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Core Purpose

The Central Government issues the Natural Gas and Petroleum Products Distribution (Through Laying, Building, Operation and Expansion of Pipelines and Other Facilities) Order, 2026, under section 3 of the Essential Commodities Act, 1955, to regulate the laying, building, operation, and expansion of pipelines for natural gas and petroleum products.

Detailed Summary

The Ministry of Petroleum and Natural Gas, through Order S.O. 1536(E) dated March 24, 2026, has issued the Natural Gas and Petroleum Products Distribution (Through Laying, Building, Operation and Expansion of Pipelines and Other Facilities) Order, 2026. This order is promulgated by the Central Government in exercise of powers conferred by section 3 of the Essential Commodities Act, 1955 (10 of 1955), building upon the Petroleum Products (Maintenance of Production, Storage and Supply) Order, 1999. The objective is to establish a uniform framework to address impediments in laying pipelines for natural gas and petroleum products, such as denial of access to land, delays in approvals, right of way, and high fees, driven by the public interest to diversify fuel sources and enhance energy security following extensive damage to liquefaction facilities in the Gulf region and continued blockage of the Strait of Hormuz. The Order applies to all public entities, other persons or individuals having rights over public, housing, and non-public areas, and all authorised entities, coming into force on its publication date. It governs the grant of right of way, right of use, or any permission required for authorised entities to use public, housing, or non-public areas for laying, building, operating, or expanding pipelines, overground or underground pipelines, and associated facilities, including storage and distribution infrastructure for natural gas, LPG, LNG, and petroleum products. 'Authorised entities' are defined as those licensed by the Central Government under the Petroleum Act, 1934 (30 of 1934) or by the Petroleum and Natural Gas Regulatory Board (PNGRB) under the Petroleum and Natural Gas Regulatory Board Act, 2006 (19 of 2006), or otherwise designated. The order also mandates compliance from all persons owning or controlling access to land or common ducts required for such pipelines and facilities, and it applies to all pending applications for pipeline laying or facilities with public or non-public entities.

