Q. Consider the following activities :
I. Production of crude oil
II. Refining, storage and distribution of petroleum
III. Marketing and sale of petroleum products
IV. Production of natural gas
How many of the above activities are regulated by the Petroleum and Natural Gas Regulatory Board in our country?
(a) Only one
(b) Only two
(c) Only three
(d) All the four
Correct Answer : (b) Only two
UPSC Prelims 2025 GS Paper's Solution
Explanation :
The Petroleum and Natural Gas Regulatory Board (PNGRB) is a statutory body in India established under the Petroleum and Natural Gas Regulatory Board Act, 2006. Its primary role is to regulate the downstream activities in the petroleum and natural gas sector.
I. Production of crude oil:
- The PNGRB Act specifically excludes the production of crude oil and natural gas from its regulatory purview.
- This activity falls under the upstream sector, typically regulated by the Directorate General of Hydrocarbons (DGH) under the Ministry of Petroleum and Natural Gas.
II. Refining, storage and distribution of petroleum:
- The PNGRB is mandated to regulate the refining, processing, storage, transportation, and distribution of petroleum and petroleum products.
III. Marketing and sale of petroleum products:
- The PNGRB regulates the marketing and sale of petroleum products.
IV. Production of natural gas:
- Similar to crude oil production, the production of natural gas is excluded from the PNGRB’s regulatory scope.
Conclusion: Only activities II and III are regulated by the PNGRB.
Final answer: (b) Only two