India Revises Domestic Natural Gas Price for December
OIL & GAS

India Revises Domestic Natural Gas Price for December

The price of domestic natural gas for December 2024 has been revised to $7.29 per million metric British thermal units (mmBtu), down from $7.53 in November, according to a notification by the Ministry of Petroleum and Natural Gas (MoPNG). Despite the reduction, the domestic gas price remains capped at $6.5 per mmBtu under the country’s pricing framework.

Pricing Framework Under the revised mechanism, domestic natural gas prices are linked to imported crude oil, constituting 10% of the Indian crude basket. Prices are revised monthly, with a floor and ceiling set at $4 and $6.5 per mmBtu, respectively.

The new rate applies to natural gas produced from legacy fields operated by Oil and Natural Gas Corporation Ltd (ONGC) and Oil India Limited (OIL). The guidelines, introduced in April 2023, aim to balance global market trends with the interests of domestic producers and consumers.

Strategic Impact The updated pricing aligns with India's broader energy policies to stabilize the natural gas sector while encouraging production and fair market pricing. Industry stakeholders, including ONGC, OIL, and GAIL, have been informed of the changes to ensure seamless implementation.

Experts note that the framework demonstrates India’s commitment to global energy standards, fostering sectoral growth and ensuring energy security.

The price of domestic natural gas for December 2024 has been revised to $7.29 per million metric British thermal units (mmBtu), down from $7.53 in November, according to a notification by the Ministry of Petroleum and Natural Gas (MoPNG). Despite the reduction, the domestic gas price remains capped at $6.5 per mmBtu under the country’s pricing framework. Pricing Framework Under the revised mechanism, domestic natural gas prices are linked to imported crude oil, constituting 10% of the Indian crude basket. Prices are revised monthly, with a floor and ceiling set at $4 and $6.5 per mmBtu, respectively. The new rate applies to natural gas produced from legacy fields operated by Oil and Natural Gas Corporation Ltd (ONGC) and Oil India Limited (OIL). The guidelines, introduced in April 2023, aim to balance global market trends with the interests of domestic producers and consumers. Strategic Impact The updated pricing aligns with India's broader energy policies to stabilize the natural gas sector while encouraging production and fair market pricing. Industry stakeholders, including ONGC, OIL, and GAIL, have been informed of the changes to ensure seamless implementation. Experts note that the framework demonstrates India’s commitment to global energy standards, fostering sectoral growth and ensuring energy security.

Next Story
Real Estate

Rethinking Slum Development

In July 2024, the Supreme Court directed the Bombay High Court to initiate suo motu proceedings to evaluate the implementation of the Maharashtra Slum Area (Improvement, Clearance and Redevelopment) Act.During the ensuing proceedings, the Division Bench of Justices expressed concern about the plight of slum dwellers, saying, “Merely because you are a slum dweller doesn’t mean that you are left to the discretion of developers. They end up with a pittance.” The Bench also noted that the buildings allocated to slum dwellers were akin to “vertical slums”. “The buildings are congested. ..

Next Story
Real Estate

Ring in the New!

Lighting:OLED (organic light emitting diode) panels such as those by Philips are the latest option in soft lighting fixtures that can be embedded into walls, ceilings or furniture, says Nilesh Sawant, Principal Architect, Nilesh Sawant Architect. “Being thin and flexible, they lend themselves well to different applications while delivering the energy-efficiency associated with LED technology.”And Sapna Aggarwal, Founder, ANSA Architecture & Interiors, says “Embedded light-emitting diodes can create a dreamy illumination, while dimmable LEDs are useful for allowing..

Next Story
Infrastructure Urban

Jhansi Library

The Jhansi Library, commissioned by the Jhansi Development Authority (JDA) under the Jhansi Smart City initiative and built by Bootes Impex, a net-zero construction-tech company. It is the first library in Asia to achieve EDGE (Excellence in Design for Greater Efficiencies) certification from the International Finance Corporation (IFC), a member of the World Bank Group. This milestone marks the library as India’s first and only net-zero library, aligning  with India’s Net-Zero Vision 2070.Sustainable designDeepak Rai, Managing Director, Bootes Impex, explains, “The project's vision ..

Hi There!

"Now get regular updates from CW Magazine on WhatsApp!

Join the CW WhatsApp channel for the latest news, industry events, expert insights, and project updates from the construction and infrastructure industry.

Click the link below to join"

+91 81086 03000