Mumbai : Oil Minister M Veerappa Moily ruled out reversal of the decision to double natural gas prices from April 1 next year and said that the notification on this will be issued shortly.
“Absolutely, there is no question of reversing the decision to hike natural gas prices, as proposed by the Rangarajan panel report, or going back on the decision,” Moily said.
“The notification regarding the implementation of the new price formula will be issued
shortly,” he said here, a day after meeting investors, bankers and analysts ahead of the forthcoming NELP round X auctions from mid-January.
The comments come amid the Supreme Court hearing a PIL filed by CPI leader Gurudas Dasgupta contending that the government decided to hike gas prices without taking into account its disastrous consequences on the economy, particularly power and fertiliser sectors.
Moily said the rising demand for subsidies from end-user industries won’t come in the way of price hike.
“We are firm that there will be only uniform pricing for gas to all industries and other end-used sector like city gas distribution companies for household use. It is up to the ministries and industries concerned to arrive at a subsidy formula and we have no role to play in that,” Moily said.