The Indian Gas Exchange (IGX), India’s first automated delivery-based gas trading platform, has secured the necessary authorization to operate as a Gas Exchange as per the provisions of the Petroleum & Natural Gas Regulatory Board (Gas Exchange) Regulations, 2020, for a period of 25 years.
The GER 2020 Regulations were notified by Petroleum & Natural Gas Regulatory Board (PNGRB) on September 28, 2020. IGX had submitted its application for authorization on October 8, 2020 in accordance with the prescription under the GER 2020 regulations of the PNGRB, a release from IGX said.
Sharing his views on the occasion, D. K. Sarraf, Chairperson, PNGRB, said, “PNGRB is pleased to grant the necessary authorization to the Indian Gas Exchange Limited basis its application dated 7 October 2020. With this development, IGX has become first regulated gas exchange in the country. We wish IGX team the very best in this endeavor and hope it makes a meaningful contribution to India’s target of increasing the share of gas in the overall energy mix from 6 per cent to 15 per cent by 2030”.
S.N. Goel, Chairman Indian Energy Exchange and Director, IGX said, “This is a landmark development not just for IGX but for the overall gas sector and economy at large. IGX is poised to further establish and reinforce greater trust and credibility among the market participants. IGX also envisions creating an Indian gas benchmark as IEX has done for electricity”
IGX, incorporated as a wholly-owned subsidiary of Indian Energy Exchange (IEX), currently offers trade in five contracts — daily weekly, weekday, fortnightly and monthly — at three physical hubs —Hazira and Dahej in Gujarat and KG Basin in Andhra Pradesh. Since its launch on 15 June 2020, the platform has cumulatively traded 74,600 MMBTU.
Public Notice
In a public noted dated December 2, 2020, the Petroleum & Natural Gas Regulatory Board has authorized the Indian Gas Exchange Ltd (IGX) to set up and operate Gas Exchange with integral Clearing Corporation under Regulation 11 of the PNGRB (Gas Exchange) Regulations, 2020 on 2nd December, 2020.
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