
(vi) क्रम संख्या 7 के पश्चात ्जनम्नजलजखत जोड़ा जाएगा, -
क्र.सं. प्राजधकृत कंपनी पाइपलाइन का नाम
8 तेल और प्राकृजतक गैस जनगम जलजमटेड उरण रॉम्बे प्राकृजतक गैस पाइपलाइन प्रणाली
9 गुजरात गैस जलजमटेड हजीरा अंकलश्वे र प्राकृजतक गैस पाइपलाइन प्रणाली
अजनल कुमार गगड , संयुक् त सलाहकार (प्रिा.)
[जिज्ञापन-III/4/असा./416/2022-23]
पाद रटप्प णी : मलू जिजनयम भारत के राजपत्र (असाधारण) म ें 807(अ.), 20 निंबर, 2008 को प्रकाजित हुआ था और
इसमें जी.एस.आर. 986(अ.), ददनांक 20 ददसंबर, 2010, फा.सं. पीएनजीआरबी/एम(सी)/11/अंजतम टैररफ फाइललग,
ददनांक 30 मई, 2012, पीएस/ सजचि/एम(सी)/ 2012, ददनांक 13 जसतंबर, 2012, फा.सं. पीएनजीआरबी/
एम(सी)/48, ददनांक 17 फरिरी, 2014, फा.सं. पीएनजीआरबी/एम(सी)/100, ददनांक 27 फरिरी, 2014, फा.सं.
एल जिजिध/VI/I/20017, ददनांक 01 जनिरी, 2015, पीएनजीआरबी/एम(सी)/110, ददनांक 08 जनिरी, 2016,
फा.सं. पीएनजीआरबी/सीओएम/2-एनजीपीएल टैररफ (3)/2019, ददनांक 27 मई, 2019, फा.सं.
पीएनजीआरबी/सीओएम/2- एनजीपीएल/ टैररफ (3)/2019 खंड-II, ददनांक 27 माच,ड 2020 और फा.सं.
पीएनजीआरबी/िाजण./2- एनजीपीएल/टैररफ(3)/2014 खंड-IV (भाग-1) (पी-1439) 23 निम्बर 2020 और फा.स.ं[भाग III—खण् ड 4] भारत का राजपत्र : असाधारण 3
पीएनजीआरबी/िाजण./2-एनजीपीएल/टैररफ (3)/2019 खडं -IV (पी-4121) ददनाकं 17 निम्बर 2022 द्वारा संिोजधत
दकये गये थे।
PETROLEUM AND NATURAL GAS REGULATORY BOARD
NOTIFICATION
New Delhi, the 18th, November, 2022
F. No. PNGRB/COM/2-NGPL/Tariff (3) /2019 Vol-IV (P-4121).—In exercise of the powers conferred by
clause (t) of sub-section (2) of section 61, read with clauses (a) and (e) of section 11 and section 22 of the Petroleum
and Natural Gas Regulatory Board Act, 2006 (19 of 2006) and paragraph 14 of the Policy for Development of Natural
Gas Pipelines and City or Local Natural Gas Distribution Networks of the Government of India notified on
20.12.2006 in the Gazette of India, Extraordinary, Part-I Section 1 with F. No. L-12022/1/03-GP (Pt. II) to facilitate
the creation of a National Gas Grid, the Petroleum and Natural Gas Regulatory Board hereby makes the following
regulations further to amend Petroleum and Natural Gas Regulatory Board (Determination of Natural Gas Pipeline
Tariff) Regulations, 2008, namely:-
1. Short title and commencement.
(1) These regulations may be called the Petroleum and Natural Gas Regulatory Board (Determination of Natural
Gas Pipeline Tariff) Second Amendment Regulations, 2022.
(2) They shall come into force on such day as the Board may, by notification in the Official Gazette, appoint.
