Parliament Question: Determination of Rates for CNG and PNG

LOK SABHA UNSTARRED QUESTION No. 2027 TO BE ANSWERED ON 31st July, 2025 DETERMINATION OF RATES FOR CNG AND PNG 2027. SHRI RAHUL KASWAN: पेट(cid:332)ोिलयम और (cid:366)ाकृ ितक गैस मं(cid:361)ी Will the Minister of PETROLEUM AND NATURAL GAS be pleased to state: (a) whether the Government has divided various districts of the country into blocks and given the work of CNG and PNG distribution to private companies and if so, the details thereof in respect of Rajasthan; (b) whether the Government has given the right to private companies to determine the rates of CNG and PNG in their blocks and these companies can sell at the desired rate and if so, the details thereof; (c) whether the work of CNG and PNG distribution has been given to Gesonet Company for Churu district and this company is selling gas at a rate higher than the prescribed rates and if so, the details thereof along with the action taken by the Government in this regard; and (d) whether the Government intends to punish such companies and if so, the details thereof indicating the timeline and if not, the reasons therefor? ANSWER पेट(cid:332)ोिलयम और (cid:366)ाकृ ितक गैस मं(cid:361)ालय म(cid:336) रा(cid:475)मं(cid:361)ी ((cid:373)ी सुरेश गोपी) MINISTER OF STATE IN THE MINISTRY OF PETROLEUM & NATURAL GAS (SHRI SURESH GOPI) (a) to (d) Providing Piped Natural Gas (PNG) connections and establishment of Compressed Natural Gas (CNG) stations are part of development of City Gas Distribution (CGD) Networks and the same is carried out by the entities authorized by the Petroleum and Natural Gas Regulatory Board (PNGRB)as per their Minimum Work Programme (MWP). PNGRB has authorized entities for development of CGD network in 307 Geographical Areas (GAs), covering almost 100% of the mainland areafor the development of CGD network across the country. PNGRB has authorized 17 GAs including (2 GAs spread over Madhya Pradesh and Rajasthan; 1 GA spread over Punjab and Rajasthan and 1 GA spread over U.P. and Rajasthan), in the state of Rajasthan. The GA wise detail of authorized entities forestablishing CNG stations and providing PNG connections in the state of Rajasthan is at Annexure. PNGRB has authorized Gasonet Services (RJ) Limited for the development of City Gas Distribution network in Bikaner and Churu districts GA. The retail price of CNG and PNGin any GA is determined by the CGD entity after considering cost of gas procured, state taxes, tariff and other components. The Government has taken various steps to ensure the availability of natural gas to CNG (Transport) and PNG (Domestic) sector, which includes allocating domestic gas on priority basis to CNG(T)/PNG(D), diverting domestic gas from non-priority sectors to meet the requirement for CNG(T)/PNG(D) sector, expansion of CGD network, expansion of National Gas Grid Pipeline, setting up of Liquefied Natural Gas (LNG) terminal, Sustainable Alternative Towards Affordable Transportation (SATAT) initiatives to promote Bio-CNG, etc. Government has also notified that gas produced from discoveries in deep water, ultra- deep water and high-pressure high temperature areas is prioritized for supply to the CNG(T)/PNG(D) sectors. Further, in order to minimize the impact of rising Natural Gasprices,the Government has approved the revised domestic natural gas pricing guidelines vide Gazette Notification dated 07.04.2023 for gas produced from nomination fields of ONGC/OIL, New Exploration Licensing Policy (NELP) blocks, and pre-NELP blocks, where the Production Sharing Contract (PSC) provides for Government approval of prices. Under the revised guidelines, the price of such natural gas is determined as 10% of the monthly average of the Indian Crude Basket and is notified on a monthly basis. For gas produced by ONGC and OIL from their nomination blocks, the APM price is subject to a floor of $4.0/Metric Million British Thermal Unit(MMBTU) and a ceiling of $6.5/MMBTU. The ceiling would be maintained for the next two financial years (2023-24 and 2024-25) and then increased by $0.25/MMBTU each year. This has led to price stability for consumers. ****ANNEXURE ANNEXURE REFERRED TO IN REPLY TO PART (a) TO (d) OF LOK SABHA UNSTARRED QUESTIONNO. 2027 TO BE ANSWERED ON 31ST JULY 2025 REGARDING DETERMINATION OF RATES FOR CNG AND PNG. GA wise detail of authorized entities for establishing CNG stations and providing PNG connections in the state of Rajasthan- as on 31.5.2025 S.No Unique Geographical Area/ State/Union Territory Authorized CGD Entity GA ID CGD Networks 1. 1.02 Kota Rajasthan State Gas Limited 2. 9.55 Barmer, Jaisalmer& Jodhpur Districts AGP CGD India Private Limited 3. 9.56 Alwar (Other than Bhiwadi) & Jaipur Districts Torrent Gas Jaipur Private Limited 4. 9.57 Kota District (EAAA), Baran&Chittorgarh (Only Torrent Gas Limited RawatbhataTaluka) Districts 5. 9.58 Bhilwara&Bundi Districts Adani Total Gas Limited 6. 9.59 Chittorgarh (Other than RawatbhataTaluka) & Udaipur Adani Total Gas Limited Districts 7. 9.60 Dholpur District Dholpur CGD Private Limited 8. 10.34 Ajmer, Pali and Rajsamand Districts Indraprastha Gas Limited 9. 10.35 Jalore and Sirohi Districts Gujarat Gas Limited 10. 11.42 Bikaner and Churu districts Gasonet Services (RJ) Limited 11. 11.43 Jhunjhunu, Sikar and Nagaur districts Indian Oil Corporation Limited 12. 11.44 Dausa, Karauli, SawaiMadhopur and Tonk districts Hindustan Petroleum Corporation Limited 13. 98.12 Bhiwadi (in Alwar District) Haryana City Gas Distribution (Bhiwadi) Rajasthan Limited 14. 10.30 Jhabua, Banswara, Ratlam and Dungarpur Districts Gujarat Gas Limited 15. 11.22 Agar Malwa, Neemuch, Mandsaur and Jhalawar Madhya Pradesh and Megha City Gas Distribution Private Limited districts Rajasthan 16. 11.41 Fazilka (except area already authorized), Ganganagar Punjab & Rajasthan Bharat Petroleum Corporation Limited and Hanumangarh districts 17. 99.13 Firozabad (Taj Trapezium Zone) Uttar Pradesh & Rajasthan GAIL Gas Limited Source: PNGRB *****