Domestic gas prices may be fixed at $2 lower than the $8.8-per-unit price discovered by the Rangarajan commitee constituted to suggest changes in the production-sharing contract and future domestic gas-pricing mechanism.

Sources said the oil ministry agreed to the basic principle of gas pricing suggested by the panel, but wants it to be modified slighty to also take into account gas prices in countries such as Malaysia, Saudi Arabia, Qatar and Nigeria that account for a major portion of India's liquified natural gas imports.

The fertiliser ministry, in a note to the EGoM on domestic natural gas pricing, suggested that gas should not be priced more than $6 mmBtu.

The Rangarajan committee report was facing flak from the finance, power and fertiliser ministries over its recommendations on pricing

The fate of the Rangarajan Committee's recommendations is hanging in the balance after the postponement of a meeting of empowered group of ministers (EGoM) on natural gas. Not only does there appear to be no meeting ground on the issue of a pricing formula proposed by the committee, the petroleum ministry wants another committee headed by Vijay Kelkar to look into the other major recommendation of moving to the revenue sharing model in exploration and production.

Draft of shale gas policy has been sent for inter-ministerial consultation-to ministry of finance, environment, law & planning commission. As the government is trying to finalise a shale gas policy, it wants to build in environmental safeguards into the overall framework.

The ministry of petroleum and natural gas is engaged in extensive consultations with the environment ministry to ensure that once the actual work starts there are no glitches. According to an official close to the development, the draft of shale gas policy has been sent for inter-ministerial consultation—to the ministry of finance, environment, law and planning commission.

Rs 60,352-cr impact on power, urea makers; FinMin comes up with its own formula

Even before an empowered group of ministers starts deliberating on a revision in natural gas prices, the finance, power and fertiliser ministries have raised a red flag on the recommendations of the Rangarajan panel. Only the Planning Commission seems to be in agreement with the committee’s proposal to use a proposed formula as “an interim or transitional solution” till March 2017.

Govt’s Fertilizer Subsidy Bill Will Go Up By 10K Cr If Ranga Panel’s Formula Gets Nod

Power tariff from gas-fired plants could jump by Re 1 per unit and the government’s annual fertilizer subsidy would rise by Rs 10,000 crore if the price of fuel pumped from domestic fields is doubled to $8.8 per unit in line with the formula suggested by a committee headed by PMEAC chairman C Rangarajan, the ministries of finance, power and fertilizer have said.

While rejecting the formula suggested by the Rangarajan Committee on gas pricing, the Finance Ministry has asked the Petroleum and Natural Gas Ministry to place before the Empowered Group of Minist

Prime minister's office wants OMCs to bear credit subsidy for remaining 8 subsidised units on reimbursement basis

Even as the Centre is accelerating the Direct Benefits Transfer (DBT) scheme for subsidised LPG cylinders, oil marketing companies are unlikely to benefit much from it. This is because the Prime Minister's Office has proposed that the government credit subsidy for only one cylinder into a beneficiary's account. Subsidy on the remaining quota of eight liquefied petroleum gas (LPG) cylinders would be borne by oil marketing companies (OMCs), which the government would reimburse later.

The government is gearing up for the next big leap under the Direct Cash Transfer (DCT) scheme to bring a huge number of nearly 14 crore LPG consumers under its ambit.

The scheme, which is likely to be launched from July 1, is aimed at directly putting the subsidy component of the domestic cylinder into the bank account of the consumers to eliminate the leakages in the system and address the problem of diversion of domestic cylinders for commercial market.

The Comptroller and Auditor General (CAG) has agreed to resume the audit of Reliance Industries Limited’s (RIL) KG D6 block following assurances given by the Petroleum and Natural Gas Ministry that