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The Petroleum and Natural Gas Regulatory Board (PNGRB) has hiked the Integrated Natural Gas Pipeline (INGPL) tariff of Gail to | 58.61/mmbtu (on a GCV basis) with effect from April 1, 2023. This revision is a 45% hike in tariff from current prices. Total 10 pipelines have been considered as a single integrated entity by PNGRB for tariff revision and have been granted an economic life up to 2049. Newer pipelines such as JHBDPL have been provided with 10 years utilisation ramp up period. Thus, INGPL is expected to reach its peak volume of 131.6 mmscmd (75% utilisation of 175.5 mmscmd design capacity by 2034). In spite of this tariff hike, the impact on downstream companies like CGDs is likely to be limited (around | 0.5-0.6/scm).

Tariff hike to improve Gail’s transmission revenue

* The tariff submitted by Gail was | 68.55/mmbtu whereas the tariff determined by PNGRB was at | 58.61/mmbtu (in line with PNRGB’s earlier proposed tariff of | 60.92/mmbtu)

* Gail submitted the following directly inter-connected pipelines as an Integrated Natural Gas Pipeline for enlistment by the Board and for the purpose of tariff

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