Opposition parties in the state have condemned the rise in the prices of Compressed Natural Gas (CNG) effective Monday, saying the Narendra Modi government allowed the hike to benefit private companies as the BJP had allegedly collected huge election funds from them.
State Congress president Arjun Modhwadia, in a statement, said that allowing hike in CNG prices amounted to permitting private companies to recover the election fund contributions they had allegedly made to the BJP.
“While the state government has allowed CNG distributor companies to increase the prices, it also means increase in VAT imposed by the government,” said Modhwadia, adding, “It amounts to cheating with the people of the state.”
State Nationalist Congress Party (NCP) president Jayant Patel said the CNG prices would affect the masses across the Gujarat owing to increase in autorickshaw fare as a natural consequence.
He said he had reports that electricity tariff was also likely to be increased by private power distribution companies soon.
“The price hike is election-linked,” said Gujarat Parivartan Party general secretary Gordhan Zadaphia. He demanded the government should withdraw or reduce VAT on it to keep the prices stable.
With Monday’s increase, the price of CNG has gone to Rs 40.50 a kg in the state. The last increase in CNG prices in the state was in May 2012.