Govt rolls out time-bound framework for nationwide gas pipeline expansion
New Delhi: Amidst the month-long unrest in West Asia, the Centre has set a time-bound framework for pipeline infrastructure expansion nationwide in an effort to reduce the demand for LPG.
The Natural Gas and Petroleum Products Distribution (Through Laying, Building, Operation and Expansion of Pipelines and Other Facilities) Order, 2026 under the Essential Commodities Act, 1955 was announced by the government on Tuesday in an official communication.
The order introduces a streamlined and time-bound framework for the nationwide expansion of pipeline infrastructure - provision of PNG connections and enabling a gradual transition from LPG to piped gas in areas where infrastructure is available.
The order authorized entities to lay and expand pipelines across regions to facilitate the rapid expansion of City Gas Distribution (CGD) networks and improve last-mile connectivity for piped natural gas (PNG). The government claims that by streamlining compliance standards, doing away with arbitrary levies, and adopting precisely defined compensation procedures like “dig and restore” and “dig and pay” to reduce conflicts, the Order creates an open and investor-friendly regulatory system. Additionally, it balances the requirements of infrastructure development with the public interest by incorporating safeguards such as a dispute resolution process and rules to prevent unjustified denial of access by private entities or municipal authorities.
The government is promoting natural gas as a crucial transition fuel at a time when the world’s energy environment is changing and energy demand is rising. According to officials, the Order aims to guarantee fair access to cleaner energy, expedite infrastructure development, and make conducting business easier.
By diversifying the gas distribution network and increasing investor confidence through regulatory clarity and quicker approvals, the government anticipates that the reform would improve energy security. Additionally, it will probably speed up the development of pipeline infrastructure in urban and semi-urban regions, enhance air quality by encouraging the use of cleaner fuels, and promote economic growth by guaranteeing a steady and reasonably priced energy supply.
Regularly, the Ministry of Petroleum and Natural Gas along with other important ministries - Shipping and Ports, and External Affairs - are holding briefings here in the national capital. The centre further underlined that all refineries are operating at high capacity and adequate crude inventories are available, while sufficient stocks of petrol and diesel are being maintained. In another major move towards boosting the domestic LPG production from refineries, the Indian OMCs, reportedly, maximising output by diverting propane/butane from petrochemicals into the domestic cooking pool.
The government said retail fuel outlets are functioning normally across the country, although panic buying was reported in some areas due to rumours, leading to unusually high sales and crowding at petrol pumps.
