The recommendations to fix a first year price ceiling of US$6.5/mmbtu is a material positive for gas costs, with an annual escalation of US$0.5/mmbtu, a manageable price increase for IGL. In the near term, with current level of prices, IGL may be able to pass on ~Rs4.3/kg in CNG and ~Rs4.7/scm reduction for the domestic segment which can potentially improve price competitiveness in the near term.