New Delhi, October 7
Bringing in reforms in natural gas marketing, the government on Wednesday approved a standardised market driven bidding process for discovering the prices of the energy product.
Briefing the media after a meeting of the Cabinet Committee on Economic Affairs, chaired by PM Narendra Modi, Union Petroleum Minister Dharmendra Pradhan said the Directorate General of Hydrocarbons (DGH) would suggest an e-bidding platform for users. He noted that producers would have a choice to opt for a platform and transparent and open bidding process to be conducted for price discovery.
Besides, the producing company cannot participate in the bidding process to avoid direct conflict of interest, but affiliate companies would be eligible for participating in the bidding process.
The government said, “This will bring uniformity in the bidding process across various contractual regimes and policies to avoid ambiguity and contribute towards ease of doing business.” — TNS