Home » News

GAIL says no to uniform gas pricing

GAIL (India) Ltd has said it is not possible to pool the price of natural gas sourced from different fields and sell it at a uniform price to all sectors. This effectively opposes a plan by the petroleum ministry to move to a pooled price regime. GAIL has submitted a report to the ministry stating that the different types of consumers and the different prices at which gas producers sell it come in the way of such a plan. Consumers include the power, fertilizer and petrochemical sectors and city households.

Gas from the Reliance Industries Ltd (RIL)-operated KG D6 field in the Krishna-Godavari basin is priced at US $4.20 per million British thermal unit (mmBtu), compared with US $1.82 per mmBtu for gas produced by ONGC and Oil India.

Gas from the BG Group Plc-operated Panna-Mukta-Tapti fields US $5.73 per mmBtu while Ravva off the Andhra Pradesh coast is priced at US $5.50 per mmBtu.

Also Read

Leave your response!

Add your comment below, or trackback from your own site. You can also subscribe to these comments via RSS.

Be nice. Keep it clean. Stay on topic. No spam.

You can use these tags:
<a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>