Delhi govt to appoint committee on effect of CNG price hike | delhi | Hindustan Times
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Delhi govt to appoint committee on effect of CNG price hike

delhi Updated: May 20, 2010 22:13 IST

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With the Union Cabinet hiking price of CNG, the Delhi government has decided to appoint a high-powered committee to examine its impact on road transport in the national capital.

Chief Secretary Rakesh Mehta said the committee will examine impact of the hike in price of natural gas on CNG-run bus transport and autos in the city and suggest fare structure for both modes of transportation.

"The committee will study impact of hike in CNG on our public transport system," Mehta said.

Autorickshaw unions in the national capital today threatened to go on strike when the new rates come into effect, demanding a reasonable hike in the fare structure.

The Union Cabinet on Wednesday had hiked price of gas sold to power, fertiliser and city gas projects from Rs 3,200 per thousand cubic meters (USD 1.79 per million British thermal unit) to Rs 6,818 per thousand cubic meters (USD 3.818 per mmBtu).

The new gas price on an overall basis would result in 2.75 per cent increase in power tariff and up to 20 per cent hike in price of compressed natural gas (CNG) sold to automobiles in cities like Delhi.

CNG in Delhi currently costs Rs 21.90 per kg. The new price will come into effect in few days when it is notified.