Petroleum Ministry Allows Conditional Pricing of Gas to RIL, GAIL

摘要

The MoP&NG has given some conditional freedom to gas distributors like Reliance Industries and GAIL, to determine the marketing margin they want to charge on sale of natural gas to consumers other than urea manufacturing units and LPG plants. The Ministry, which has been for past two years has been hamstrung over the issue of marketing margin charged by gas producers and sellers like Reliance Industries and GAIL India, ordered in November 2013, that the margin to be charged over and above gas sale price be fixed between seller and buyers in sectors other than urea and LPG. In other cases, the Ministry ruled that the marketing margin should be determined by the buyer and seller and any complaints about exercise of monopoly power should be addressed to PNGRB and/or the Competition Commission of India. Presently, marketing margins charged by producers and sellers of gas are in the range of 11 cents to 20 cents per million British thermal unit (mmBtu).