An Act to provide for the establishment of Petroleum and Natural Gas Regulatory Board to regulate the refining, processing, storage, transportation, distribution, marketing and sale of petroleum, petroleum products and natural gas excluding production of crude oil and natural gas so as to protect the interests of consumers and entities engaged in specified activities relating to petroleum, petroleum products and natural gas and to ensure uninterrupted and adequate supply of petroleum, petroleum products and natural gas in all parts of the country and to promote competitive markets and for matters connected therewith or incidental thereto.
It applies to refining, processing, storage, transportation, distribution, marketing and sale of petroleum, petroleum products and natural gas excluding the production of crude oil and natural gas.
Petroleum and Natural Gas Regulatory Board
- With the effect of the Act, the Central Government may, establish a Board to be called the Petroleum and Natural Gas Regulatory Board.
- The Board shall consist of a Chairperson, a Member (Legal) and three other members to be appointed by the Central Government.
- The Chairperson shall have the powers of general superintendence and directions in the conduct of the affairs of the Board in addition to presiding over the meetings of the Board, to exercise and discharge other powers and functions.
Functions of the Board.
The Board shall:-
- protect the interest of consumers.
- register and authorize entities.
- regulate notified petroleum, petroleum products and natural gas.
- ensure adequate availability.
- maintain a data bank of information on activities relating to petroleum, petroleum products and natural gas.
- Subject to the provisions of this Act, the Board shall lay down, the transportation tariffs for common carriers or contract carriers or city or local natural gas distribution network and the manner of determining such tariffs.
- If the Board, is satisfied that any entity has failed to comply with any conditions of authorisation, it may, suspend the authorization for a certain period.
- If any dispute arises, in respect of certain matters among entities, such dispute shall be decided by a Bench consisting of the Member nominated by the Chairperson.
Grants to the Board
- The Central Government may make to the Board grants of sums of money as are required to pay including the salaries, allowances and pensions payable to the officers and employees of the Board.
- There shall be constituted a Fund to be called the Petroleum and Natural Gas Regulatory Board Fund and there shall be credited all grants, fees, penalties and charges received by the Board.
Maintenance to be made by Board
- The Board shall maintain proper accounts and other relevant records and prepare an annual statement of accounts in consultation with the Comptroller and Auditor-General of India.
- The Board shall prepare an annual report giving a summary of its activities including information relating to the proceedings and policies during the previous years.
- The Board shall also maintain a data bank and information system relating to activities of entities dealing with petroleum, petroleum products and natural gas.
- The Board must and should maintain confidentiality in respect of any information and record received by it from the entities and shall not disclose information contained therein to any person or authority except on the grounds of public interest.
- The Board shall furnish to the Central Government returns and statements and other particulars in regard to any matter in connection with proposed or existing activities under this Act from time to time.
Protection of action taken in good faith:-
No suit, prosecution or other legal proceeding shall lie against the Central Government, Board, Technical Authority or Appellate Tribunal or any officer of the Central Government or any Chairperson, Member, officer or other employee of the Board or Technical Member (Petroleum and Natural Gas) of the Appellate Tribunal for anything which is in good faith done or intended to be done under this Act or the rules or regulations made there under.