YSR wants state's say in gas pricing

Andhra Pradesh Chief Minister YS Rajasekhara Reddy today wrote to the chairman of the Empowered Group of Ministers (EGoM), Pranab Mukherjee, on the state's views on the policy for pricing gas from the Krishna-Godavari basin.

In his letter, the chief minister pointed out that the pricing of natural gas, particularly from the K-G Basin, was critically important for Andhra Pradesh as the state's 2,000 Mw capacity is unutilised due to non-availability of gas. Additionally, natural gas had the potential to transform the economy of the country as well as the state provided the gas was priced affordably, he said.

"I request you to give an opportunity to the government of Andhra Pradesh to present its views, and to consider the same while evolving a reasonable, just and comprehensive policy on pricing natural gas," the chief minister said in the letter.

In the recent past, Reddy has written a couple of letters to Prime Minister Manmohan Singh seeking setting up of an independent regulator to determine the price of natural gas while opposing the "market-discovered" price mooted by Reliance Industries Ltd.

Officials in the chief minister's office confirmed that the state government sought an appointment with the EGoM yesterday. "Whether the chief minister himself will present the case at the meeting or a delegation of officials will be sent is yet to be finalised," an official told Business Standard.

Earlier, Reddy had announced that he would lead an all-party parliamentary delegation from the state to New Delhi to press for making natural gas affordable.