Market rules for gas

The government is moving towards free market pricing of gas with the current administered price mechanism going against the interest of domestic producers.

Union oil minister Dharmendra Pradhan on Friday said India would gradually end government control on pricing and would link them to market forces.

Earlier this month, the country got its own gas trading platform — Indian Gas Exchange — that would help in price discovery of local gas.

The first gas trading exchange will enable local and foreign players such as Shell, Vitol and Trafigura to sell directly to domestic customers.