Gas sector confident of smooth transition as it awaits new pricing rules

Officials said existing APM gas prices have been left broadly unchanged till Sept 31 as a temporary arrangement

India's gas industry continues to wait anxiously for the government to take a call on the Kirit Parikh Committee's recommendations on gas pricing in India, but remains confident of a smooth transition. Meanwhile, officials said gas prices under the existing Administrative Price Mechanism have been kept unchanged in the April 1-September 31, 2023 period as part of the government's bi-annual practice.

The Parikh Committee report has major implications for City Gas Distribution (CGD) companies, which establish and run an interconnected system of underground pipelines for supplying Piped Natural Gas (PNG) and Compressed Natural Gas (CNG) to domestic-commercial and industrial customers.

"If implemented,