India may mull levy on gas users to fund ‘$42-bn fuel reserve’
India is considering user levies on LPG (cooking gas) and natural gas consumers to fund a planned strategic fuel reserve of about $42 billion.
GS3GS2The HinduGS3Strategic petroleum reservesFuel security and stockpilingUser levies / gas pricing
What happened: proposed consumer levies to fund a strategic fuel reserve
The Government of India is considering user levies on LPG (cooking gas) consumers and natural gas consumers to finance a planned strategic fuel reserve of about $42 billion. The planned reserve is described as extending strategic stockpiles beyond crude oil by including liquefied natural gas (LNG) and liquefied petroleum gas (LPG) or cooking gas.
The reported funding approach links levy collections to cooking and natural gas storage infrastructure and discusses illustrative levy rates for LPG and natural gas.
Background and earlier position: supply disruption risk and import dependence
