The world is moving towards market-based pricing and Sunil Jain (‘Let’s do the math’, June 29) seems to be suggesting that we restrict the E&P industry to a cost-plus kind of pricing regime. Even ONGC has made several representations asking for an increase in the price from the current level of $2.1 per mmBtu because it is incurring huge loss on this account every year. It is not surprising that ONGC has been unable to increase the level of production since it has no real incentive to do so.
Mahesh Bhaduri, Faridabad
