![India’s revised gas pricing formula to aid demand, upstream profit stability: Fitch](https://www.livemint.com/lm-img/img/2023/04/12/1600x900/The-government-has-approved-new-gas-pricing-guidel_1681287753185.jpg)
India’s revised gas pricing formula to aid demand, upstream profit stability: Fitch
Live MintNew Delhi: India’s decision to limit prices of domestic natural gas from legacy fields to between $4 per million British Thermal Unit and $6.5 will support margins for city gas distributors, encourage the use of gas, and reduce cash flow volatility for upstream producers, Fitch Ratings said on Wednesday. “We expect a partial pass-through of the lower administered price mechanism gas prices, at which domestic upstream producers supply gas to city gas distributors, in the prices of compressed natural gas and domestic piped natural gas to add to the distributors‘ margins in the near term,” it said. “We expect such price cuts by city gas distributors and the fixing of a price ceiling to add certainty to domestic natural gas’ price advantage relative to alternative fuels, supporting gas usage for transportation and households, and overall demand in the medium term,” Fitch said. Fitch expect the price floor and ceiling to reduce volatility in cash flows from gas production for Oil India Ltd and Oil and Natural Gas Corp Ltd. “The floor is higher than APM prices over 2015 to 2021 while the ceiling is below current market prices.
History of this topic
![ONGC to receive 20% premium over APM price for new natural gas wells, Government approves](https://th-i.thgim.com/public/incoming/fq1szc/article68516428.ece/alternates/LANDSCAPE_1200/IMG_IMG_2022-05-26T15053_2_1_KIA5MNBT.jpg)
ONGC to receive 20% premium over APM price for new natural gas wells, Government approves
The HinduGas price for Reliance trimmed to $9.87; rate for gas that feeds CNG, PNG supplies still at $6.5
The Hindu![CNG prices reduced by ₹2.50 in Delhi-NCR. Check new rates](https://www.hindustantimes.com/ht-img/img/2024/03/06/1600x900/CNG_price_delhi_1709745821409_1709745821603.jpg)
CNG prices reduced by ₹2.50 in Delhi-NCR. Check new rates
Hindustan Times![CNG prices reduced in Delhi-NCR. Check new rates in Noida, Ghaziabad, other regions](https://resize.indiatvnews.com/en/resize/newbucket/1200_-/2024/03/cng-price-reduced-in-delhi-1709741934.jpg)
CNG prices reduced in Delhi-NCR. Check new rates in Noida, Ghaziabad, other regions
India TV News![India's gas demand to rise 6% in 2024: International Energy Association](https://resize.indiatvnews.com/en/resize/newbucket/1200_-/2024/01/cng-1706456581.jpg)
India's gas demand to rise 6% in 2024: International Energy Association
India TV News![Revised Gas Pricing Formula To Aid Demand, Profit Stability For Producers: Fitch](https://images.news18.com/ibnlive/uploads/2023/03/natural-gas-168024096216x9.jpg)
Revised Gas Pricing Formula To Aid Demand, Profit Stability For Producers: Fitch
News 18![New pricing to benefit gas distributors](https://www.livemint.com/lm-img/img/2023/04/10/1600x900/gas_1681150206333_1681150212008_1681150212008.jpg)
New pricing to benefit gas distributors
Live Mint![GAIL Gas cuts CNG, PNG prices after IGL, MGL; check revised prices here](https://www.livemint.com/lm-img/img/2023/04/09/1600x900/gail_1681025680276_1681025680592_1681025680592.jpg)
GAIL Gas cuts CNG, PNG prices after IGL, MGL; check revised prices here
