Powers of the new downstream regulator
Five people will make up the Downstream Petroleum Regulatory Board.
The Delhi-based chairman and his four colleagues will each hold the job for six years or until retirement age of 65, which ever comes first. Below are some of the Boards responsibilities: Implement measures to facilitate competition and promote efficiency for growth of the downstream oil sector Maintenance of minimum petroleum product inventory levels to ensure 'Oil Security' "Timely changes" in petroleum product import and export policy Imposition of ceiling sale price for petroleum products Monitoring safety standards for downstream activity Implementing strategies to promote petroleum sector investment Ensuring only genuine and creditworthy companies engage in downstream activity Some of the regulator's powers will be to: Ensure compliance of government orders on production, storage, supply and distribution of petroleum products Protect consumers interest on price, quality, quantity and availability of petroleum products Implement ceiling prices to prevent profiteering and promote competitive markets Promote fair trade and prevent cartelisation, monopolies and unfair competition Regulate and monitor access to existing and new common usage pipelines including gas pipelines Collate and maintain technical databank on crude imports, demand forecast for petroleum products across India Issue guidelines to ensure quality of service to consumers of petroleum products including natural gas Ensure that liquefied natural gas terminals are located in accordance with central government instructions Impose penalty upto Rs10 lakh ($21,739) and further penalty of Rs10,000 for each day after first day of the breach Order suspension of activities or closure of 'entity' for repeated defaults and "under extreme circumstances"
