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LPG shortage temporary: Deora

BANGALORE: Union Minister for Petroleum and Natural Gas Murli Deora on Friday said the Liquefied Petroleum Gas (LPG) shortage was temporary as many areas in north India were experiencing an extended winter pushing up the demand. In June-July, the country would have excess LPG and the prices were likely to come down due to the increased supply and the entry of private players in the LPG distribution segment.

He said the public sector petroleum companies had been serving over 10 crore people through LPG and the demand was increasing tremendously.

Briefing media at the Karnataka PCC office here, Mr. Deora said a final decision on fuel price hike would have to be taken by the government. Mr. Deora said the government had taken a decision to have the usage of ethanol in petrol increased from the present five per cent to 10 in October 2008, which would bring down the pollution levels as well as the fuel bills.

The government had already procured 20 crore litres of ethanol from suppliers. The government was in favour of increasing the litre fee on ethanol to Rs. 21 from Rs.18 to benefit the producers.

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