Panel To Review Gas-Pricing Formula To Tame Inflation: Report

India has set up a panel to review the pricing formula for locally produced gas to ensure "fair price to the end consumer", according to a government order seen by Reuters, a

India has set up a panel to review the pricing formula for locally produced gas to ensure a "fair price to the end consumer", according to a government order seen by Reuters, a move aimed at lowering inflation and boosting use of the cleaner fuel.

Prime Minister Narendra Modi wants to raise the share of gas in energy mix to 15% by 2030 from 6.2%, helping it progress towards meeting a 2070 net zero carbon-emission goal.

To incentivise gas producers and boost local output, since 2014 India has linked local gas prices to a formula tied to global benchmarks, including Henry Hub, Alberta gas, NBP and Russian gas.

In 2016, the country began fixing the ceiling prices of gas produced from ultra-deep water and challenging fields and allowed marketing freedom to the operators of these fields.