{"id":6693,"date":"2015-07-14T12:07:00","date_gmt":"2015-07-14T12:07:00","guid":{"rendered":"http:\/\/localhost\/sccblog\/?p=6693"},"modified":"2015-11-23T17:59:24","modified_gmt":"2015-11-23T12:29:24","slug":"petroleum-and-natural-gas-regulatory-board-cannot-determine-the-mrp-and-compression-charges-for-cng-with-regard-to-city-or-local-gas-distribution-network","status":"publish","type":"post","link":"https:\/\/www.scconline.com\/blog\/post\/2015\/07\/14\/petroleum-and-natural-gas-regulatory-board-cannot-determine-the-mrp-and-compression-charges-for-cng-with-regard-to-city-or-local-gas-distribution-network\/","title":{"rendered":"Petroleum and Natural Gas Regulatory Board cannot determine the MRP, and compression charges for CNG with regard to city or local gas distribution network"},"content":{"rendered":"<p><b><span lang=\"EN-US\">Supreme Court: <\/span><\/b><span lang=\"EN-US\">While deciding the issue that whether the <\/span><span lang=\"EN-US\">Petroleum and Natural Gas Regulatory Board<\/span><span lang=\"EN-US\"> (hereinafter the Board) is empowered to regulate\/fix the maximum retail price (MRP) of the gas sold by entities like Indraprasth Gas Ltd., and fix network tariff and compression charge for entities having their own distribution network, the Division Bench of Dipak Misra and U.U. Lalit, JJ., held that the Board, as per the legislative scheme, has not been conferred with the power to frame regulations to fix network tariff and compression charges for CNG with regard to a city or local gas distribution network thereby declaring the <\/span><span lang=\"EN-US\">Natural Gas Regulatory Board (Determination of Network Tariff for City or Local Natural Gas Distribution Networks and Compression Charge for CNG) Regulations, 2008<\/span><span lang=\"EN-US\"> as <i>ultra vires<\/i> the <\/span><span lang=\"EN-US\">Petroleum and Natural Gas Regulatory Board Act, 2008<\/span><span lang=\"EN-US\"> \u00a0\u00a0<\/span><\/p>\n<p><span lang=\"EN-US\">The present appeal pertained to the interpretation of the <\/span><span lang=\"EN-US\">provisions of Petroleum and Natural Gas Regulatory Board (Determination of Network Tariff for City or Local Natural Gas Distribution Networks and Compression Charge for CNG) Regulations, 2008<\/span><span lang=\"EN-US\"> and <\/span><span lang=\"EN-US\">the Petroleum and Natural Gas Regulatory Board Act, 2008. The Delhi High Court had earlier held that as per the construction of the 2008 Regulations, the Board does not have the power with respect to fixing of MRP and compression charges. Counsel for the appellant Arvind Datar contended that, the Delhi HC had committed a gross illegality in its finding. Whereas counsel for the respondent Harish Salve argued that, a careful reading of Sections 20 to 22 of the 2008 Act reveals that the Board does not have the authority to regulate the MRP. Appearing for the Union of India, Pinky Anand put forth before the Court that the Legislature never intended to confer the Board with the power to determine the MRP.<\/span><\/p>\n<p><span lang=\"EN-US\">The Court upon perusing the contentions and after detailed analysis of the concerned provisions observed that, the Board has the power to determine transportation tariff for common\/contract carrier. The Court stated that upon construing Sections 11 and 22 of the 2008 Act, it comes out that the Board has not been given the power to fix the compression charges and MRP, therefore the Board cannot frame a Regulation which will cover the area pertaining to determination of network tariff for city or local gas distribution network and compression charge for CNG. <i>Petroleum and Natural Gas Regulatory Board<\/i> v. <i>Indraprastha Gas Limited,\u00a0<\/i><\/span><span style=\"font-size: small;\"><a href=\"http:\/\/www.scconline.com\/LoginForNewsLink\/2015_SCC_OnLine_SC_578 \">2015 SCC OnLine SC 578<\/a><\/span>, decided on 01.07.2015<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Supreme Court: While deciding the issue that whether the Petroleum and Natural Gas Regulatory Board (hereinafter the Board) is empowered to regulate\/fix 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It was fundamentally focussed upon\u2026","rel":"","context":"In &quot;Case Briefs&quot;","block_context":{"text":"Case Briefs","link":"https:\/\/www.scconline.com\/blog\/post\/category\/casebriefs\/"},"img":{"alt_text":"Delhi High Court","src":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2023\/02\/MicrosoftTeams-image-472.png?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2023\/02\/MicrosoftTeams-image-472.png?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2023\/02\/MicrosoftTeams-image-472.png?