The court emphasized the importance of following the prescribed procedures under the PNGRB Act and Regulations for the issuance of authorizations, and highlighted the appellate remedy available under Section 33 of the PNGRB Act.

JUDGMENT

Prathiba M. Singh, J. (Oral)

1. This hearing has been done through hybrid mode.

2. The present petition has been filed by the Petitioner- Indraprastha Gas Limited (hereinafter "IGL") challenging the impugned order dated 24th April, 2023 passed by the Petroleum and Natural Gas Regulatory Board (hereinafter "PNGRB") under Regulation 19 of the PNGRB (Authorizing Entities to Lay, Build, Operate, or Expand City or Local Natural Gas Distribution (CGD) Networks) Regulations, 2008 (hereinafter "Regulations"). The prayers in this writ petition are as under:

"i. Issue any appropriate writ, order or direction under Article 226/227 of the Constitution of India and for setting aside the Order dated 24.04.2023 passed by the Petroleum and Natural Gas Regulatory Board under Regulation 19 of the PNGRB (Authorizing entities to lay, build, operate, or expand City or local natural gas distribution (CGD) networks) Regulations, 2008; and

ii. Declare that the Order dated 24.04.2023 passed by the Petroleum and Natural Gas Regulatory Board Order and the consequential actions taken by the Respondent are inter alia arbitrary and in contravention of the spirit of Article 14 of the Constitution of India, and settled principles of law; and

iii. In the interim, stay the effect and implementation of any consequential orders/actions/directions passed by the Hon'ble Petroleum and Natural Gas Regulatory Board without having jurisdiction basis the Impugned Order; "

3. The case of the Petitioner is that in 2004 the Petitioner IGL was nominated as the implementing company for implementation of the City Gas Distribution (`CGD') network in Gurgaon, Faridabad and Noida.

4. The Petroleum and Natural Gas Regulatory Board Act, 2006 (hereinafter "PNGRB Act") was enacted in 2006. The PNGRB was then set up in 2006 with the intention of providing uninterrupted and adequate supply of notified petroleum, petroleum products and natural gas in all parts of the country for consumers, domestic households as also for commercial consumers.

5. Applications were filed before the Supreme Court in WP No. 13029/1985 titled `M.C. Mehta v. Union of India' in respect of the distribution of natural gas in Gurgaon and Faridabad and certain interim orders were passed on 4th April 2008. During this entire process, the Regulations of 2008 were also enacted and Section 16 of the PNGRB Act was notified on 15th July, 2010.

6. Further on 15th May 2008, the Ministry of Petroleum and Natural Gas vide a letter to the PNGRB clarified that IGL is the Central Government authorised entity for Delhi, Gurgaon, Faridabad and Noida. The Ministry further reiterated in the said letter that no fresh authorisation was required.

7. In the M.C. Mehta (supra) matter, as per the Petitioner, it's authorisation was confirmed by the Ministry of Petroleum and Natural Gas by way of an affidavit dated 24th July 2019. According to the Petitioner since the Gas distribution was already allocated to IGL, no other Company could be given an allocation. The Supreme Court disposed of the pending applications in the M.C. Mehta (supra) case vide order dated 6th September 2022.

8. Thereafter, in proceedings before the Appellate Tribunal (hereinafter "APTEL"), directions were given for consideration of all applications under Regulation 18 of the Regulations. In the process of consideration, the impugned order dated 24th April, 2023, has been passed. In effect, the impugned order directs that insofar as the applications in respect of Gurugram, Faridabad and Noida are concerned, the requirement of the Regulations for objections being called for, was exempted. The relevant portion of the impugned order reads as under:

"PNGRB had processed 12 cases under Regulation 18 of PNGRB (Authorizing Entities to Lay, Build, Operate or Expand City or Local Natural Gas Distribution Network) Regulations, 2008. Information/applications received under Regulation 17 and Regulation 18 of PNGRB (Authorizing entities to lay, build, operate, or ex