PNGRB Introduces Formal Ombudsman for Consumer Grievance Redressal in Oil and Gas Sector
The Petroleum and Natural Gas Regulatory Board (PNGRB) has established a formal ombudsman mechanism to strengthen consumer protection in the oil and gas industry. This new system provides consumers with an independent avenue to escalate unresolved complaints beyond internal company processes, addressing a significant gap in the sector's grievance redressal framework.
New Rules and Escalation Process
Under the recently notified Petroleum and Natural Gas Regulatory Board (Consumer Protection) Regulations, 2025, consumers can now take their complaints to an ombudsman after exhausting defined internal escalation steps within companies. These steps include review by a nodal officer and an appellate authority, ensuring a structured approach before external intervention.
The notification, issued on Monday, clearly outlines the rights and duties of various stakeholders, including oil and gas consumers, gas distribution companies, LPG distributors, retail petroleum outlets, and oil marketing companies. This move aims to enhance accountability and transparency across the supply and distribution chain.
Role and Appointment of the Ombudsman
The ombudsman will be appointed by PNGRB and tasked with the expeditious resolution of consumer complaints. Key responsibilities include facilitating settlements through mediation between parties and handling other functions as assigned by the board. Consumers can approach the ombudsman if their complaints remain unresolved within stipulated timelines or if they are dissatisfied with decisions from the company's appellate authority.
This mechanism introduces an additional layer of oversight, as previously, grievance redressal was largely confined to internal company systems with limited external scrutiny. By creating this independent authority, PNGRB seeks to bolster consumer confidence and ensure fair treatment in the sector.
Complementary to Existing Consumer Rights
Importantly, the new ombudsman framework does not replace or diminish consumers' rights under the Consumer Protection Act. Instead, it operates in addition to existing legal remedies, providing an alternative and potentially faster route for dispute resolution. This dual approach ensures comprehensive protection for consumers facing issues with petroleum products and natural gas services.
The implementation of this mechanism is expected to streamline complaint handling, reduce delays, and promote better compliance among industry players, ultimately fostering a more consumer-friendly environment in India's critical energy sector.