Live Mint![CNG, piped cooking gas prices reduced in Delhi-NCR. Check latest rates](https://www.hindustantimes.com/ht-img/img/2023/04/08/1600x900/cng_price_delhi_1680970609435_1680970609690_1680970609690.jpg)
CNG, piped cooking gas prices reduced in Delhi-NCR. Check latest rates
Hindustan TimesCNG, piped cooking gas price cut by up to ₹6 in Delhi
Live Mint![MGL slashes CNG price by ₹8, PNG by ₹5 in city](https://images.hindustantimes.com/default/1600x900.jpg)
MGL slashes CNG price by ₹8, PNG by ₹5 in city
Hindustan Times![Adani Total Gas Limited cuts CNG, PNG rates, check out new price](https://www.hindustantimes.com/ht-img/img/2023/04/07/1600x900/INDIA-ECONOMY-ADANI-1_1680891257856_1680891257856_1680891277752_1680891277752.jpg)
Adani Total Gas Limited cuts CNG, PNG rates, check out new price
Hindustan Times![Mahanagar Gas Limited reduces CNG price by ₹8 per kilogram](https://www.livemint.com/lm-img/img/2023/04/07/1600x900/Mahanagar_gas_1648788597838_1680883484281_1680883484281.jpg)
Mahanagar Gas Limited reduces CNG price by ₹8 per kilogram
Live Mint![How revision in domestic gas pricing will reduce CNG and PNG prices- Explained](https://www.livemint.com/lm-img/img/2023/04/07/1600x900/2-0-263670446-cng3-0_1680608248803_1680833199530_1680833199530.jpg)
How revision in domestic gas pricing will reduce CNG and PNG prices- Explained
Live Mint![PNG, CNG prices set to reduce as Cabinet announces new pricing mechanism](https://www.hindustantimes.com/ht-img/img/2023/04/06/1600x900/New-Delhi--India---Oct--20--2020--A-view-of-the-HC_1680804880871.jpg)
PNG, CNG prices set to reduce as Cabinet announces new pricing mechanism
Hindustan TimesIndia to cut gas prices from April 1, report says
Live Mint![Congress asks the government why it can’t pass on the benefit of lower crude prices to consumer](https://th-i.thgim.com/public/todays-paper/tp-national/2zy9ro/article66098444.ece/alternates/LANDSCAPE_1200/TH04-SANDEEP-CoGSQAFLCBH.4.jpg.jpg)
Congress asks the government why it can’t pass on the benefit of lower crude prices to consumer
The Hindu![India to step up gas imports to address summer power demand](https://images.livemint.com/img/2022/12/07/1600x900/kgbasin--621x414_1670404233761_1670404233761.jpg)
India to step up gas imports to address summer power demand
Live Mint![Kirit Parikh panel submits gas report, suggests pricing freedom beginning Jan 2026](https://th-i.thgim.com/public/incoming/o4yfx2/article66204761.ece/alternates/LANDSCAPE_1200/Oil_Prices_NYBZ166.jpg)
Kirit Parikh panel submits gas report, suggests pricing freedom beginning Jan 2026
The Hindu![High gas prices: How India's gas economy works](https://images.livemint.com/img/2022/10/17/1600x900/KGD6Basin_1666016971179_1666016971370_1666016971370.jpg)
High gas prices: How India's gas economy works
Live Mint![Oil price rise in India is way below global price hikes: Hardeep Singh Puri](https://s3.ap-southeast-1.amazonaws.com/images.deccanchronicle.com/dc-Cover-8lb4qq6pofp0ibe5ar2rsagev3-20221008110050.Medi.jpeg)
Oil price rise in India is way below global price hikes: Hardeep Singh Puri
Deccan Chronicle![CNG, piped cooking gas prices hiked by ₹3](https://th-i.thgim.com/public/incoming/xgk3ic/article65983639.ece/alternates/LANDSCAPE_1200/05_CNG_PRICE_HIKE_16_06_Del.jpg)
CNG, piped cooking gas prices hiked by ₹3
The Hindu![How will high global natural gas prices affect India?](https://bsmedia.business-standard.com/_media/bs/img/article/2022-06/20/full/1655724370-1521.jpg)
How will high global natural gas prices affect India?
