Press Esc to close

CCEA defers decision on natural gas price hike

New Delhi, Jun 21, 2013 (PTI) 15:23 IST
The Cabinet Committee on Economic Affairs (CCEA) today deferred a decision on a proposal to hike natural gas prices by a steep 60 per cent as Oil Minister M Veerappa Moily was away on an official tour.

Moily's proposal to raise gas prices to USD 6.775 million British thermal unit (mmBtu) from current USD 4.2 mmBtu, which would result in a steep rise in electricity tariff, urea manufacturing cost as well as CNG rates, was listed for consideration of CCEA.

The CCEA, however, "deferred a decision", said a senior minister attending the meeting chaired by Prime Minister Manmohan Singh.

The Oil Ministry had moved a note for an across-the-board hike in gas prices for consideration of CCEA on Wednesday and it was listed as number 7 among the eight items the Cabinet sub-committee was to consider.

However, with Moily in Tripura for the inauguration of ONGC's power plant by President Pranab Mukherjee, the CCEA deferred a decision.

The gas price hike, while triggering investment in gas hunt in the country and the resultant production hike, is being opposed in some quarters as it would lead to a rise in cost of generating electricity and urea production.

Owing to the opposition there is speculation that the proposal may be referred to a ministerial panel for further deliberations.

The minister said another Oil Ministry's agenda - presentation of a status report on implementation of ethanol-blend petrol programme, too was deferred by CCEA.

Go to Top

More from this section
Most trending stories
Photo Gallery
Prime Minister Narendra Modi addresses the media on the first day of the winter session...

Prime Minister Narendra Modi addresses the media on the first day of the winter session...

Outgoing Congress president Sonia Gandhi, former prime minister Manmohan Singh, Congress...

Outgoing Congress president Sonia Gandhi, former prime minister Manmohan Singh, Congress...

INLD MP Dushyant Chautala arrives by a tractor to attend the winter session of Parliament...

INLD MP Dushyant Chautala arrives by a tractor to attend the winter session of Parliament...

Social activist Anna Hazare while addressing a press conference at the Guwahati Press club, in...

Social activist Anna Hazare while addressing a press conference at the Guwahati Press club, in...

Members of Anganwadi workers hold a protest against Uttar Pradesh Government in support of their...

Members of Anganwadi workers hold a protest against Uttar Pradesh Government in support of their...

Election observers inspecting the EVM (Electronic Voting Machines) at a distribution centre...

Election observers inspecting the EVM (Electronic Voting Machines) at a distribution centre...

A vegetable vendor sits between the wheels of a parked truck, in a street market in Kolkata on...

A vegetable vendor sits between the wheels of a parked truck, in a street market in Kolkata on...

Army jawans near a helicopter parked at Kolkata maidan during foggy Friday morning. Historic Victori

Army jawans near a helicopter parked at Kolkata maidan during foggy Friday morning. Historic Victori

A fisherman casting his net at Dal Lake during a cold winter morning, in Srinagar on...

A fisherman casting his net at Dal Lake during a cold winter morning, in Srinagar on...

Muslims pray on the steps of a mosque during a demonstration against the...

Muslims pray on the steps of a mosque during a demonstration against the...

Like us on Facebook

Copyright 2017, The Printers (Mysore) Private Ltd., 75, M.G Road, Post Box 5331, Bengaluru - 560001
Tel: +91 (80) 25880000 Fax No. +91 (80) 25880523
Powered by Yodasoft Technologies Pvt. Ltd.