Lok Sabha Question No. 2027 (UNSTARRED), answered on 2025-07-31
Subject: Determination of Rates for CNG and PNG
Ministry: PETROLEUM AND NATURAL GAS
Asked by: Shri Rahul Kaswan

## LOK SABHA

## DETERMINATION OF RATES FOR CNG AND PNG

## 2027. SHRI RAHUL KASWAN:

## पेट Ō ोिलयम और Ůाक ृ ितक गैस मंũी

Will the Minister of PETROLEUM AND NATURAL GAS be pleased to state:

- (a)   whether  the  Government  has  divided  various  districts  of  the  country  into  blocks  and given the work of CNG and PNG distribution to private companies and if so, the details thereof in respect of Rajasthan;
- (b)  whether the Government has given the right to private companies to determine the rates of CNG and PNG in their blocks and these companies can sell at the desired rate and if so, the details thereof;
- (c)   whether the work of CNG and PNG distribution has been given to Gesonet Company for Churu district and this company is selling gas at a rate higher than the prescribed rates and  if  so,  the  details  thereof  along  with  the  action  taken  by  the  Government  in  this regard; and
- (d)  whether the Government intends to punish such companies and if so, the details thereof indicating the timeline and if not, the reasons therefor?

## ANSWER पेट Ō ोिलयम और Ůाक ृ ितक गैस मंũालय मŐ राǛमंũी ( ŵी सुरे श गोपी )

## MINISTER OF STATE IN THE MINISTRY OF PETROLEUM & NATURAL GAS (SHRI SURESH GOPI)

(a) to (d) Providing Piped Natural Gas (PNG) connections and establishment of Compressed Natural  Gas  (CNG)  stations  are  part  of  development  of  City  Gas  Distribution  (CGD) Networks and the same is carried out by the entities authorized by the Petroleum and Natural Gas Regulatory Board (PNGRB)as per their Minimum Work Programme (MWP). PNGRB has authorized entities for development of CGD network in 307 Geographical Areas (GAs), covering almost 100% of the mainland areafor the development of CGD network across the country.

PNGRB  has  authorized  17  GAs  including  (2  GAs  spread  over  Madhya  Pradesh  and Rajasthan;  1  GA  spread  over  Punjab  and  Rajasthan  and  1  GA  spread  over  U.P.  and Rajasthan),  in  the  state  of  Rajasthan.  The  GA  wise  detail  of  authorized  entities  for establishing  CNG  stations  and  providing  PNG  connections  in  the  state  of  Rajasthan  is  at Annexure.

PNGRB  has  authorized  Gasonet  Services  (RJ)  Limited  for  the  development  of  City  Gas Distribution network in Bikaner and Churu districts GA.

The  retail  price  of  CNG  and  PNGin  any  GA  is  determined  by  the  CGD  entity  after considering cost of gas procured, state taxes, tariff and other components.

The  Government  has  taken  various  steps  to  ensure  the  availability  of  natural  gas  to  CNG (Transport) and PNG (Domestic) sector, which includes allocating domestic gas on priority basis  to  CNG(T)/PNG(D),  diverting  domestic  gas  from  non-priority  sectors  to  meet  the requirement for CNG(T)/PNG(D) sector, expansion of CGD network, expansion of National Gas  Grid  Pipeline,  setting  up  of  Liquefied  Natural  Gas  (LNG)  terminal,  Sustainable Alternative  Towards  Affordable  Transportation  (SATAT)  initiatives  to  promote  Bio-CNG, etc.  Government has also notified that gas produced from discoveries in deep water, ultradeep  water  and  high-pressure  high  temperature  areas  is  prioritized  for  supply  to  the CNG(T)/PNG(D) sectors.

