Hike in natural gas price to adversely impact Gujarat:Minister

The Centre's decision to double natural gas prices from next year will levy additional burden of Rs 9,485 crore on gas fired power plants of the state, Gujarat's Energy Minister Saurabh Patel said today.
The move would also saddle Gujarat-based gas-fired chemical and fertiliser plants with an additional levy of 1,985 crore, he said in a statement.
Criticising the UPA government for approving gas price hike, Patel said, "The Centre's decision to double the natural gas prices from next year will adversely impact the state farmers and common man who are already reeling under inflationary pressures."
The Cabinet Committee on Economic Affairs (CCEA) headed by the Prime Minister Manmohan Singh recently approved near doubling of the natural gas prices from April 1, 2014.

Currently, the natural gas is priced at around USD 4.2 per Million Metric British Thermal Units(mmbtu)which will go upto 8.4 mmbtu.
The criticism from state Energy Minister comes at a time when state-owned Gujarat State Petroleum Corporation (GSPC) was demanding from Centre approval so as to sell natural gas likely to come from its KG basin field at USD 13-14 per mmBtu, which is three times the current gas price.