BackSC seeks NDA government’s stand on gas pricing
Fresh hearing on issue started on Thursday, as earlier bench wasn't able to adjudicate dispute
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New Delhi: The Supreme Court on Thursday asked the National Democratic Alliance (NDA) government to make its stand clear on fixation of the price for gas from Krishna-Godavri (KG) basin as to whether it sticks to the previous United Progressive Alliance (UPA) dispensation’s policy or making any departure from it.
“Tell us what is the situation. Whether you (government) are going to argue or stick to the old government’s policy or is it something else?" a bench headed by justice T.S. Thakur asked when the matter came up for hearing.
A fresh hearing on the issue started on Thursday as earlier a bench headed by justice B.S. Chauhan was not able to adjudicate the dispute as he retired before the hearing concluded. In the new bench headed by justice Thakur, other two judges are justices J. Chelameshwar and Kurian Joseph who were also in the bench headed by justice Chauhan.
The PILs filed in 2013 by senior CPI MP Gurudas Dasgupta and the NGO, Common Cause, challenged the government decision to double the price of natural gas from $4.2 to $8.4 per mmbtu and seeking cancellation of Reliance Industries Ltd’s contract for exploration of oil and gas from the KG basin.
The new bench was told by solicitor general Ranjit Kumar that NDA government has deferred implementing formula for gas pricing recommended by C. Rangarajan committee, till 30 September. Rangarajan was chairman, economic advisory council to the then prime minister.
Kumar informed the bench that the new government has formed a panel to recommend changes in gas pricing policy.
“A committee has already been formed. Till September 30th nothing is happening. The committee can submit its report by September 30th and only after that a decision will be taken," the solicitor general said while adding that the Centre will come out with its stand on the issue and file an affidavit.
The government also said that RIL has invoked arbitration on the issue of gas pricing.
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