Tribunal asks GAIL to follow PNGRB order in transport fee case
Press Trust of India / New Delhi Nov 11, 2009, 12:52 IST
The energy tribunal APTEL has slammed natural gas firm GAIL India Ltd for trying to stall the enquiry by sectoral regulator PNGRB over allegations of excess transportation fee from the Andhra Pradesh Gas Power Corporation (APGPC).
Dismissing GAIL's petition against the PNGRB order to settle the dispute with APGPC through arbitration, the Appellate Tribunal said "the appellant (GAIL) wanted to see that somehow or the other no enquiry is conducted by the Petroleum Board (PNGRB) on the complaint made by the respondent (APGPC) against GAIL, and also to ensure that no arbitration proceedings are conducted," said APTEL bench headed by Justice M K Vinayagam.
The tribunal also asked the PSU to pay APGPC Rs one lakh for unnecessary litigation and directed it to comply with PNGRB orders for arbitration.
"The appellant is directed to comply with the orders passed by the PNGRB on ...," the tribunal said.
Slamming the PSU, the tribunal said, "GAIL, whose conduct is highly condemnable, has not come with clean hands and has driven APGPC from pillar to post, we deem it appropriate to impose sufficient cost on GAIL."
APGPC, which has an exclusive agreement with GAIL for supply of natural gas since 1991, discovered in the financial year 2004-05 that the PSU had charged excess transportation fee for the gas supplied between 1992 to 2006.
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