Govt announces 62% hike in natural gas prices

The government on Thursday announced a massive hike of 62 per cent in natural gas prices. The natural gas is used to make fertilisers and to produce electricity. It is also turned into CNG, which is then used in automobiles.

An official government order said the natural gas prices have been hiked by 62 per cent. The prices of natural gas produced from fields by state-owned firms such as ONGC, which are given to them on nomination basis, will be $2.90 per million British thermal unit for six months, starting from October 1.

As a result of the price hike, CNG and piped gas connections supplied in kitchens will get costlier at least by 10 per cent. The rate for gas produced from difficult fields such as deepsea would be $6.13 per mmBtu, the order said.

With PTI inputs