Research On Natural Gas Pricing Mechanism Based On The Theory Of Public Product

Given the fast growing national economy and the improvement of people's standard of living, it is necessary for the government to provide public products in an efficient way. Natural gas, as a type of quasi-public resource product, is supplied by the government and the market in our society. The criteria for evaluating whether the supply is efficient or not include the guarantee of market supply, excellent service, resource conservation, reasonable usage, as well as scientific and efficient pricing mechanism.This article reviews the historical and current pricing mechanisms for natural gas in our country. It suggests that the current price management system has been constraining the development of natural gas supply in the cities in our country. It studies the pricing principles and methods for quasi-public products, compares international pricing practice on natural gas, and proposes a government management pricing system with market factors integrated to contribute to the development of the natural gas industry in our country. Meanwhile, this article applies the social average cost pricing method empirically to a case study of the natural gas pricing system in Deyang, Sichuan with scientific support.The article concludes that natural gas price should be managed by the government in our country. However, it is also important to improve the natural gas pricing mechanism, increase the flexibility and responsiveness of the national gas pricing mechanism, create fair and competitive market environment, and contribute to the sustainable development of the natural gas industry.