Section 7 of The Petroleum and Natural Gas Regulatory Board Act, 2006
The Central Government may remove from office the Chairperson or any other member, who--
- (a)has been adjudged as insolvent; or
- (b)has been convicted of an offence which, in the opinion of the Central Government, involves moral turpitude; or
- (c)has become physically or mentally incapable of acting as a member; or
- (d)has acquired such financial or other interest as is likely to affect prejudicially his functions as a member; or
- (e)has so abused his position as to render his continuance in office prejudicial to the public interest: Provided that no Chairperson or other member shall be removed from office under clause (d) or clause (e) unless the Central Government, after holding an inquiry by any person appointed or authority constituted for the purpose and in accordance with such procedure as may be prescribed in this behalf, is satisfied that such person ought on such ground or grounds to be removed.
Summary
- The Central Government has the authority to remove the Chairperson or any Board member from office.
- Immediate removal happens if a member becomes bankrupt, is physically or mentally incapable, or is convicted of a crime involving moral turpitude.
- A member can also be removed if they acquire financial or other interests that negatively affect their duties.
- Abuse of their official position that makes their continued service harmful to the public interest is another valid reason for removal.
- If accused of having conflicting interests or abusing their position, the member cannot be removed until the government holds a formal inquiry and gives them a fair chance to defend themselves.
Practical examples
FAQ
1. Who has the power to fire a Board member?
Only the Central Government has the power to remove the Chairperson or any other member.
2. Can a member be removed for buying shares in a gas company?
Yes, if acquiring those shares creates a financial interest that prejudicially affects their regulatory functions. However, they must be given an inquiry first.
3. Does a member get a hearing for every type of removal?
No. A hearing is only legally required if they are being removed for a conflict of interest or for abusing their position. Bankruptcies or criminal convictions do not explicitly require this inquiry step under the text of this section.
Test yourself
Q1.Under Section 7 of The Petroleum and Natural Gas Regulatory Board Act, 2006, which of the following is a valid ground for the Central Government to immediately remove a Board member without a mandatory prior inquiry?
Q2.Under Section 7 of The Petroleum and Natural Gas Regulatory Board Act, 2006, what procedural step must the Central Government take before removing a member for abusing their position?
Q3.Under Section 7 of The Petroleum and Natural Gas Regulatory Board Act, 2006, what level of criminal conviction justifies the removal of a Board member?
Q4.Under Section 7 of The Petroleum and Natural Gas Regulatory Board Act, 2006, who holds the ultimate authority to evaluate if a member's financial interests prejudice their functions?