Section 8 in The Petroleum and Natural Gas Regulatory Board (Determination of Network Tariff for City or Local Natural Gas Distribution Networks and Compression Charge for CNG) Regulations, 2008
8. Review of network tariff and compression charge for CNG.
a) review of network tariff and compression charge for CNG shall be carried out separately during each review period;b) review period shall normally be a period of five years (commencing from 1st of April and ending on 31st March of next year) from the end of the fifth year of the economic life of the project;c) the actual performance with respect to the capital and operating costs during the previous review period shall be monitored against the parameters identified under clauses 4 and 5 and the variations shall be adjusted in the calculations on a prospective basis considering the remaining period of the economic life of the CGD project;d) The Board may, either on its own or on the entity's request, carry out review in between two tariff review periods, considering-i) mandatory conversion of vehicles using MS, HSD or any other fuel into CNG fuel to the extant not envisaged earlier and necessitating incremental investments;ii) changes in the applicable nominal rate of income tax used for grossing-up the rate of return on capital employed;iii) sudden change in any parameter used in the determination of the network tariff or the compressed charge for CNG;
