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New entrants unlikely to impact gas distrbution players till FY23

The draft regulations requires the CGD players to provide third-party access at regulated tariffs

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Legacy city gas distribution (CGD) players like Indraprastha Gas (IGL), Mahanagar Gas (MGL), and Gujarat Gas currently have exclusivity in their area of operations

Ujjval Jauhari New Delhi

4 min read Last Updated : Sep 25 2020 | 1:21 AM IST

Draft regulations by the Petroleum and Natural Gas Regulatory Board (PNGRB), for third parties, has once again put the spotlight on competition.

These norms, drafted by the oil and gas regulator, pertain to transportation tariffs for third parties that use the city gas and compressed natural gas (CNG) distribution network of existing players.

Legacy city gas distribution (CGD) players Indraprastha Gas (IGL), Mahanagar Gas (MGL), and Gujarat Gas have exclusivity in their area of operations. After expiry of the exclusivity period, pipeline infrastructure of these firms can be shared by new entrants.

These norms apply only to legacy distribution areas, and not to

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