In the notification dated March 3, 2020, the Petroleum and Natural Gas Regulatory Board (PNGRB) had sought views and comments on the proposed amendments in the PNGRB (Technical Standards and Specifications including Safety Standards for City or Local Natural Gas Distribution Networks) Amendment Regulations, 2020 from the concerned stakeholders. The amendment proposed to include the provision in regulation 2 (g) which provided that if city gas station (CGS) is established outside the authorised geographical area (GA), then pipeline connecting from CGS to authorised city gas distribution (CGD) network shall be considered as a part of CGD network. However, the authorised entity shall not supply any customer from the pipeline outside its GA.

Later, in a notification dated June 30, 2020, the PNGRB made the regulations to amend the PNGRB (Technical Standards and Specifications including Safety Standards for City or Local Natural Gas Distribution Networks) Amendment Regulations, 2020.

Adani Gas Limited (AGL) had supported the insertions allowing the establishment of CGS outside the GA and considering the pipeline laid from the CGS to the GA as part of the CGD network. However, it believed that there would be ambiguity with respect to the line from the natural gas pipeline tap-off point to the CGS. If the same is built by CGD entity, then the same should also be considered as a part of CGD network. AGL had earlier sought permission from PNGRB to allow it to set up CGS outside GA as tap-off was very far. But PNGRB had directed it to establish CGS within GA only and is therefore laying pipeline from tap-off to CGS as well extending up to 15 to 20 km in some cases.

Besides, Think Gas Limited had also presented suggestions on the amendment 2 (g) that CGS should be established at the periphery or within the boundary limits of authorised GA. In case, sub-transmission pipeline owned by the CGD entity, that CGD entity shall not supply to any customer using its infrastructure outside its authorised GA, till the infrastructure exclusivity of the authorised entity from whose authorised GA, another CGD entity’s sub-transmission pipeline passes through, remains.

The full policy document can be downloaded from the PNGRB’s website