Regulator PNGRB for regulating regasification fee, bringing natural gas under GST
NEWS Regulator PNGRB for regulating regasification fee, bringing natural gas under GST Rituraj Baruah 5 min read30 Dec 2025, 06:05 AM IST Regasification charges, charges by regasification terminals, currently account for 5-6% of the delivered gas cost to consumers and they are not regulated.(Bloomberg) SUMMARY The proposal comes days after the regulator lowered the tariff slabs for gas transportation, thereby making compressed natural gas and city gas distribution prices cheaper.
New Delhi: In a bid to make natural gas cheaper and boost adoption, India’s gas regulator has proposed regulating the regasification charges for liquefied natural gas (LNG) and also bringing the fuel under the goods and services tax (GST), citing low utilization and weak financial viability at most terminals.
In a paper on ‘regasification, listed gas marketing and CGD entities’, published on its website on 24 December, the Petroleum and Natural Gas Regulatory Board (PNGRB) said high and unregulated infrastructure costs, coupled with state-level taxes, are keeping gas prices elevated despite large investments in regasification capacity. Implementation of the PNGRB's proposals would require statutory changes.
