India Cuts Domestic Gas Prices 20% Amid Falling Global Rates

  • Gas price cut may hurt cash flows at ONGC, Reliance Industries
  • Domestic price cut to $3.06 per million British thermal units

An Indian Liquid Petroleum Gas (LPG) vendor carries gas cylinders on a cycle rickshaw outside a depot in New Delhi on February 29, 2016.

Photographer: SAJJAD HUSSAIN/AFP/Getty Images
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India cut the price of locally produced natural gas by 20 percent for the six months beginning April 1 in line with the fall in global prices.

Domestic gas prices will be cut to $3.06 per million British thermal units based on the gross heat value, the oil ministry’s Petroleum Planning and Analysis Cell said in a statement on its website. The government had fixed the price at $3.82 per million Btu for the previous six-month period. This is the third straight cut since April 2015.