Govt to rationalise natural gas prices

Fuel costs to be uniform for all consumers

PTI | March 10, 2010



The government is planning to rationalise multiple prices of natural gas in the country to make fuel costs uniform for all consumers, oil secretary S Sundareshan said on Wednesday.

"The challenge before us is to rationalise pricing gas from all sources (so that they) are similarly priced," he said at the International Symposium on Fuels and Lubricants here.

The oil ministry is examining a uniform domestic price for natural gas, which is now sold at anywhere between $1 and $5.73 per million British thermal units, depending on the source.

At present, the government fixes the price of gas produced from blocks given on nomination to state-run Oil and Natural Gas Corp (ONGC) and Oil India (OIL), while for others it is determined in line with production sharing contracts.

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