Business Standard![Mid-course changes in gas pricing to delay investments: Reliance](https://th-i.thgim.com/public/incoming/e8cnhs/article65973258.ece/alternates/LANDSCAPE_1200/IMG_BL26_RIL_2_1_I38AIV4Q.jpg)
Mid-course changes in gas pricing to delay investments: Reliance
The Hindu![Gas price hike: CNG prices may go up by at least Rs 8-12 per kg](https://dc-cdn.s3-ap-southeast-1.amazonaws.com/dc-Cover-0mci6skg8fk8t5gi84ftvn1e94-20160420145055.Medi.jpeg)
Gas price hike: CNG prices may go up by at least Rs 8-12 per kg
Deccan ChronicleNatural gas prices hiked by 40% to record levels; CNG, PNG to cost more
The Hindu![Natural gas price to rise to record level this week, say sources](https://resize.indiatvnews.com/en/resize/newbucket/1200_-/2022/09/dc-cover-uqtpbu3j0kb86ddnj8hjbcl3l7-20160430201209-1664084750.jpeg)
Natural gas price to rise to record level this week, say sources
India TV NewsGovt allocation helps Adani Gas cut prices of PNG and CNG. Details here
Hindustan Times![Piped Cooking Gas Price Hiked in Delhi, Noida, Gurugram, from Today; Know New Rates](https://images.news18.com/ibnlive/uploads/2022/08/piped-cooking-gas-price-hike-165968550216x9.jpg?impolicy=website&width=1200&height=675)
Piped Cooking Gas Price Hiked in Delhi, Noida, Gurugram, from Today; Know New Rates
News 18![IGL price hike in Delhi: CNG to cost ₹71.61/kg, piped cooking gas ₹45.86](https://images.hindustantimes.com/img/2022/05/14/1600x900/3706d586-966e-11ec-bacd-e5fb1910eafa_1645816143601_1652554238335.jpg)
IGL price hike in Delhi: CNG to cost ₹71.61/kg, piped cooking gas ₹45.86
Hindustan Times![In India rising fuel prices start to bite](https://www.aljazeera.com/wp-content/uploads/2022/04/369163505.jpg?resize=1920%2C1440)
In India rising fuel prices start to bite
Al Jazeera![CNG price hiked by ₹2.5 per kg, piped cooking gas by ₹4.25](https://th-i.thgim.com/public/incoming/pekcdr/article65320737.ece/alternates/LANDSCAPE_1200/INDEX_CNG_FILLING_STATION__DSC4161.jpg)
CNG price hiked by ₹2.5 per kg, piped cooking gas by ₹4.25
The Hindu![Mumbai: CNG price increased by Rs 5 per kg, PNG records hike of Rs 4.50 per scm| Check latest rates here](https://akm-img-a-in.tosshub.com/indiatoday/images/story/202204/999038-cng-jpg-1280__720-_1200x768.png?VersionId=6zz0J5sNSJ_uGEqfuOwvBjjoANKk4YSO)
Mumbai: CNG price increased by Rs 5 per kg, PNG records hike of Rs 4.50 per scm| Check latest rates here
India Today![CNG price hiked by ₹2.50 per kg for second day in a row in national capital](https://th-i.thgim.com/public/incoming/n2q16v/article65298719.ece/alternates/LANDSCAPE_1200/DSC_0614.jpg)
CNG price hiked by ₹2.50 per kg for second day in a row in national capital
The Hindu![Govt doubles gas price to record levels; CNG rates may go up](https://th-i.thgim.com/public/incoming/afyl7k/article65203953.ece/alternates/LANDSCAPE_1200/STANDALONE_CNG_FILLING_STATION_DSC4162.jpg)
Govt doubles gas price to record levels; CNG rates may go up
The Hindu![Is the fuel pricing policy problematic?](https://th-i.thgim.com/public/incoming/grch07/article65278670.ece/alternates/LANDSCAPE_1200/PTI03_29_2022_000081B.jpg)
Is the fuel pricing policy problematic?
