Marketing Margin to Natural Gas Marketers

The Minister of State (I/C) for Petroleum & Natural Gas Shri Dharamendra Pradhan informed the Lok Sabha in a written reply that the Ministry of Petroleum & Natural Gas has decided that Government needs to regulate the marketing margin for supply of domestic gas to Urea and LPG producers, as the same has implication on Government subsidy outgo. In all other cases the marketing margin should be decided by buyer and seller mutually and any complaints about exercise of monopoly power should be addressed by Petroleum & Natural Gas Regulatory Board (PNGRB) and/or the Competition Commission. Accordingly, Ministry of Petroleum & Natural Gas, vide letter dated 21.11.2013, has requested PNGRB to determine the marketing margin for supply of domestic gas to Urea and LPG producers, through its independent process.