What is India’s new natural gas pricing?

On April 6, a new set of guidelines for fixing domestic natural gas prices was approved, linking it to 10 percent of the monthly average of the Indian crude oil basket. This pricing will have a floor and ceiling, which irrespective of where crude oil prices are, will ensure domestic natural gas prices do not fall below $4 or rise above $6.5 for the next two years. Crude linkage is more relevant to India’s consumption basket, and allows deeper liquidity in global trading markets, on a real-time basis, said a Press Information Bureau statement. Consumers of CNG and PNG can expect price cuts of up to 11 percent.