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Conflicts between BJP and Cong over APM gas; Gujarat minister promises 30% reduction in gas price

21 Aug 2012 Evaluate
A major political allegation had taken place between the Narendra Modi-led government in Gujarat and Congress-led UPA, on the issue on allocation of natural gas to Ahmedabad under APM (administered price mechanism) and demanded the state government to implement a recent Gujarat High Court order for allocation of gas to Ahmedabad under APM.

On to this, central government had claimed that Gujarat was already getting a lion's share of the gas produced in the country. On Sunday, RPN Singh, Union Minister of State for Petrochemicals and Natural Gas, refuted the claim made by Gujarat government on the discrimination over allocation and pricing of natural gas and declared that Gujarat has got the major portion of gas in the country. But this statement was refused by senior BJP leader Arun Jaitley, indicating it as an unwarranted one.

Claiming to the injustice of union government, Gujarat minister of state for petrochemicals and energy, Saurabh Patel had given the promise to reduce the price of natural gas under CGD (city gas distribution) by 30 per cent, in case, if Ahmedabad got gas under APM and demanded that the Central government comply with a recent Gujarat High Court verdict directing the former to supply gas to Ahmedabad under APM.

A recent judgement by the Gujarat High Court had directed the Central government to allocate natural gas to Ahmedabad city under APM price which is at present applicable to cities like Delhi and Mumbai. Since the state was not getting domestic gas they had to import gas which resulted in higher price.

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