Pricing plan for natural gas gets cabinet okay
NEW DELHI: The Cabinet Committee on Economic Affairs (CCEA) on Wednesday approved the formulation of a standard procedure for market price discovery of gas across various contractual regimes, said petroleum and natural gas minister Dharmendra Pradhan.
Briefing reporters after the Cabinet meeting, Pradhan added that a standardized e-bidding mechanism will be proposed by the directorate general of hydrocarbons (DGH) for the transparent discovery of gas market price.
The move is expected to attract investors and help India’s push for a gas-based economy. Pradhan said the decision will help increase domestic gas production by an additional 40 million standard cubic meters a day (mmscmd), from the current 80 mmscmd.
