Gas price heads for major reduction
The Union cabinet is expected to take up Kirit Parikh panel’s recommendations of a ceiling price of $6.5 and a floor price of $4 per mBtu (million British thermal unit) for domestically producted natural gas prices on Thursday.
The panel has suggested a new pricing formula that will be linked with 10 per cent of the crude price, subject to the floor and ceiling.
It had also suggested free pricing starting January 2027 for gas produced from these legacy fields and from January 2026 for the difficult fields.
