Though Pradhan Mantri Ujjwala Yojana was withdrawn recently, it needs to be extended further for the benefit of people. Comment (200 Words)
Refer - Business Line
Enrich the answer from other sources, if the question demands.
IAS Parliament 4 years
KEY POINTS
The use of natural gas has several environmental benefits. The government is taking policy initiatives to increase the share of natural gas in India’s energy basket from 6 per cent to 15 per cent.
Gas Pricing
· The natural gas pricing in the country is distorted, despite the government making attempts to streamline it by promising marketing freedom.
· Gas price in India, as is the case with auto fuel price, is controlled artificially putting domestic gas producers at a disadvantage vis-à-vis prices in the global market.
Gas in India is sold at four different price points
1. $1.79 a unit (gas is measured in million British thermal units) is the administered price,
2. $4.5-5.5 a unit from production-sharing contracts and joint ventures,
3. spot price is at about $18 a unit
4. long-term imported gas contract is $6-7 a unit. At the retail end, added to the price are marketing margins, transportation costs, local taxes and levies.
· Gas demand is directly linked to supply. Today, 89 mmscmd of total demand is met from domestic production and 101 mmscmd from imports.
· Though the government has allowed pricing freedom for future discoveries or those which came on stream from 2019 onwards, it has put a cap on the price, which it announces every six months.
· The cap is $4.06/unit for production from discoveries in deepwater, ultra deepwater and high pressure-high temperature areas.
· Companies cannot sell higher than the capped price, though what they have discovered through open market auction was higher.
Arpit 4 years
Pls Review
IAS Parliament 4 years
Try to emphasize more on why the scheme has to be extended. Keep writing.
Sravani 4 years
Pls review.
IAS Parliament 4 years
Try to stick to the word limit and provide sub-headings, try to provide the required details in the answer. Try to mention about why the scheme has to be extended. Keep Writing.
Dev 4 years
Please Review
and provide feedback
IAS Parliament 4 years
Try to emphasize more on need to be extended, details about the scheme are not needed. Keep Writing.
aswin 4 years
Please review
IAS Parliament 4 years
Good attempt. Keep Writing.