Petroleum and Natural Gas Regulatory Board (PNGRB) has approved an interim tariff increase for GAIL’s integrated natural gas pipeline network, effective January 1, 2026. The levelized tariff is set at ₹65.69/MMBTU, up from ₹58.61/MMBTU. This adjustment, primarily for System Use Gas and capacity determination, is expected to positively impact the company by approximately Rs. 1,200 Crore. A full tariff review will occur in FY 2027-28.
Interim Tariff Adjustment
The Petroleum and Natural Gas Regulatory Board (PNGRB) has approved a tariff order effective January 1, 2026, for GAIL’s Integrated Natural Gas Pipeline (INGPL) network.
Key Tariff Details
The approved levelized tariff is ₹65.69/MMBTU (on GCV basis) as an interim measure over the existing tariff. This interim adjustment primarily accounts for:
System Use Gas (SUG), including reduction on account of calorific value
Capacity determination
Compared to the previous levelized tariff of ₹58.61/MMBTU, this represents an increase of approximately 12%. This increase is expected to positively impact revenue by approximately Rs. 1,200 Crore.
Future Tariff Review
The current adjustment is limited to SUG and capacity determination. A comprehensive review of parameters, including Opex & Capex, transmission loss, working days, and other regulatory factors, will be undertaken during the next tariff review exercise in FY 2027-28, effective April 1, 2028.
Source: BSE