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Gas demand slowing down-I: GST alone not to blame
Jul 10: Demand for gas for the rest of 2017-18 and 2018-19 seems to be facing headwinds in India
8The use of gas in some industrial clusters, which are price sensitive and are able to switch alternative fuels, are beginning to fall
8Gas sale is not included under GST and that is big reason for gas becoming uneconomical compared to dirtier liquid fuels.
8A whole new round of negotiations will be needed with state governments before GST on gas can be implemented and this process will now have to wait.
8But that is not the only reason why gas demand is tapering off in some places.
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