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3 min read | Updated on March 25, 2026, 10:56 IST
SUMMARY
The Ministry of Petroleum and Natural Gas has notified a new framework to fast-track the expansion of natural gas and petroleum pipelines under the Essential Commodities Act, 1955.

The framework mandates time-bound provision of PNG connections, aiming to improve service standards and facilitate a gradual shift from LPG in areas with existing pipeline infrastructure. Image: Shutterstock
The government on Tuesday notified a new framework to fast-track the laying and expansion of natural gas and petroleum product pipelines and strengthen consumer-centric gas service delivery.
The Ministry of Petroleum and Natural Gas issued 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.
The order, which comes into immediate effect, lays down a uniform and time-bound mechanism for granting approvals, accessing land and expanding pipeline infrastructure across public, private and residential areas.
The government said the reform is aimed at accelerating the rollout of city gas distribution (CGD) networks, expanding piped natural gas access and reducing dependence on LPG.
The move comes amid major gas supply disruption linked to the Strait of Hormuz.
The order is expected to improve last-mile connectivity and support wider adoption of natural gas for cooking, transport and industrial use.
The move would also help free up LPG supplies in areas without pipeline connectivity.
Under the new rules, authorities will need to decide on applications for pipeline permissions within specified timelines, failing which approvals will be deemed granted and "no written communication or approval would be required by the authorised entity."
They can seek additional documents within seven days of application, and must communicate approval or rejection within defined deadlines, the notification said.
In case of rejection, they have to provide its reasons in writing to the relevant entity that submitted the application within the specified time limit.
The order also bars authorities from imposing arbitrary charges beyond those specified, addressing a long-standing industry concern over multiple levies and unclear fee structures.
The framework mandates that entities controlling land, including government bodies, private owners and residential associations, cannot unreasonably deny access for pipeline projects.
In residential areas, approvals for laying pipelines must be granted within three working days, while connections to households are to be enabled within 48 hours where feasible.
The order further provides that in areas where piped natural gas (PNG) infrastructure is available, LPG supply may be discontinued after due notice if households do not opt for PNG, subject to technical feasibility.
The notification introduces a structured dispute resolution mechanism through designated authorities and outlines compensation frameworks such as “dig and restore” and “dig and pay” to address conflicts during infrastructure development.
It also provides for bank guarantees and compliance requirements to ensure timely execution of projects, with penalties for delays beyond stipulated timelines.
The Petroleum and Natural Gas Regulatory Board (PNGRB) has been designated as the nodal agency to monitor implementation, including data collection on approvals, rejections and project progress.
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