The HinduCrude prices ease over hopes of emergency stock release
Live Mint![After Petrol-Diesel Price Hike, Indraprastha Gas Raises PNG, CNG Rates. Check Latest Rates](https://feeds.abplive.com/onecms/images/uploaded-images/2022/03/24/f491a3a5def3f91dcd04da494197f088_original.jpg?impolicy=abp_cdn&imwidth=1200)
After Petrol-Diesel Price Hike, Indraprastha Gas Raises PNG, CNG Rates. Check Latest Rates
ABP News![CNG price hiked by Rs 1 in Delhi, to be sold at Rs 59.01 from today](https://akm-img-a-in.tosshub.com/indiatoday/images/story/202203/cngprice_1200x768.jpeg)
CNG price hiked by Rs 1 in Delhi, to be sold at Rs 59.01 from today
India Today![Gas prices hiked in Delhi. See new rates](https://images.hindustantimes.com/img/2022/03/24/1600x900/_fb6792b8-9a02-11ea-b5cf-22f71a9413fe_1648091595040.jpg)
Gas prices hiked in Delhi. See new rates
Hindustan Times![CNG-PNG supply hit in Lucknow as prices of natural gas skyrocket amid deepening Russia-Ukraine conflict](https://resize.indiatvnews.com/en/resize/newbucket/1200_-/2022/03/cng-pump-pti-jpeg-1646722324.jpg)
CNG-PNG supply hit in Lucknow as prices of natural gas skyrocket amid deepening Russia-Ukraine conflict
India TV News![MGL hikes CNG, PNG prices by Rs 2 each](https://resize.indiatvnews.com/en/resize/newbucket/1200_-/2021/10/mgl-1633368185.jpg)
MGL hikes CNG, PNG prices by Rs 2 each
India TV NewsCNG, piped cooking gas prices may rise 10-11% in October: Report
The Hindu![Betting on natural gas as a ’clean’ fossil fuel](https://images.livemint.com/img/2021/08/05/1600x900/GettyImages-1211860600_1628176307780_1628176326908.jpg)
Betting on natural gas as a ’clean’ fossil fuel
Live Mint![Natural gas prices may be cut to decade low of USD 1.9; dent ONGC revenues](https://resize.indiatvnews.com/en/resize/newbucket/1200_-/2020/08/pti-1597555486.jpeg)
Natural gas prices may be cut to decade low of USD 1.9; dent ONGC revenues
India TV NewsDiscover Related
![PNGRB aims expansion of LPG pipeline network for safer transport, cost rationalization](https://www.livemint.com/lm-img/img/2024/12/23/1600x900/IMG-20241223-WA0001_1734965280735_1734965304989.jpg)
![Price stability crucial for India’s economic growth, says RBI](https://www.livemint.com/lm-img/img/2024/12/20/1600x900/a87131bc-ba50-11eb-b2e0-990fd466194c_1621617732588_1734705777512.jpg)
![Fuel price cut at pvt outlets worry state-run retailers](https://www.hindustantimes.com/ht-img/img/2024/12/20/1600x900/A-petrol-pump-located-on-MG-road-near-Iffco-Chowk-_1734669133906.jpg)
![City gas distribution stocks climb the wall of worry](https://www.livemint.com/lm-img/img/2024/12/19/1600x900/gas_1734600150361_1734600150609.jpg)
![Green hydrogen and the financing challenge](https://th-i.thgim.com/public/latest-news/wdjt1u/article68993507.ece/alternates/LANDSCAPE_1200/GreenH2.jpg)
![India’s wholesale inflation dips to 1.89% in November after hitting four-month high in October](https://images.firstpost.com/uploads/2024/10/fruits-vegetable-market-India-2024-10-66b7a2cdbdba60b2961deae4382289ea-1200x675.jpg?im=FitAndFill=(1200,675))
![Refining margins of state-run oil marketing companies fall this fiscal](https://www.livemint.com/lm-img/img/2024/12/15/1600x900/indianoil-kq0C-_1734263338910_1734263339178.jpg)
![Growth slowdown: Why lay a deeper economic malaise at RBI’s door?](https://www.livemint.com/lm-img/img/2024/12/12/1600x900/2-0-281188382-rbi-0_1680506064425_1734010707527.jpg)
![Soaring demand drove up spending on power purchases in 2023-24: KSEB](https://www.thehindu.com/theme/images/og-image.png)
