New Delhi, Jan 07: Government today put off a proposal to hike natural gas prices by Rs 350 per thousand cubic meters until the second half of 2004. "The group of ministers' recommendation to raise natural gas prices from Rs 2850 to Rs 3200 per thousand cubic meters came up for discussion at the cabinet meeting today. But with general elections round the corner, no decision was taken," sources in the government said. If the cabinet were to go by the GoM recommendation, CNG prices in Delhi would have gone up by close to Rs 2 per kg besides also requiring a revision in domestic cooking gas (LPG), power and fertilizer prices.
Government had in September 2003 decided to freeze LPG and kerosene prices for a year (beyond the next general election) despite rising costs of crude oil (raw material).
The GoM had also suggested increasing HBJ Gas Pipeline, which transports gas from western offshore to consumption centres in the north, transportation charges to Rs 1160 per thousand cubic meters per day from Rs 1150 per thousand cubic meters per day.
Bureau Report