Further,  in  order  to  minimize  the  impact  of  rising  Natural  Gasprices,the  Government  has approved the revised domestic natural gas pricing guidelines vide Gazette Notification dated 07.04.2023  for  gas  produced  from  nomination  fields  of  ONGC/OIL,  New  Exploration Licensing  Policy  (NELP)  blocks,  and  pre-NELP  blocks,  where  the  Production  Sharing Contract  (PSC) provides  for Government approval of prices. Under the revised guidelines, the  price  of  such  natural  gas  is  determined  as  10%  of  the  monthly  average  of  the  Indian Crude Basket and is notified on a monthly basis. For gas produced by ONGC and OIL from their nomination blocks, the APM price is subject to a floor of $4.0/Metric Million British Thermal Unit(MMBTU) and a ceiling of $6.5/MMBTU. The ceiling would be maintained for the next two financial years (2023-24 and 2024-25) and then increased by $0.25/MMBTU each year.  This has led to price stability for consumers.

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## ANNEXURE REFERRED TO IN REPLY TO PART (a) TO (d) OF LOK SABHA UNSTARRED QUESTIONNO. 2027 TO BE ANSWERED ON 31ST JULY 2025 REGARDING DETERMINATION OF RATES FOR CNG AND PNG.

GA wise detail of authorized entities for establishing CNG stations and providing PNG connections in the state of Rajasthan- as on 31.5.2025

|   S.No |   Unique GA ID | Geographical Area/ CGD Networks                                                | State/Union Territory        | Authorized CGDEntity                            |
|--------|----------------|--------------------------------------------------------------------------------|------------------------------|-------------------------------------------------|
|      1 |           1.02 | Kota                                                                           |                              | Rajasthan State Gas Limited                     |
|      2 |           9.55 | Barmer, Jaisalmer& Jodhpur Districts                                           |                              | AGP CGD India Private Limited                   |
|      3 |           9.56 | Alwar (Other than Bhiwadi) &Jaipur Districts                                   |                              | Torrent Gas Jaipur Private Limited              |
|      4 |           9.57 | Kota District (EAAA), Baran&Chittorgarh (Only RawatbhataTaluka) Districts      |                              | Torrent Gas Limited                             |
|      5 |           9.58 | Bhilwara&Bundi Districts                                                       |                              | Adani Total Gas Limited                         |
|      6 |           9.59 | Chittorgarh (Other than RawatbhataTaluka) &Udaipur Districts                   |                              | Adani Total Gas Limited                         |
|      7 |           9.6  | Dholpur District                                                               |                              | Dholpur CGD Private Limited                     |
|      8 |          10.34 | Ajmer, Pali and Rajsamand Districts                                            |                              | Indraprastha Gas Limited                        |
|      9 |          10.35 | Jalore and Sirohi Districts                                                    |                              | Gujarat Gas Limited                             |
|     10 |          11.42 | Bikaner and Churu districts                                                    |                              | Gasonet Services (RJ) Limited                   |
|     11 |          11.43 | Jhunjhunu, Sikar and Nagaur districts                                          |                              | Indian Oil Corporation Limited                  |
|     12 |          11.44 | Dausa, Karauli, SawaiMadhopur and Tonk districts                               |                              | Hindustan Petroleum Corporation Limited         |
|     13 |          98.12 | Bhiwadi (in Alwar District)                                                    | Rajasthan                    | Haryana City Gas Distribution (Bhiwadi) Limited |
|     14 |          10.3  | Jhabua, Banswara, Ratlam and Dungarpur Districts                               | Madhya Pradesh and Rajasthan | Gujarat Gas Limited                             |
|     15 |          11.22 | Agar Malwa, Neemuch, Mandsaur and Jhalawar districts                           | Madhya Pradesh and Rajasthan | Megha City Gas Distribution Private Limited     |
|     16 |          11.41 | Fazilka (except area already authorized), Ganganagar and Hanumangarh districts | Punjab &Rajasthan            | Bharat Petroleum Corporation Limited            |
|     17 |          99.13 | Firozabad (Taj Trapezium Zone)                                                 | Uttar Pradesh &Rajasthan     | GAIL Gas Limited                                |

Source: PNGRB