2. In Petroleum and Natural Gas Regulatory Board (Determination of Natural Gas Pipeline Tariff) Regulations,
2008, —
a. in regulation 2, in sub-regulation (1), —
(i) for the clause (j),-
(a) in sub-clause (i), the word „or‟, shall be omitted;
(b) for sub-clause (ii), the following clause shall be substituted, namely: —
“second tariff zone for unified tariff of a length of more than three hundred kilometers and upto twelve
hundred kilometers on either side of the first tariff zone of national gas grid system, or”
(c) after, sub-clause (ii), the following clause, shall be inserted, namely,-
“(iii) third tariff zone for unified tariff being the remaining length of the national gas grid system on either
side of second tariff zone for unified tariff;”
b. In sub-regulation (4) of regulation 5A, -
(i) for words beginning with “commencement of….” and ending with “…..Amendment Regulations, 2020”,
shall be substituted by the following namely: —
“notification of this para”.
c. In Schedule B , —
(i) in sub-para (1) of para 5 of Part A, for point (i) & (iii) for words beginning with “commencement of…..”
and ending with “….Amendment Regulations, 2020”, shall be substituted by the following namely: —
“notification of this para”.
(ii) for point (ii) under the head of “Notes” in para 6,
(a) the word “two”, shall be substituted by the word “three”;
(b) the word “40%”, shall be substituted by the word “45%”
(c) at the end, the words “of tariff of second tariff zone”, “and tariff for the second tariff zone shall
be 75% of the tariff for third tariff zone”, shall be inserted.
(iii) in Part B, for words beginning with “commencement of…..” and ending with “….Amendment
Regulations, 2020”, shall be substituted by the following namely: —
“notification of this para”.
d. In Schedule C, —4 THE GAZETTE OF INDIA : EXTRAORDINARY [PART III—SEC.4]
(i) in S.No.1 under the head of Pipeline Name, after the words “Dabhol-Bangalore Natural Gas Pipeline", the
following words shall be inserted,-
“KG Basin Natural Gas Pipeline, Baroda Sub Network of Gujarat Regional, Mumbai Regional
a) Uran Thal Usar Sub Network,
b) Trombay Sub Network,”
(ii) in S.No.4 under the head of Pipeline Name, after “GSPL‟s High Pressure Gujarat Gas Grid,", the words
“GSPL‟s Low Pressure Gujarat Gas Grid”, shall be inserted;
(iii) after S.No.7 following shall be inserted,-
S.No. Entity Authorized Pipeline Name
8 Oil and Natural Gas Corporation Uran Trombay Natural Gas Pipeline System
Limited
9 Gujarat Gas Limited Hazira Ankleshwar Natural Gas Pipeline System
ANIL KUMAR GARG, Jt. Adviser (Admin)
[ADVT.-III/4/Exty./416/2022-23]
Foot-note: Principal regulation, were published in the Gazette of India (Extraordinary) vide No. G.S.R. 807(E),
dated the 20th November, 2008 and amended vide G.S.R. 986(E), dated 20th December, 2010, F. No.
PNGRB/M(C)/11/Final Tariff Filing, dated 30th May, 2012, PS/Secy./M(C)/2012, dated 13th September, 2012, F.
No. PNGRB/M(C)/48, dated 17th February, 2014, F. No. PNGRB/M(C)/100, dated 27th February, 2014, F. No. L-
MISC/VI/I/20017, dated 01st January, 2015, PNGRB/M(C)/110, dated 08th January, 2016, F. No.
PNGRB/COM/2-NGPL Tariff (3)/2019, dated 27th May, 2019 and F. No. PNGRB/COM/2- NGPL/Tariff (3)/2019
Vol-II, dated 27th March, 2020and F. No. PNGRB/COM/2-NGPL/Tariff (3)/2014 Vol-IV(Part-1) (P-1439), dated
23rd November, 2020, F. No. PNGRB/COM/2-NGPL/Tariff (3)/2014 Vol-IV(Part-1) (P-1439), dated 23rd
November, 2020 and PNGRB/COM/2-NGPL/Tariff (3) /2019 Vol-IV (P-4121) dated 17th November, 2022.
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