Full Text

REGD. No. D. L.-33004/99 The Gazette of India CG-DL-E-24032026-271248 EXTRAORDINARY PART II—Section 3—Sub-section (ii) PUBLISHED BY AUTHORITY No. 1471] NEW DELHI, TUESDAY, MARCH 24, 2026/CHAITRA 3, 1948 MINISTRY OF PETROLEUM AND NATURAL GAS ORDER New Delhi, the 24th March, 2026 S.O. 1536(E). - Whereas, the Central Government in exercise of its powers conferred under section 3 of the Essential Commodities Act, 1955 (10 of 1955) has issued the Petroleum Products (Maintenance of Production, Storage and Supply) Order, 1999, to regulate the production, storage and supply of petroleum products in the public interest; And whereas the increase in supply of natural gas through pipelines to domestic consumers shall enable release of Liquified Petroleum Gas (hereafter referred to as the “LPG”) from those areas across the country where there is natural gas pipeline connectivity and to make available additional volumes of LPG where there is an absence of natural gas pipelines to reduce dependence on any one fuel; And whereas the supply and distribution of natural gas to consumers requires the laying of pipelines, a sine qua non, of different capacities originating from either a tap off point from a large main transmission pipeline or a Liquefied Natural Gas (hereafter referred to as the “LNG") storage facility to enable transportation of natural gas for its distribution through individual pipelines or a network of smaller pipelines and eventually through service pipelines to the consumer; And whereas the impediments being faced to lay pipelines for transportation of natural gas to premises of consumers as also the pipelines for transportation of petroleum products, include approvals from various authorities, imposition of very high fee and charges and at times denial of access to land or residential areas as well as premises by consumers themselves or in case of domestic consumers, their resident welfare associations; And whereas even in areas where there is availability of natural gas pipeline, consumers may not like to switch to natural gas and instead continue with LPG, resulting in high reliance on LPG even in geographical areas where consumers can otherwise be supplied with natural gas; And whereas constraints are being faced and are expected to be faced for long time in relation to the supply and distribution of both LPG and natural gas on account of extensive damage to and suspension of operations of the liquefaction facilities in the Gulf region that supply liquefied natural gas to India and the continued blockage of the Strait of Hormuz as such events require fuel diversification as a mitigation for long term energy security; And whereas the Central Government considers it necessary in public interest for a uniform framework to address issues that hinder the laying of such pipelines including denial of access to land, delay in approvals, delay in grant of right of way or right of user in the land, high fee and charges, to enable entities to undertake the laying of pipelines for transportation of natural gas and petroleum products in a time bound manner and increase the number of piped natural gas users across India. Now, therefore in exercise of the powers conferred by section 3 of the Essential Commodities Act, 1955 (10 of 1955), the Central Government hereby makes the following order, namely: 1. Short title, application and commencement.- (1) This order may be called the Natural Gas and Petroleum Products Distribution (Through Laying, Building, Operation and Expansion of Pipelines and Other Facilities) Order, 2026. (2) This order shall apply to- (i) all public entities and other persons or individuals having rights, authority, jurisdiction or control over public areas, housing areas and non-public areas; and (ii) all authorised entities. (3) It shall come into force on the date of its publication in the Official Gazette. 2. Definitions.- (1) In this order, unless the context otherwise requires,- (a) "authorised entities” means any person- (i) who is authorised, approved or licensed by the Central Government under the Petroleum Act, 1934(30 of 1934); (ii) who is laying, building, operating or undertaking expansion of a pipeline to transport petroleum and petroleum products; (iii) who is authorised by the Petroleum and Natural Gas Regulatory Board (hereafter referred to as the “PNGRB") under the Petroleum and Natural Gas Regulatory Board Act, 2006 (19 of 2006) to lay, build, operate or expand a common carrier or contract carrier natural gas pipeline or a city gas distribution network; or (iv) who may be designated by the Central Government for the purposes of this order; (b) "common ducts or conduits or cable corridors" individually or collectively mean any linear infrastructure of any size for housing utility lines including pipelines; (c) "designated officer" means : (i) in relation to areas that are not under the jurisdiction of a municipal corporation, the District Collector or District Magistrate, (ii) in relation to areas under the jurisdiction of a municipal corporation, an officer of the level of Secretary in the Department of Urban Development, or Municipal Affairs Department of the State Government, as the case may be, or (iii) such other officer of the rank of Joint Secretary as may be designated by the Central Government for the purposes of this order; (d) "dig and pay basis" shall have the meaning as provided in sub-clause (15) of clause 4; (e) "dig and restore basis" shall have the meaning as provided in sub-clause (15) of clause 4; (f) "duct" means a pipe, permanently lubricated or of any other kind, used as underground cable conduit for a pipeline; (g) "housing area" means any area, whether a public area or non-public area, where residential flats or bungalows are developed or are being developed; (h) “non-public area” means any immovable property or area that is not a public area and includes any housing area owned or managed by a non-public entity, resident welfare association, or group housing society; (i) “overground pipeline” means a pipeline or a network of pipelines, equipment, and its associated facilities that are established or installed either wholly or partially over the ground including any facilities and installations interconnected with a pipeline including those required for change in pressure, which can include pipelines or any other equipment; (j) "other facilities” means any facilities or installations required for- (i) storage of petroleum products, natural gas, liquefied natural gas, or regasification of liquified natural gas; (ii) storage of compressed natural gas; (iii) dispensing compressed natural gas; (iv) de-compressing compressed natural gas and distributing natural gas; or (v) any other facility or installation required for distributing natural gas or petroleum products. (k) "permission" means any permission under any law for the time being in force for the purposes of laying, operation, maintenance or expansion of a pipeline or an overground pipeline or underground pipeline or any of its associated facility; (l) "pipeline" means a pipeline or network of pipelines or any constituent of a pipeline or its associated facilities that is used for the purposes of transportation or distribution or supply of natural gas or petroleum products to one or more premises and includes overground pipeline and underground pipeline; (m) "public entity" means- (i) the Central Government; (ii) the State Governments; (iii) urban authorities; (iv) any authority, body, company, agency or institution incorporated or established by or under the control of the Central Government or the State Government or under any statute; (v) district administration, village administration or any office or organisation vested with the authority to regulate development or use of land in any area; or (vi) any non-public entity vested with the ownership, control or management of any public facility or class of public facilities; (n) “public area” means any immovable property or area which is owned by or in the possession of or under the control of management of any public entity; (o) "Schedule" means the schedules appended to this order; (p) "underground pipeline” means parts of a pipeline or a network of pipelines, equipment and its associated facilities, including any facilities for storage of liquefied natural gas, compressed natural gas, petroleum products, established under the ground for the purposes of establishment or maintenance of the pipeline for transportation, including common ducts or conduits or cable corridors, markers, underground pipelines; (q) "urban authorities" means the authorities including municipal corporations, municipal councils, development authorities that own public lands or roads that are required to be accessed by authorised entities. (2) Words and expressions used and not defined herein but defined in the Petroleum Act, 1934 (30 of 1934), the Oilfields (Regulation and Development) Act, 1948 (53 of 1948) and the Petroleum and Natural Gas Regulatory Board Act, 2006 (19 of 2006), or the rules or regulations made thereunder; the Petroleum Products (Maintenance of Production, Storage and Supply) Order, 1999, the Liquefied Petroleum Gas (Regulation of Supply and Distribution) Order, 2000, shall have the meaning assigned to them in those Acts, rules or regulations, orders, as the case may be. 3. Extent.- (1) This order shall govern the grant of right of way or right of use or any permission required for enabling an authorised entity to use any public area or housing area or non-public area for purposes of- (a) laying, building, operating or expanding pipelines, overground pipeline or underground pipeline or its associated facilities; and (b) building, operating, maintaining or expanding any other facilities. (2) All persons owning land or common ducts or conduits or cable corridors or controlling access to land or common ducts or conduits or cable corridors or the right of way or any easement in relation to land or common ducts or conduits or cable corridors, which is required by an authorised entity for the purposes of- (a) laying, building, operating or expanding pipelines, overground pipeline or underground pipeline for transportation of natural gas or petroleum products, as well as their associated facilities; and (b) building, operating, maintaining or expanding any other facilities, shall comply with the provisions of this order and shall exercise any of their rights or authority over such land in accordance with this order. (3) All public entities shall exercise their authority in accordance with the provisions of this order over any land under their jurisdiction, which is required for purposes of- (a) laying of pipelines, overground pipelines or underground pipelines for transportation of natural gas or petroleum products as well as their associated facilities; and (b) building, operating, maintaining or expanding any other facilities. (4) This order shall govern all applications that are pending for laying of pipelines or facilities specified in sub-clause (2) with public entities or non-public entities on the date of publication of this order. (5) The authorised entity that had submitted the application shall have to submit a communication to the relevant public entity that such application may be processed in accordance with the provisions of this order alongwith with the applicable charges under this

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