![India bond yields seen a tad higher ahead of debt supply](https://www.livemint.com/lm-img/img/2024/12/06/1600x900/NEWS_1733464049847_1733464070835.jpg)
![Mint Explainer: How rising palm oil prices impact India and its consumers](https://www.livemint.com/lm-img/img/2024/12/12/1600x900/edibleoil_1734006528460.jpg)
![DC Edit | FM, new RBI chief signal cut](https://www.deccanchronicle.com/h-upload/2024/12/12/1871908-aa-3612998.jpg)
![India’s retail inflation eases to 5.48%, industrial production rises to 3-month high](https://images.firstpost.com/uploads/2024/10/Indian-economy-2024-10-5b814715acc0012c9aff289dc9a398c0-1200x675.jpg?im=FitAndFill=(1200,675))
![Pipeline expansion, tariff revision could be game-changers for Gail](https://www.livemint.com/lm-img/img/2024/12/11/1600x900/gujaratgas-k9eH--621x414LiveMint_1733908847408_1733908848998.jpg)
![The issue of India’s economic growth versus emissions](https://th-i.thgim.com/public/opinion/op-ed/352p3/article68962381.ece/alternates/LANDSCAPE_1200/iStock-1574547967.jpg)
![Cars set to get expensive from January as OEMs announce price hikes](https://cms-lm-staging.s3.ap-south-1.amazonaws.com/mint/img/default/1600x900.png)
![Kerala govt hiked electricity tariffs to benefit Adani: Congress leader Ramesh Chennithala](https://www.deccanchronicle.com/h-upload/2024/12/07/1870058-untitleddesign.jpg)
![RBI monetary policy decision: Is an RBI rate cut coming after Union Budget 2025? What experts suggest](https://www.livemint.com/lm-img/img/2024/12/06/1600x900/RBI_monetary_policy_meeting_Shaktikanta_Das_ANI_1728354853960_1733465919656.jpg)
![RBI cuts GDP growth projection to 6.6%, repo rate unchanged at 6.5%](https://www.deccanchronicle.com/h-upload/2024/12/06/1869797-aa-3590591.jpg)
![Srinivas Poojary urges Petroleum Minister to set right CNG supply in Udupi district](https://th-i.thgim.com/public/news/cities/Mangalore/rnltav/article68951813.ece/alternates/LANDSCAPE_1200/IMG-20241205-WA0245.jpg)
![Air pollution hurts growth: Trying new ideas could make a difference](https://www.livemint.com/lm-img/img/2024/12/04/1600x900/PTI11-10-2024-000101A-0_1731311864435_1733305077665.jpg)
![Indraprastha Gas share price rises 4%: To consider bonus shares issue on 10 Dec](https://www.livemint.com/lm-img/img/2024/12/05/1600x900/Indraprastha-Gas-Limited-Gas-Station--Mint-_1687882435820_1733376348723.jpg)
![RBI MPC Meeting: What does India’s Q2 GDP print mean for the monetary policy? Experts weigh in](https://www.livemint.com/lm-img/img/2024/12/04/1600x900/LiveMint_1733326378377_1733326378709.jpg)
![RBI MPC meet: Growth needs a boost, but will inflation hold back rate cut?](https://akm-img-a-in.tosshub.com/indiatoday/images/story/202412/rbi-mpc-expectations-041622741-16x9_0.jpg?VersionId=jkIwK6ATE0lpbbKG2D5Jo6Y4ZltcfHhC)
![Mint Quick Edit | Windfall tax is gone but other fuel taxes need reform](https://www.livemint.com/lm-img/img/2024/12/02/1600x900/55AVVRZL_1599845920989_1599845929021_1733139620788.jpg)
![India scraps windfall tax on petrol-diesel exports, ATF 2 years after it was imposed](https://images.firstpost.com/uploads/2024/12/Oil-tanker-India-2024-12-db81b46ba78efbcbd5d0557705ac3625-1200x675.jpg?im=FitAndFill=(1200,675))
![India factory growth softened in Nov on high inflationary pressures](https://www.deccanchronicle.com/h-upload/2024/12/02/1868566-manuf.jpg)
