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IGX MD & CEO Advocates for a Robust Gas Hub to Transform India’s Gas Market
Jan 15, 2025
Speaking at the Energy Talk on Enhancing Gas Markets, Shri Rajesh K. Mediratta, MD & CEO of Indian Gas Exchange (IGX), shared his vision for transforming India’s gas sector by fostering transparency, competition, and flexibility.
Reflecting on IGX’s foundational goals, he stated,
"The gas exchange, IGX, was established with a clear vision outlined in the MoPNG directive of July 2020: to ensure equitable distribution and increase the availability of natural gas by creating a free market that supports a gas-based economy. India can achieve this by developing its own benchmark gas prices driven by domestic market dynamics."
He elaborated on building India’s Gas Hub by strengthening three core layers:
- Hub Layer – A well-integrated pipeline network, diverse supply sources, and fair regulatory frameworks for non-discriminatory third-party access.
- Market Layer – A competitive spot market enabled by IGX, ensuring transparent and dynamic trading.
- Financial Layer – Tools for risk management like derivatives and a forward price curve.
Shri Mediratta emphasized that while IGX has established the market layer, immediate regulatory reforms are crucial to solidify the foundational hub layer.
He highlighted the benefits of a robust Gas Hub, stating,
"A Gas Hub will enhance liquidity, offer competitive pricing, and empower consumers with access to an indigenous price index tailored to local demand-supply conditions. It will also unlock risk management tools and derivative products, providing new avenues for market growth. At IGX, we are committed to driving this vision through collective action and strategic regulatory collaboration."
This vision, backed by innovation and regulatory support, will pave the way for a more efficient and transparent gas economy in India.