India’s first gas exchange launched: Know how the online delivery-based gas trading platform works

Image Courtesy: Twitter/@IgxIndia

New Delhi: The government has launched Indian Gas Exchange (IGX) –first nationwide online delivery-based gas trading platform.

Minister of Petroleum and Natural Gas & Steel Dharmendra Pradhan launched the Indian Gas Exchange (IGX), in an e-ceremony on Monday (June 15).

How the online delivery-based gas trading platform works

IGX will be a delivery-based trading platform for delivery of natural Gas.  Incorporated as a wholly owned subsidiary of the IEX - India’s energy market platform, IGX will enable market participants to trade in standardised gas contracts. The platform is fully automated with web-based interface to provide seamless trading experience to the customers.

According to Pradhan, the new electronic trading platform for natural gas is the biggest indicator of the centre's progressive policy as it completes the entire energy value chain from gas production from multiple sources and imports of LNG from different parts of globe to having a transparent price mechanism. Talking about the Prime Minister’s vision to provide energy justice to the people of India, he said that they must have universal access to clean, affordable, sustainable and equitable supply of energy.

The minister also said that Petroleum and Natural Gas Regulatory Board (PNGRB) is working on rationalization of tariff to make natural gas affordable in every part of the country. The government has no business to be in business and the consumer is the king in a free market, Shri Pradhan added. He also said that through IGX, India's vision on mega investments on Liquefied Natural Gas (LNG) terminals, gas pipelines, CGD infrastructure and permission for market driven price mechanism will be materialized.