Centre's newly-appointed panel to review gas prices formula and suggest a fair pricing for consumers said that there is no clarity on whether the gas pricing formula will change from October 1. The panel officials told CNBC-TV18, "We have not been able to do justice to the issue of gas pricing.
If formula is changed, will have to be notified."
The panel was given time till September end to finalise the report. However, in line with global gas prices, the APM (Administrative Price Mechanism) gas prices are expected to be hiked by 100 percent from Saturday, October 1. The current APM gas price is at $6.1/mmbtu.
Gas prices have been surging world wide in the backdrop of supply chain disruption owning to the Russia-Ukraine war.
Here's how the gas stocks fared
| Stock | Movement |
| Indraprastha Gas | -7% |
| Gujarat Gas | -4.5% |
| Mahanagar Gas | -5.3% |
| ONGC | 4.5% |
| Oil India | 4.1% |
The government had set up a committee to review the formula for the pricing of domestically produced natural gas. “It can for all practical reasons not revise prices on October 1, citing the pendency of issues before the committee," source earlier told PTI.
The government sets the price of gas every six months, on April 1 and October 1, each year based on rates prevalent in gas surplus nations such as the US, Canada and Russia in one year with a lag of one quarter.
First Published: Sept 30, 2022 4:50 PM IST
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