PNGRB's Unified Tariff revision
16th December 2025
In a major consumer-centric reform to promote cleaner fuels, the Petroleum and Natural Gas Regulatory Board (PNGRB) has rationalised the unified tariff structure for natural gas transportation to encourage wider adoption of Compressed Natural Gas (CNG) and Piped Natural Gas (PNG)
Under the revised framework, PNGRB has reduced the number of tariff zones from three to two i.e. up to 300 km and beyond 300 km.
Further, to promote CNG and Domestic PNG usage, it has been notified that the tariff applicable for up to 300 km will be charged for the CNG and PNG-D sector across the country, irrespective of distance
This reform advances the objective of “One Nation, One Grid, One Tariff”, reduces regional disparities in transportation costs, and aligns natural gas pricing with the transportation cost policy of competitive fuels such as LPG and Motor Spirit
PNGRB has notified transportation tariffs of Rs. 54.00/MMBTU (up to 300 km) and Rs. 102.86/MMBTU (beyond 300 km) effective 1 January 2026
However, CNG and Domestic PNG consumers nationwide will be charged the Zone-1 tariff of Rs. 54.00/MMBTU, resulting in nearly 50% lower transportation charges for consumers located beyond 300 km.
The revised tariff regime is expected to reduce CGD sector transportation costs by Rs. 1,000 crores approx. annually, leading to a reduction in delivered prices of CNG by Rs. 1.25 – 2.50 per kg and Domestic PNG by Rs. 0.90 – 1.80 per SCM, directly benefiting consumers