The government may soon strengthen the downstream regulator in the oil & gas sector by making ‘suitable’ amendments in the provisions of the existing Petroleum & Natural Gas Regulatory Board Act 2006. The changes would empower the board to issue licences for retailing of CNG and piped gas in cities.

Mr RS Pandey petroleum secretary said that “The existing Act is likely to be amended in the winter session of Parliament to further empower the downstream regulator. The amendment will address notification of Section 16 and some other issues.”

Section 16 of the Act empowers the board to authorise a company to lay and operate natural gas pipelines and city gas projects. Mr Pandey however declined to elaborate on specific changes. Speaking about the delay in notifying Section 16 of PNGRB Act, he said the provision could not be implemented in its present form as per suggestions made by government’s legal officials.

(Sourced from Economic Times)