The Government has asked the retailers supplying compressed natural gas (CNG) and piped gas to households for cooking (PNG) to give the break-up of their price.
“All city gas distribution (CGD) entities shall furnish break up of CNG (transport) stations and PNG (domestic) price to the Ministry, on annual basis by April 30 each year.
This should include complete break-up of cost of gas at the entry of their network, supply and distribution cost, entity’s margin, excise, VAT and any other tax,” the Ministry of Petroleum and Natural Gas said in its order.
The Ministry warned that non-compliance of these guidelines would lead to cancellation of domestic gas allocation to the entities.
The Ministry feels that the break-up must be disclosed to ensure that the benefit of cheap domestic gas allocated to the entities is passed on to the end user.