AGARTALA, August 24 (TIWN): To avoid the heavy tariff shock being faced by the state consumers the Tripura Left front government has demanded the centre not to increase the gas price further in future, said State Power Minister Manik Dey. He said, “Currently the gas price in respect to May 2010 is rested at 255.69 per cent.”

“Government of India should not allow any further increase in price of gas used for power projects to avoid tariff hike,” Dey told reporters.

Due to the sudden increase of price of natural gas above 117 per cent effective from June 1, 2010 the consumers of the state have got heavy tariff shock as about 93 per cent energy supplied to the consumers are from gas based power projects.

The government has also urged the centre to de-link the domestic gas price from dollar exchange rate as gas purchased by state power utilities from GAIL or ONGC is exclusively from the local gas reserve fields.

Besides, side lining another issue Minister Manik Dey said that balancing of demand and supply during monsoon and winter cannot be done being gas based power plants are must run due to Minimum Guaranteed Off (MGO) clause (90 per cent gas off take).

“MGO clause of gas contract should be withdrawn for resource optimisation, otherwise burning of costlier gas is taking place in spite of power is available in the market at cheaper price,” Dey said.