Natural gas price may be hiked by 14% from October
NEW DELHI: The government may from October raise price of domestic natural gas by over 14 per cent, a move that will translate into higher CNG price and increased cost of electricity and urea production. Price paid to most of the domestic producers of natural gas is likely to be hiked to USD 3.5 per million British thermal unit (mmBtu) from October 1, from the current USD 3.06, sources privy to the development said.
Natural gas prices are set every six months based on average rates in gas-surplus nations like the US, Russia and Canada.
Sources said the price revision is likely to be announced on September 28.