Indian Gas Exchange

IN NEWS:

• India’s first gas exchange — the Indian Gas Exchange (IGX) — was launched recently.

ABOUT THE EXCHANGE:

• The IGX is a digital trading platform that will allow buyers and sellers of natural gas to trade both in the spot market and in the forward market for imported natural gas across three hubs —Dahej and Hazira in Gujarat, and Kakinada in Andhra Pradesh.
• Imported Liquified Natural Gas (LNG) will be regassified and sold to buyers through the exchange, removing the requirement for buyers and sellers to find each other.
• The exchange is expected to facilitate transparent price discovery in natural gas, and facilitate the growth of the share of natural gas in India’s energy basket.

PRELIMS QUESTION:

Q. Consider the following statements regarding Indian Gas Exchange, currently launched:

1. It is a digital trading Platform.
2. It will trade in Natural gas, Petroleum gas and Coal bed methane.

Which of the statements given above is/are correct?

1. 1 only
2. 2 only
3. Both 1 and 2
4. Neither 1 nor 2

Answer to Prelims question