Reportedly, the Petroleum and Natural Regulatory Board (PNGRB) may allow additional relief period for city gas distribution (CGD) companies facing delays in execution of projects due to lockdowns imposed by the government to contain the spread of Covid-19 pandemic.
The difficulties faced by CGD players due to re-mobilisation and availability of equipment, labor and other resources to resume project execution could be covered under this restoration period. This would result in additional relief to players executing new projects, as per ICRA.
The regulator had recently issued a fresh set of guidelines to examine the requests of CGD players for time extension on account of force majeure events. The guidelines listed event of restrictions by the central or state governments under force majeure. This implies that CGD companies can apply for time extension to complete minimum work programme obligations committed to PNGRB.