India has launched its first online trading platform for natural gas.

The Indian Gas Exchange (IGX) will work to standardise gas contracts, display global sources of Liquified Natural Gas and allow for more transparency in the gas trade.

Shri Pradhan, Minister of Petroleum and Natural Gas & Steel, said: “The launch of the new electronic trading platform for natural gas today has opened a new chapter in the energy history of India and help the nation move towards free-market pricing of natural gas.

“With this landmark, India is joining the club of progressive economies. As there will be a market-driven pricing mechanism, India Gas Exchange will play a bigger role towards realising a free market for gas.”

The platform also seeks to standardise tariffs in a bid to make natural gas affordable to all.

The IGX forms part of India’s vision to make India a gas-based economy and provide universal access to clean and affordable energy supply.

India is expected to have more than 30,000 kilometres of gas pipelines in the next few years.