A Petroleum and Natural Gas Technical Advisory Authority would also be constituted under the proposed regulator, the Petroleum and Natural Gas Regulatory Board, to advise the government and the regulator on technical matters. Appeal
"The Appellate Tribunal is proposed to be headed by a retired Chief Justice of a High court or a retired Judge of the Supreme Court and members, not more than four, would be drawn from fields relating to management, finance, law and administration," a government official said.
The ministry of petroleum and natural gas in its note seeking Cabinet approval for the Petroleum and Natural Gas Regulatory Board Bill, 2004, said the concept of setting up of a Petroleum and Natural Gas Technical Authority has been taken from the Electricity Act, 2003 on the lines of the Central Electricity Authority.
While the Board alone will have the jurisdiction to receive complaints and/or adjudicate upon and decide any dispute or matter between entities, the Technical Authority will function as a sub-committee of the regulator.
"The formation of a Technical Authority shall in no way impinge on the working or jurisdiction of the Board. Further, it has also been provided that the chairperson and members of the Technical Authority shall hold office as per the pleasure of the government, unlike in the case of the Board, where they can be removed only after due inquiry," the note said.
Officials said the Technical Authority was earlier proposed to be independent but following opposition from the industry, it was made part of the regulatory board.
Indian Oil Corp had opposed formation of an independent body of Petroleum & Natural Gas Technical Authority on the basis that "the proposed regulatory mechanism encompassing different segments of downstream oil and gas sector value chain together with the resources already available from the government agencies adequately addresses the issues relating to functions and duties of the proposed Technical Authority".
GAIL, however, supported the constitution of the Authority.
Petrofed had initially supported the constitution of the Authority but subsequently observed that to eliminate any duality or resulting conflict of interest, there should be only a Regulatory Authority.
Reliance Industries also suggested that the proposed Technical Authority should be an integral part of the Board.
It has been further stated that the powers, functions and appointment process of the proposed Technical Authority should be clearly spelt out in PNGRB Bill in a manner similar to that of the Regulator and other members of the Board.
The Confederation of Indian Industry, however, supported the proposal of setting up of a Technical Authority.
