Economist says inflation to go up, Tamim sees no effect on essential goods prices Aminul Islam The government has almost doubled the CNG price to Tk 16.75 a cubic meter from Tk 8.50 with effect from today to cut the losses Petrobangla incurs. The government on Thursday said the fares of CNG-run three wheelers and taxi cabs would soon be revised upward, but the CNG-run buses and trucks would not be allowed to increase fares as they had already been charging high fares. In addition to increasing the CNG price, the government also increased the commission of the CNG filling stations by Tk 0.75. Special assistant to the chief adviser M Tamim told New Age they had no other options but to increase the CNG price as people, especially the affluent section, were getting CNG at a throwaway price while Petrobangla's losses accumulated to about Tk 1,500 crore in recent times by selling gas for lower price. Bangladesh Institute of Development Studies research director Zaid Bakht also said the government had no choice but to increase the price because of the huge pressure of subsidy. But he felt the timing was not right as the price increase would further fuel inflation. The energy division in a statement said the CNG price was last increased in June 2005 when the price was set at Tk 8.50 or about a fourth of the price of a litre of octane, Tk 35, at the time. It said the octane price was increased in the meantime to Tk 67 because of a huge increase in oil prices on the international market.