Natural Gas Marketing Reforms approved
Part of: GS Prelims and GS-III – Resources
- The Union Cabinet has approved ‘Natural Gas Marketing Reforms’ to move towards gas based economy.
- Aim of the Policy: (1)To provide standard procedure for sale of natural gas in a transparent and competitive manner; (2) To discover market price by issuing guidelines for sale by contractor through e-bidding.
- Advantages: (1) This will bring uniformity in the bidding process across the various contractual regimes and policies; (2) Ambiguity shall be removed; (3) It shall contribute towards ease of doing business.
- Affiliate companies can also participate in the bidding process to make it more open and transparent.
- The policy will also grant marketing freedom to the Field Development Plans (FDPs) of those Blocks in which Production Sharing Contracts already provide pricing freedom.