The Petroleum and Natural Gas Regulatory Board (PNGRB) has terminated the Surat-Paradip natural gas pipeline project by GAIL India owing to delays. The regulator has also ordered encashing the state-owned firm’s entire performance bank guarantee of Rs 200 million.

The proposed 1,724-kilometre project, touted as the first pipeline in the country connecting the eastern and western coasts, would have seen an investment of Rs 60 billion. In its order dated March 13, the downstream regulator said the ground progress made in the project by the company was “nil” even after six ...