Rangarajan panel on gas price to submit report by Sept 10

Oil ministry yet to move cabinet for diesel decontrol

A four-member Committee of secretaries (CoS) will submit its report on a new gas pricing formula by Wednesday, September 10. The new price will replace the Rangarajan panel's suggestion ofdoubling of gas price to $8.4 per mmbtu.

The committee was formed last month by the government comprising of secretaries ofpower and fertilizer ministries and expenditure department with additional secretary in the oil ministry as its member secretary.

"We hope to get it (committee report) by the 10th (of September)," petroleum secretary Saurabh Chandra told reporters on sidelines of an event. The CoS has held consultations withstakeholders, primarily gas consumers and producers.

Chandra also said the ministry is yet to movethe cabinet seeking approval for decontrol of diesel prices. Oil Marketing Companies' under-recoveries on diesel have slipped to an all time low of 8 paisaper liter.

The NDA government has continued with the previous UPA regime policy of raisingdiesel rates by up to 50 paise a litre every month to bridge the gap betweencost and retail prices. Chandra said the OMCs review prices of diesel everymonth and will continue to follow the January 2013 policy of monthly increase.