![Bangladesh looks to reduce power prices of Adani deal amid US indictment: Report](https://www.hindustantimes.com/ht-img/img/2024/12/02/1600x900/INDIA-US-BUSINESS-CRIME-ADANI-STOCKS-0_1732183527935_1733104506604.jpg)
![India to set up a carbon trading, green bond regulator](https://www.livemint.com/lm-img/img/2024/12/01/1600x900/3-0-112851128-RTR24LW0-0_1679843319314_1733042978749.jpg)
![Petrol, Diesel Consumption Surge in November as Festive Season Boosts Demand](https://images.deccanchronicle.com/dc-Cover-nfdm0bj8aiutofb03cfn3i6ve1-20180912022902.Medi.jpeg)
![Starting December 1, these money-related changes likely to impact your pocket. Check details](https://www.livemint.com/lm-img/img/2024/12/01/1600x900/budget_4_-mutual_fund_1733034657984_1733034664164.jpg)
![Commercial LPG cylinder prices hiked by ₹16.5, domestic remained unchanged](https://www.hindustantimes.com/ht-img/img/2024/12/01/1600x900/Two-die-in-LPG-cylinder-blast-in-Ambala--PTI-_1699726032744_1733028343053.jpg)
![Price hike: 19 kg commercial LPG cylinder costlier by ₹16.50, at ₹1,818.50 in Delhi from today. See details here](https://www.livemint.com/lm-img/img/2024/12/01/1600x900/LPG_price_hike_December_1_LPG_cylinder_19_kg_Delhi_1733026922129_1733026922304.jpg)
![Commercial LPG cylinder prices increased by Rs 16.5, see what decided for domestic refills](https://resize.indiatvnews.com/en/resize/newbucket/1200_-/2024/12/commercial-lpg-1733033069.jpg)
![Air travel likely to become costly as jet fuel prices surge by 1.45 per cent](https://resize.indiatvnews.com/en/resize/newbucket/1200_-/2024/12/jet-fuel-1733029214.jpg)
![RBI to keep repo rate unchanged at meeting next week, chances of rate cut in Feb increased: Report](https://images.livemint.com/img/2018/12/28/1600x900/Companies_-_News_1545993790355.jpg)
![RBI’s GDP projections on test as India’s Q2 GDP growth falls short](https://www.livemint.com/lm-img/img/2024/11/29/1600x900/flag_1732891358656_1732891358916.jpg)
![India Q2 GDP data today: From rural demand to govt capex—here are five key indicators to watch](https://www.livemint.com/lm-img/img/2024/11/28/1600x900/gdp_1732837286751_1732837287059.jpg)
![India Likely to End Windfall Tax Review As Oil Prices Stabilise](https://www.deccanchronicle.com/h-upload/2024/04/17/1867459-crudeoil.jpg)
![Petroleum ministry recommends GST on natural gas](https://www.livemint.com/lm-img/img/2024/11/28/1600x900/According-to-FICO--lowering-GST-on-iron-and-steel-_1732785080240_1732785086917.jpg)
![India Expects Relief in Food Inflation with Strong Kharif Harvest](https://www.deccanchronicle.com/h-upload/2024/11/25/1866349-kharifharvest.jpg)
![CNG prices hiked by Rs 2 in Mumbai, other cities; election bound-Delhi spared](https://akm-img-a-in.tosshub.com/indiatoday/images/story/202411/cng-prices-hiked-in-mumbai-255128670-16x9_0.png?VersionId=TeT6iNO16RND78WRA.1rivpr2YHElfpA)
![CNG price hiked in Mumbai, other cities by Rs 2 per kg, check latest rate in your area](https://resize.indiatvnews.com/en/resize/newbucket/1200_-/2023/01/upcoming-cng-cars-5-cng-1672927192.jpg)
![Indian Oil Corporation Share Price Today on 22-11-2024: Indian Oil Corporation share price are up by 1.26%, Nifty up by 1.15%](https://www.livemint.com/lm-img/img/2023/05/04/1600x900/The-Bombay-Stock-Exchange-in-Mumbai---Bloomberg-Ph_1683200468247_1683200494396.jpg)
![India’s GDP growth estimated to decelerate to 6.3% in 2025, says Goldman Sachs; sees shallow RBI rate cut from Q1CY25](https://www.livemint.com/lm-img/img/2024/11/22/1600x900/rbi-veMint_1732244797660_1732244797946.jpg)