Gas price hike: Dasgupta asks Manmohan to reconsider CCEA decision
Communist Party of India MP Gurudas Dasgupta has urged Prime Minister Manmohan Singh to reconsider the >decision of the Cabinet Committee on Economic Affairs to hike natural gas price from April 2014 to almost double and allow a debate in the public domain and among stakeholders to take place before it is implemented. In a letter to the Prime Minister on Tuesday, Mr. Dasgupta claimed that due the proposed massive gas price hike from April 2014, the subsidy burden over a five year period would increase by Rs. Stating that contradictory stand was being taken by the Petroleum and Natural Gas Minister Veerappa Moily and the Finance Minister P. Chidambaram on the decision and related issues, Mr. Dasgupta said it was Mr. Moily, who on June 27, 2013 after the CCEA meeting, had stated that the Cabinet had approved $8.4 per mmBtu as the new gas price. He said in the CCEA note of June 19, the Petroleum Ministry had indicated a gas price of $6.775 per mmBtu based on the Rangarajan formula.
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