NEW DELHI: Petroleum Secretary S Sundareshan today said the government may shortly hike price of natural gas produced by Oil and Natural Gas Corporation (ONGC) and Oil India Ltd (OIL) by 30 per cent.

‘’I am told by the Petroleum Minister that the issue is in the final stages of decision making in the government. We expect a decision soon,’’ he said. Talking to reporters here on the sidelines of the ‘’6th Asia Gas Partnership Summit’’, the Secretary said the government was weighing policy options to end differential pricing of natural gas that ranges from under one dollar per million British thermal unit(mmBtu) (APM gas) to $5.73 per mmBtu (for gas produced by BG Group-operated Panna/Mukta and Tapti fields).

The Ministry of Petroleum and Natural Gas had circulated a Cabinet note for raising price of gas under administered pricing mechanism (APM) from Rs 3,200 per thousand cubic meters ($1.79 per mmBtu) to Rs 4,142 per thousand cubic meters (2.32 dollar per mmBtu).

Price of APM, or the gas produced from fields given to ONGC and OIL on nomination basis, is proposed to be raised in stages to Rs 7,500 per thousand cubic meters or 4.2 dollar per mmBtu by 2013. The gas price was last revised in 2005.