The Petroleum and Natural Gas Regulatory Board Bill, 2006, which provides for setting up of a regulator for downstream oil refining and fuel marketing, has become an Act after President A P J Abdul Kalam gave his assent to the law passed by the Parliament last month.
As per the objectives of the legislation, a Petroleum and Natural Gas Board would be set up to oversee and regulate the refining, processing, storage, transportation, distribution, marketing and sale of petroleum, petroleum products and natural gas.
"This regulatory mechanism would facilitate uninterrupted and adequate supply of petroleum, petroleum products and natural gas in all parts of the country at fair price. It would promote competitive markets," a government release said.
The Act empowers the government to broadly lay down policy framework and intervene whenever public interest is affected.
With the President's assent, the ministry of petroleum and natural gas would set up a screening committee for appointment of the chairman and members of the regulatory board.
The appointments would take about three months and the board may be functional by third quarter of this year, an oil ministry official said.
Do you want to discuss stock tips? Do you know a hot one? Join the Stock Market Investments Discussion Group
© 2026