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2023\/02\/MicrosoftTeams-image-472.png?resize=700%2C400&ssl=1 2x"},"classes":[]},{"id":271181,"url":"https:\/\/www.scconline.com\/blog\/post\/2022\/08\/04\/annual-charges-for-clearing-corporations-revised-vide-pngrb-levy-of-fee-and-other-charges-amendment-regulations-2022\/","url_meta":{"origin":6693,"position":2},"title":"Annual Charges for Clearing Corporations revised vide PNGRB (Levy of Fee and Other Charges) Amendment Regulations, 2022","author":"Editor","date":"August 4, 2022","format":false,"excerpt":"\u00a0 \u00a0 On 02-08-2022 the Petroleum and Natural Gas Regulatory Board has notified PNGRB (Levy of Fee and Other Charges) Amendment Regulations, 2022 in order to amend Petroleum and Natural Gas Regulatory Board (Levy of Fee and Other Charges) Regulations, 2007 Key Modifications: 1. Insertion: Regulation 3 (1): Levy of\u2026","rel":"","context":"In &quot;Legislation Updates&quot;","block_context":{"text":"Legislation Updates","link":"https:\/\/www.scconline.com\/blog\/post\/category\/legislationupdates\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2017\/09\/Parliament_Colour.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2017\/09\/Parliament_Colour.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2017\/09\/Parliament_Colour.jpg?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2017\/09\/Parliament_Colour.jpg?resize=700%2C400&ssl=1 2x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2017\/09\/Parliament_Colour.jpg?resize=1050%2C600&ssl=1 3x"},"classes":[]},{"id":380120,"url":"https:\/\/www.scconline.com\/blog\/post\/2026\/04\/03\/pngrb-consumer-protection-regulations-2025\/","url_meta":{"origin":6693,"position":3},"title":"PNGRB (Consumer Protection) Regulations, 2025 &#151; Consumer Rights &amp; Grievance Redressal","author":"Kriti","date":"April 3, 2026","format":false,"excerpt":"These Regulations have been notified to strengthen consumer rights across India\u2019s oil and gas sector. These Regulations ensure safety, quality supply, fair trade practices, timely grievance redressal, and consumer education, while preserving rights under the Consumer Protection Act, 2019.","rel":"","context":"In &quot;Legislation Updates&quot;","block_context":{"text":"Legislation Updates","link":"https:\/\/www.scconline.com\/blog\/post\/category\/legislationupdates\/"},"img":{"alt_text":"PNGRB Consumer Protection","src":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2026\/04\/PNGRB-Consumer-Protection.webp?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2026\/04\/PNGRB-Consumer-Protection.webp?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2026\/04\/PNGRB-Consumer-Protection.webp?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2026\/04\/PNGRB-Consumer-Protection.webp?resize=700%2C400&ssl=1 2x"},"classes":[]},{"id":378015,"url":"https:\/\/www.scconline.com\/blog\/post\/2026\/03\/11\/petroleum-ministry-notifies-natural-gas-supply-regulation-order-2026\/","url_meta":{"origin":6693,"position":4},"title":"India Notifies Natural Gas (Supply Regulation) Order, 2026 Amid Middle East Conflict","author":"Shubhi","date":"March 11, 2026","format":false,"excerpt":"MoPNG has notified Natural Gas (Supply Regulation) Order, 2026, under the Essential Commodities Act, 1955 to secure priority sectors and ensure equitable distribution of LNG in response to supply crisis.","rel":"","context":"In &quot;Legislation Updates&quot;","block_context":{"text":"Legislation Updates","link":"https:\/\/www.scconline.com\/blog\/post\/category\/legislationupdates\/"},"img":{"alt_text":"Natural Gas (Supply Regulation) Order","src":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2026\/03\/Natural-Gas-Supply-Regulation-Order.webp?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2026\/03\/Natural-Gas-Supply-Regulation-Order.webp?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2026\/03\/Natural-Gas-Supply-Regulation-Order.webp?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2026\/03\/Natural-Gas-Supply-Regulation-Order.webp?resize=700%2C400&ssl=1 2x"},"classes":[]},{"id":254389,"url":"https:\/\/www.scconline.com\/blog\/post\/2021\/09\/17\/petroleum-and-natural-gas-regulatory-board-integrity-management-system-for-petroleum-and-petroleum-products-pipelines-regulations-2021\/","url_meta":{"origin":6693,"position":5},"title":"Petroleum and Natural Gas Regulatory Board (Integrity Management System for Petroleum and Petroleum Products Pipelines) Regulations, 2021","author":"Prachi Bhardwaj","date":"September 17, 2021","format":false,"excerpt":"The Petroleum and Natural Gas Regulatory Board has published the Petroleum and Natural Gas Regulatory Board (Integrity Management System for Petroleum and Petroleum Products Pipelines) Regulations, 2021 on August 27, 2021. 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