8216;Give states at least half of gas produced8217;

The committee,which submitted its report last month,has observed that the total gas production during 2012-13 was 40.7 billion cubic metres,out of which the share of private/JV in the KG basin located in coastal area adjoining Andhra Pradesh was 13.7 billion cubic metres 30 per cent of the total natural gas production of the country.

However,the allocation to Andhra Pradesh is pegged at just 29.02 mmscmd in 2012-13 out of the total allocation of 216.27 mmscmd which works out less than 15 per cent.

The committee said it is an insignificant privilege gain to Andhra Pradesh considering the quantum of gas produced in the state. It said it is of the strong view that the policy should be re-examined and the industries in the states concerned or in the neighbouring regions should be given in the matter of allocation gas as the state in which the field is located will be very eager and interested to use the gas for its economic development.

The committee therefore recommend Ministry of Petroleum and Natural Gas to supply at least 50 per cent of the gas produced to the industries belonging to the state where the fields are located, the committee said in its report.